PokerStars Clarifies U.S. Market Share SpeculationU.S. Market Accounts for Less than Half of Business Says PokerStars |
|
PokerStars came out yesterday with a short statement in an attempt to clarify details about its market share in America. It did this because of so much speculation and controversy over its status and finances, and what many saw as its dominating success due to its continued operations in the U.S..
When the Unlawful Internet Gambling Enforcement Act was passed, many online poker sites packed up and left the U.S. in the hope of one day returning. They stopped serving American players and faced the music.
However, controversy lay ahead as many other sites stood their ground and continued as they were, and ever since, there has been speculation about just how much more these sites are earning because of this, and how this is unfair.
European online poker sites have also fought the ban with the belief that if companies like Harrah’s and the Las Vegas Sands Group can operate in Europe, than it is not fair that similar Euro-based companies cannot access the $4 billion per year U.S. market.
However, PokerStars stated yesterday that aside from the U.S. market, its liquidity and revenues are still more than twice that of other online poker sites as the U.S. market only accounts for less than 50 percent of its business, in terms of player liquidity and revenue.
The company also said that it continues to operate in America based on legal advice.
Companies such as PartyGaming are hopeful for the future of American online poker, and if they return to the market, PokerStars’ status could be susceptible to change.
PartyGaming, the online gaming site that once dominated the American online poker market was one of the sites that pulled out when the UIGEA was passed. In April, the company paid the U.S. government $105 million in fines with the assurance that the U.S. government will not prosecute the company or any of its subsidiaries “for providing internet gambling services to customers in the U.S. prior to the enactment of the Unlawful Internet Gambling Enforcement Act (‘UIGEA’) on 13 October 2006”.
This was a move widely seen as paving the way for future re-entry to the U.S. market.
Copyright © 2001-2024
CardPlayer.com. All rights reserved.
