Weekly Nambling Notes

27 April 2003

On the E-Commerce Front -- Today's PayPal is apparently all about distancing itself from vices, unless of course its new parent company, eBay, is the benefactor. The I-gaming business knows all too well that the third-party Internet transaction processor no longer handles any payments having to do with gambling. Recently their attention has turned to the sex sites, but a recent decision to refuse processing for adult-oriented auctions has landed them in hot water. A subsidiary of Rick's Cabaret, which runs NaughtyBids.com, filed an anti-trust suit against eBay because PayPal continued to handle transactions for eBay's "Mature Audiences" section, despite denying business with all other adult auctions. The suit was withdrawn April 22 after eBay removed the exemption.

Tidbit from Bermuda -- Bermuda's Ministry of Tourism, Telecommunications and E-Commerce is intent on making the Atlantic island a key hub for offshore e-commerce businesses, but don't expect that to open up any doors for Internet gambling. Plans for Bermuda's "E Government Portal" call for the aggressive development and promotion of e-business based on the island, however, those plans, at this point do not include the welcoming of I-gaming operations. "The days of offshore e-business jurisdictions just concentrating on having great server farms full of pornography and gambling sites has ended," said Nigel Hickson, a consultant to the ministry, as quoted in the Bermuda Sun. "The successful offshore jurisdiction of the future is one that is going to based on international business, and e-business is going to be part of that overall development, but it's not going to be the main element. It is an enabler for all parts of the economy."

Thursday, April 24

News from Down Under -- The Australian government's call for submissions regarding its prohibitive Interactive gambling law ended on Tuesday. Built into the law is a clause that requires the government to review the law two years after it was passed. That review is taking place now, and several companies and organizations related to I-gaming have weighed in, including the Interactive Gaming Council. Interactive Gaming News will follow up with a full story next week.

Tidbit from the Channel Islands -- Alderney's Policy and Finance Committee president, Col Peter Walter, said recently that the island has gained considerable revenue from its online gambling licensees this year. He said the revenue is used to cover the cost of regulation and that anything left over is saved in a "rainy day" fund that can be used to fund projects including improving the islands' public property.

Wednesday, April 23

Making Deals -- Online Gaming Systems announced today that it has been chosen by NTC, a Japanese company, to develop an online casino. The project, which is the OGS's first foray into the Asian marketplace, will be complete in the fourth quarter of 2003. OGS will design the site using its FIRE technology, a java-based system that was recently certified in the Northern Territory of Australia. David Kinsman, managing director of OGS (Australia), said the company will design customized Asian games for the site.

New Stuff -- Sky News reported today that a new identification program has been started for U.K. children. The campaign, run by CitizenCard, a photo ID organization, is called "interactiveAgeCheck" (iAC). Its aim is protect children from Internet content that is meant for adults, such as gambling. Andrew Chevis, the chief executive of CitizenCard, said the program will make the Web a safer place for children and retailers. "It will allow people of the right age to access the services they are entitled to, while denying it to those who aren't, or preventing them from under-age services," he said.

UK Tidbit -- Easibet.net will open its first betting exchange shop in Edinburgh on May 1. The concept, halfway between an "Internet cafe and a stockbroker's office," according to Henry Spurway, the Easibet.net's managing director, could lead to a chain of betting shops that challenge High Street bookmakers. "We are trying to open the idea up to everyone and attract women who would never think about going into a normal betting shop," Spurway said. "A lot of women play bingo and also go to casinos so we hope they will feel at home here. This has to be the way forward."

Congrats -- Betfair was recently given the 2003 Queen's Award for Enterprise in the category of Innovation. The U.K.-based company accepts more than £50 million in bets each week. It will be permitted to put the "Queen's Award" emblem on its site for the next five years.

Legal Stuff -- Sportingbet has begun the appeal process in Australia against a Supreme Court ruling that it must replay AU $2.6 million to K&S Corp. The company filed suit against the bookmaker last year after one of its former employees, Dennis Telford, allegedly stole company money and used it to bet with Sportingbet.

Tuesday, April 22

New Stuff -- King Solomon's Casino Group brought a new online casino, ksgambling.com, online today. The site offers 43 traditional casino games including blackjack, roulette, keno and slots; as well as bingo, live multiplayer poker and sports betting. In addition, the site gives players the ability to "be the king," i.e., assume the role of dealer in multiplayer games. Dominic Mansour, a marketing consultant for the company, said the site has something for everyone. "Many enthusiasts enjoy diversity in their gaming, and this new portal provides them with a single destination for great odds, exciting types of games of all types, and award-winning honesty and service," he said. King Solomon's is licensed by the Kahnawake Gaming Commission. ... Action Online Casino yesterday announced the launch of its new Internet casino, www.actiononline.com. The site is powered by gaming software from Playtech. David Belfiore, founder and CEO of Action Online, said his company's employees, many of whom are veterans of the land-based industry, can offer hospitality and experience not previously seen by the customers of online casinos. "Our team's experience in the land-based casino industry provides us with the knowledge and experience to know what players want, which is cutting-edge games, fairness and recognition," he said.

Novelty -- What do television shows "The Practice," "Hack," "The Agency," and "Cedric the Entertainer Presents" have in common? The likelihood that each will be cancelled is up for bets on BetWWTS.com. "Each year a number of under-performing television programs and family favorites are cut by the networks, drawing the ire of a loyal fan base of dedicated viewers," said Simon Noble, the CEO of BetWWTS.com. "Offering betting options on television shows being renewed is just the latest in a long line of entertainment betting options on BetWWTS.com has offered."

Tidbit from New Zealand -- New Zealand TAB's new interactive television betting service, offered in conjunction with Sky, may soon be joined by a text message betting, which is being tested by the company. Mark Johnston, TAB's marketing director, said the company doesn't want to miss out on the popularity of mobile betting.

Names and Faces -- Peter C. Bernhard is being reappointed to the Nevada Gaming Commission by Nevada Gov. Kenny Guinn. Bernhard, a lawyer in Las Vegas, was appointed in October 2001 to finish out the term of Brian Sandoval, who left the post to run for state attorney general.

Bit from the UK -- Ladbrokes recently started offering bets on American horse racing for through its Internet site. The bets, which include American-style wagers like the superfecta and the pick six, are available to the company's registered pool of 600,000 bettors.

Monday, April 21

New Stuff -- Sky New Zealand last week launched its interactive television betting service, which enables customers to bet on horse racing, rugby and soccer events through TAB. Jim Leach, the TAB transition general manager, said the service was in development for the last two years by Holotype New Media and was online for the last two weeks as part of a trial. During the trial, the betting service generated NZ$40,000 in revenues.

Making Deals -- The Mercury News reported today that Yahoo has added betting to its horse-racing page through a deal with Penn National Gaming's eBET USA. The story also states that ads for the online betting service have run on Yahoo email service pages. A spokesman for Yahoo told the Mercury News that the ads on the e-mail pages "were placed before they completed our ad review process, and for that reason we are taking them down. We will evaluate the ads for their appropriateness." Penn National Gaming did not comment in the story.

Names and Faces -- The South China Morning Post said today that one of Stanley Ho 's longtime friends and business partners was found shot at the Lisboa Hotel in Macau on Friday. A spokesman for Ho's casino properties said that Ho is furious about the murder of Chan Sai-yin, a Thai-Chinese businessman and that the matter is under investigation by Macau polic