Interesting to see the code explained, visually, for a clearer understanding of how God-mode in the UB Scandal probably worked … then extra-curious to realize Jim Ryan, CEO of WPT-parent Party Gaming, was CEO of Excapsa Software, Ultimate Bet partner, during the heyday of cheating on their site.

And while some may think little of it, because hey, it’s just pretend money … we all know free-play online poker isn’t just about the joys of truly amateur poker … it’s about preparation for real-money online gambling. The WSOP is pushing their free Facebook-app game throughout the Amazon Room, after all, and Zynga takes a rake in their “cash games”. Do a Google search for “Zynga poker rigged” or “Facebook poker scam” … The screams of cheating and scandal are more outrageous than AP/UB/Cereus ever coulda had to cover up.

Whether the apparent security flaws at Club WPT are a matter of coincidence, ignorance, incompetence, or shenanigans, it does make you wonder who will be ready for American players when real-money online poker comes into play.

9 November 2009

PartyGaming Plc
(“PartyGaming” or “the Company”)

Acquisition of World Poker Tour completed

PartyGaming, the world’s leading listed online gaming company, announces the completion of the acquisition of the business and substantially all of the assets of WPT Enterprises Inc. (“WPTE”) for a cash consideration of $12.3 million plus an additional minimum aggregate payment of $3m over the next three years relating to an ongoing revenue share agreement.

The assets being acquired include, inter alia:

· The World Poker Tour® brand, rights to a number of land-based events in the US and Europe and all other intellectual property rights associated with the World Poker Tour
· An extensive library of over 150 hours of poker programming that is broadcast in more than 150 countries
· The ClubWPT subscription poker offering that has more than 16,500 paying subscribers in 37 US states

Commenting on today’s announcement, Jim Ryan, PartyGaming Chief Executive Officer, said:

“This deal brings together two of the biggest brands in online and offline poker – www.PartyPoker.com and World Poker Tour – that we will market internationally to build our poker business. Our plans also include using the ClubWPT subscription platform to leverage our 12 million-strong US player database via a Party-branded website and the launch of a European WPT-branded poker and casino site. We are excited about the opportunities that WPT, a proven marketing channel for the Group, will create for PartyGaming, particularly if the US regulates and licenses online gaming.”

Steve Lipscomb, the founder of WPTE, said:

“PartyGaming has been an important partner for a number of years and we are confident that they will be an excellent manager of our brands in the future. Combining two of the pioneers and leaders in the poker and online gaming markets will create a strong vehicle for the WPT brand to continue its global expansion.”

The intent would be to raise capital in preparation for all sorts of crazy consolidation and forthcoming acquisitions in the online gambling sector.

At least one Betfair exec dismisses the talk as little more than speculation, despite meetings with Credit Suisse and other banking advisors that have the European financial press getting their knickers in a bunch as “companies seek to position themselves to enter the world’s biggest gambling market.” Should the rumored floatation happen, it would be the first major listing on the London Stock Exchange since the global economic collapse.

$400k HORSE

At the same time, Betfair last week made another move toward American soil by pledging $400,000 to the New York (Horse) Racing Association as an overlay should two specific horses face off against each other in October at Belmont Park:

Rachel Alexandra, the first filly to win the second leg of horse racing’s Triple Crown since 1924, has won her last eight races. Zenyatta is undefeated in 12 career starts, including the 2008 Breeders’ Cup Ladies Classic.

LOL, I didn’t even realize they had ladies events in horse racing!

Across the Chunnel: Refashioning French Poker

Arnault.

Betfair also just got themselves approved to enter France’s online gambling market, which is set to open next year … apparently with some nice poker-friendly alterations to the rake. (The new French law originally had players paying tax on every bet and raise, on every street … which can totally screw with your pot-odds calculations!) Helping get Betfair to the front of the French licensing line, with a better rake structure no less? Heavy lobbying efforts from billionaire bling merchant Bernard Arnault, CEO of Louis Vuitton, 10 percent owner of Betfair, and the 15th richest person in the world.

New-and-improved Yahoo! Poker Coming Soon

We’re talking Yahoo! Uk & Ireland, of course, not Yahoo! USA. The British arm of the web behemoth just re-upped its partnership with GTech G2, for two years, to provide real-money gaming options — and part of that deal includes plans to unveil a fully downloadable real-money Yahoo! poker room, not just the (lame) in-browser version currently available.

Magazine Moguls Jump into Mobile Gambling

PartyGaming CEO Jim Ryan recently said that the biggest threat to established online gaming brands comes from major media outlets, not current competitors. And sure enough … Dennis Publishing — the mega-magazine company behind Maxim, MacUser, Computer Shopper, Bizarre, Men’s Fitness, and more than a dozen other publications (including PokerPlayer, Inside Poker Business, and Stacked) — just launched its Monkey Mobile Casino, offering real-money online gambling on handheld devices. (The current issue of Monkey, fwiw, features a picture of Lady Gaga’s recent nipple slip.

The Swedish Taxman Cometh

Meanwhile, the Swedish Tax Authority (Skatteverket) has been studying all forms of internet commerce tax evasion since 2007, and has concluded that online poker companies with offshore servers are one of their biggest sources of uncollected e-commerce taxes.