Global Interactive Gaming Ltd., a subsidiary of Interactive Systems Worldwide, Inc., has reached new terms, in principle, on a revenue sharing agreement with Sportingbet, the online gambling operator. Under the original agreement, Sportingbet had agreed to pay fixed monthly fees to GIG. But under the new agreement, scheduled to be completed in "the next few weeks," GIG's monthly revenue share will be determined by the "larger of a revenue-share percentage and a new minimum monthly guarantee" -- meaning GIG will receive a "significantly higher" monthly share.
In December 2006, GIG agreed to supply Sportingbet with an in-run betting platform and services. Bernard Albanese, ISWI's chief executive, said the agreement's extension "will provide the company with a much-needed increased level of stable cash flow." Mr. Albanese added: "It is expected that the anticipated cash receipts will allow GIG to be cash-flow positive on a go-forward basis. This is the first time that GIG has been able to achieve this milestone."
Ladbrokes, the high street bookmaker, will on Wednesday launch a televised ad for its online casino, Casino.Ladbrokes.com. The campaign, worth an estimated $3.9 million, was created by M&C Saatchi, the London-based ad agency. Online and direct marketing, provided by Walker Media, will be launched in support. Ladbrokes' first televised ad campaign, "Everyone's got an opinion, what's yours worth?", launched in October 2007 and was investigated soon thereafter by the U.K. Advertising Standards Authority. The ASA received four complaints alleging the campaign encouraged gambling in young men, which it rejected in December 2007 and allowed the ads to continue.
British Sky Broadcasting, the U.K.-based broadcaster and operator of Sky Bet, has appointed Andrew Griffith chief financial officer. Mr. Griffith, 37, was BSkyB's director of group finance, M&A and investor relations before his promotion.
Deutsche Welle, the Germany-based international broadcaster, reported that German lawmakers are still at odds over the legal definition of poker. "Online poker is still immune from criminal prosecution as lawyers continue to debate its legal definition," read a report on DW-World.de, Deutsche Welle's news portal. The report goes on to say that Internet gambling is "booming" in Germany, with statistics from the Addiction Yearbook of 2008 suggesting between 200,000 and 290,000 German residents play online poker each year. Deutsche Welle did not say, however, what proportion of the German population these gamblers represent. The report did not provide statistics showing year-on-year growth, or decline, in poker players, nor did it indicate what percentage of the poker-playing population were problem gamblers.
On the London Stock Exchange today, Ladbrokes was down 10p, or 3.1 percent, to 317.25, Playtech was up 7p, or 1.6 percent, to 435.00 and PartyGaming was down 0.50p, or 2.4 percent, to 20.50.
Chris Krafcik is the editor of IGamingNews. He lives in St. Louis, Mo.