TVG Loses Patent Battle
Gemstar-TVG Guide International, the parent company to the TV Games Network racing channel, suffered a serious blow in court recently when it lost a crucial patent infringement case.
International Trade Commission Judge Paul Luckern's "initial determination" is among the worst possible outcomes expected, according to analysts and patent attorneys.
The administrative law judge ruled that three of the company's patents for its on-screen interactive program guide have not been infringed on by competing products sold by Pioneer Electronics, Scientific-Atlanta, EchoStar Communications and SCI Systems, now a unit of Sanmina-SCI Corp.
Additionally, he found Gemstar misused its "television navigation" patent and that it is unenforceable for "failure to name a co-inventor." The judge's decision means the three companies that Gemstar sued may continue to import their cable-TV set-top boxes into the United States. Pasadena, Calif.-based Gemstar said it would appeal the decision to the ITC as a whole and possibly to a federal appellate court if needed.
NTRA Lashes Out Against Goodlatte
The National Thoroughbred Racing Association called the amended version of the Internet gambling prohibition bill sponsored by Rep. Bob Goodlatte, R-Va., "flawed and unfair" in a statement.
The Goodlatte bill, also referred to as the Combating Illegal Gambling Reform and Modernization Act, passed out of the House Judiciary Committee stripped of the language that exempted horse racing from the Internet gambling ban.
"We do not believe the bill in its current form is a realistic candidate for passage in this Congress," the statement said. "It is fundamentally flawed and unfair. It fails to distinguish between legal and illegal wagering activities that utilize the Internet as a means of communication."
The Goodlatte bill was originally designed to combat offshore Internet wagering, which Goodlatte said siphons money out of the United States.
Telephone Account Wagering Comes to Massachusetts
The long-awaited debut of phone account wagering at Suffolk Downs happened over the weekend when the East Boston track accepted bets through XpressBet, owned by Magna Entertainment.
Accounts, which allow for a minimum of $25, can be established by calling 1-866-88XPRESS. Deposits can be made by cash or check at the on-site center, but credit cards are not allowed.
XpressBet offers the Magna tracks, such as Santa Anita and Gulfstream Park, as well as other options. Within two weeks, Suffolk will also make available TVG, which includes the Churchill Downs Inc. tracks and the New York Racing Association tracks. Depending on preference in tracks, a bettor can establish an account with either vendor or both.
Account wagering was legalized in Massachusetts in November.
''We waited a long time for this,'' said Bob O'Malley, chief operating officer of Suffolk. ''Hopefully, it can prove to be beneficial to our business.''
Betfair.com Wants Ban on Jockeys
As reports swirl that jockeys were laying odds on horses they knew wouldn't win, British-based P2P betting exchange Betfair.com is calling for massive reform for the industry and at the top of its list is a ban on jockeys and trainers from betting.
The site has recommended to the Jockey Club that trainers and jockeys be banned from betting after a BBC program, Kenyon Confronts, exposed trainers who allegedly fix races by entering a horse to lose and then cashing on bets when their entrants run under less weight after the losing race.
Prominent English bookmaker Victor Chandler concurred with the television show's report by saying that until the Jockey Club introduced stricter guidelines two years ago, it was "common practice (to offer) free bets and similar arrangements" to trainers in exchange for information, This is London reports.
Although Betfair was able to produce records that discredited the claims from both the program and Chandler, the exchange did admit that its existence increases the temptation for trainers to use a kind of insider trading when gambling.
Cuts Hit Macau Jockey Club
Macau Jockey Club staff were informed of pay cuts ranging between five and 10 percent and told to work harder for the rest of the season, which ends on Aug. 31.
The pay cuts were imposed after initial estimates suggest that the club would suffer its first fall in turnover in 10 years. Sources say it now looks possible that turnover could fall between 15 and 18 percent.
The MJC has been especially hard hit by the Hong Kong Gaming Ordinance that came into effect at the end of May and by the World Cup throughout the month of June.
Approaches to E-betting Vary throughout US
Developments in California and Oklahoma in recent weeks illustrate the wide gap in the status of Internet betting in the United States.
In Oklahoma, the attorney general announced that since anything not specifically permitted is automatically illegal, and that the state’s strict antigambling laws do not permit Internet or telephone betting, it is illegal to place or take a bet on horse racing by phone or Internet in the state. A similar result was reached in Nebraska last month when the state Supreme Court agreed with the attorney general on the same issue.
In California, however, where Indian tribes now have huge influence through political contributions, not one legislator would second a motion to ban Internet wagering in the state senate.
The tribes privately expressed interest to the representatives that they may want to explore the Internet in the near future as another distribution channel for their gaming products.
Former Governor Joins Youbet.com Board
Youbet.com Inc. announced the appointment of former Illinois Gov. Jim Edgar to its board of directors, effective June 19.
Edgar's career in government spans 30 years. He served in the Illinois executive branch for 20 years, including two 4-year terms as the 38th governor of Illinois and 10 years prior to that as Secretary of State. He worked in the legislative branch of government for 10 years, which included his election to the Illinois House of Representatives.
"Joining the board of Youbet.com is an extraordinary opportunity for me to combine my expertise in government with my enthusiasm for the horse racing industry," Edgar said. "Youbet.com is widely considered to be one of the most respected names in the horse racing business, and I look forward to assisting Youbet.com in achieving its long-term vision and business goals."