eWorld to Acquire Distribution Rights to China
China-based media and entertainment portal eWorld Interactive Inc. has announced that it has entered into an agreement with the People's Republic of China to operate the nation's official online sports lottery. eWorld will gain content distribution rights for the lottery itself, allowing eWorld users to access professional sporting events from China and elsewhere through the Lottery's network. eWorld's move is part of a global expansion of online lotteries to take over what currently represents 25 percent of the worldwide lottery market. Although only one percent of China's $10.54 billion lottery market is derived from online use, the fact that the Chinese government is actively promoting a shift to the online format makes the move a tremendous opportunity for growth on eWorld's part. This opportunity is compounded by the fact that China's Internet user population is growing at 30 percent a year and will soon pass the 200-million user mark.
Churchill Downs Goes for Electronic Wagering Services
Churchill Downs has launched a Scientific Games-powered Internet and telephone betting platform in the track's newly unveiled TwinSpires wagering service. The platform, known as TrackPlay, allows data to flow from the venue to the bettor, while ensuring compliance with all state and federal pari-mutuel wagering statutes.
Chruchill Downs contracted Scientific Games to help assist with the development of a system that could bring in a slice of the 90 percent of horse-wagers that are made off-track. Executives at both companies are reportedly pleased with the results and hope to expand the operation in the future.
Lottomatica Earnings Boosted by Merger
Lottomatica's Earnings before interest, taxes, depreciation and amortization (EBITDA) are expected to jump from 112 to 165-188 million euros as a result of the popularity of Scratch and Win (S&W) brands and the visibility of the company's merger with GTECH. These numbers represent a slight loss in the traditional sector of the lottery, as repeat customers of the lotto begin to depreciate as their numbers are repeatedly not picked. However, Lottomatica officials do not see such a result as a cannibalization on the part of S&W commodities. Officials inside the company believe that the two games appeal to different audiences and should not be interfering with each other's core players.
Canadian Government Announces Lottery Review
A number of Canadian lotteries have announced comprehensive reviews on the security and integrity of their games. All games operated by the Atlantic Lottery Corporation will be subject to the review that hopes to end the "retailer-wins system" currently in place in order to provide a greater benefit to the Canadian people. The review will look at key points along the creation, distribution and sales cycle of the lottery in order to ensure that the process is not compromised by fraud or manipulation at any point by player, retailer or distributor. The review also intends to provide suggestions to any problems of player education that may exist and to fix any problems that may make it difficult for winners to receive their prizes. The review is expected to be finished by year’s end.
China Appoints Welfare Lottery Agent
According to the Financial Times VODOne has become the first official agent for China’s welfare lottery, a change that officials hope will lead to a clampdown on unauthorized sales over the Internet. Although VODOne does not expect to end all illegal sales, it does hope to account for 50-70 percent of the $13 billion that are annually bought through unauthorized online vendors.
Chinese officials hope that the introduction of a new partner will improve the lottery’s growth rate from its current level of 20 percent a year, and help keep money in the Chinese economy instead of letting it travel beyond borders to Macau or Taiwan. Any commissions from online sales will be divided between VODOne and the charities that benefit from the welfare lottery.
OPAP to Sue the EPO
Greek lottery operator OPAP announced in early May that it will file a lawsuit against the Greek Football Federation (EPO), challenging its recent decision to introduce a new fixed-odds betting company. Furthermore, according to Greek media reports, OPAP has suspended payments up to 700,000 euros to EPO from Propo and Propogoal in an effort to curb EPO's decision to establish a new betting service in Greece.
New South African Lottery Operator Coming Soon?
South African Trade and Industry Minister Mandisi Mpahlwa told the National Assembly last week that he will make an announcement about the National Lottery in the next few days.
The South African Broadcasting Company reported that Mpahlwa said he is confident that the lottery will soon be running again after facing considerable criticism from opposing parties about the suspension of the lottery.
The country has been in the process of finding a new national lottery operator after suspending the lotto at the end of March to review the licensing process.
Sri Lanka Introduces Two New Lotteries
Sri Lanka's National Lotteries Board (NLB) is launching two new lotteries in June.
Tele Lottery is the first lottery game in Sri Lanka that can be downloaded onto a mobile phone. Players will be able to pick their own numbers, with winners taking home prize packages worth $ 13,535.
The other new lottery is New Airport Lottery, the profits of which will be going to fund the planned Weerawila Airport.
Boss Media Makes Deal with ALC
Boss Media, the Sweden-based software provider, agreed to supply the Atlantic Lottery Corporation (ALC) with an Internet gaming system. The news follows a prepared statement released Feb. 7, wherein the company said it had been awarded a five-year contract by the World Lottery Association (WLA) in North America. The ALC is a member of the WLA, and represents four Canadian provinces. Acting president and chief executive Markus Holm said: "Thanks to our high-quality gaming products and excellent cooperation with Svenska Spel . . . we have succeeded in securing an additional customer within the WLA sphere.