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John J. Gately

original group consisted of over 13 hundred players, but now two days later, that number has been widdled down to less than a hundred.

The North Dakota Texas Hold 'Em Poker Championship is in it's final day at the Vegas Motel in Minot, and a champion is soon to be crowned.

After two days of qualifying rounds, hundreds of players have gone "all in" with their chips and tonight, only 10 will have a seat at the final table.

This is the 5th year of the tournament, which started small, but organizers and players say they continue to be impressed with the growing amount of interest.

(Chad McNally, MSU Alumni Dir. of Gaming) "I think they all kind of doubt it at first. Can we really get to 1300 players? The first year they were trying to get to 300 and got over that, so every year it keeps growing, and I think they're just amazed every year that we can actually get more and more players every year." (Jeff Nehring, Past Tournament Champion) "With the number of player they have now, just qualifying is a pretty good accomplishment, so I was very happy to qualify this year, and then to win money was just an added bonus."

Nehring finished 83rd in this year's tournament, and cash is awarded to the top 100 players.

Tonight's champion will take home a prize of 35 thousand dollars
 
(http://www.kxmc.com/News/315253.asp)
 
John J. Gately
VP Technology

6:05 pm January 4 2009
John J. Gately

It started with 1341 players vying for the $35,000 grand prize at the North Dakota State Poker Championship.

After hours of deciding whether to hold`em or fold`em the field was narrowed to ten,then two, and the rest was history.

Sam Dickson of Saskatchewan outlasted Shane Duchscherer of Minot and became the first Canadian champion in the five year tournament history, but he wasn`t confident heading into the final hand.

"I thought I was done, when he called I was sure he had the better hand. I was trying to push him out," says Dickson.

Dickson`s victory was the end to a grueling 15 hour day for both players and those running the event.

"This was the best tournament we`ve done by far, everything fell together so much nicer. Everyone stepped in and filled their roles very well." says Tournament Director Mitch Schock.

As for the champion, Dickson hopes to use this win as a learning experience.

"Hopefully I can compete with Mitch in the World Series someday," says Dickson.

This years tournament was held in honor of 2007 champion Curtis Langford.

Langford died last August of pancreatic cancer.

Many players donated a portion of their winnings to the Langford family, including Chastity Askvig, who`s historic run to the final table was all about honoring a lost friend

"I wasn`t in it for the money, that`s for sure. I had no idea what I won," says Askvig

Askvig became the first woman to finish in the top ten and used the advice and support she received from Langford to help her through.

"He always told me you go girl so that was my goal to make the final table for him and for other women," says Askvig.

The tournament has grown each year as players from ten states and throughout Canada made their way to Minot this week.

The three day event drew over a thousand specatators, and has quickly become a must see event throughout the region.
(http://www.kfyrtv.com/News_Stories.asp?news=25663)
 
John J. Gately
VP Technology

John J. Gately

 
Having only been a poker professional for three years now after starting to play the game in 2003 right at the beginning of the “poker boom,” I was very fortunate to have been able to ride most of the meteoric rise that the game experienced from 2003 until 2006. Unfortunately, in recent years we’ve seen things such as the Unlawful Internet Gambling Enforcement Act (UIGEA), lower television ratings for poker, and an overall downturn in the economy cut into the growth of this great game.
 
Now don’t worry, this column has nothing to do with the death of poker or a downturn for the game. I’m not normally one to speculate on where the game is going, but there is no denying that its growth has slowed, the existing playing pool has gotten a lot more talented through the abundant forms of education out there, and with the downturn in the economy, fewer new players have discretionary income to put into poker.
 
That being said, not all is doom and gloom. In 2007, I started to take notice of things slowing down as some of the online fields started to shrink, but more importantly, many of the World Series of Poker events had fewer players than before. Later in 2007 and in early 2008, many of the World Poker Tour events I went to also had smaller fields than in previous years.
 
This year, however, many of the World Series of Poker fields (including the Main Event) actually grew! And while World Poker Tour events weren’t necessarily growing, they were holding onto their 2007 numbers (at least the ones I attended) fairly well. Perhaps more recently (and the inspiration for this particular column), I recently returned from the Bellagio in Las Vegas where I played many of the preliminary events for the Five Diamond Classic on the World Poker Tour. The fields for the $1,500-$5,000 events, while not huge, were larger than I had anticipated. In addition, I was not familiar with many of the faces that I ran into at the tables, something that has been a lot rarer in recent years at live events.
 
I’m not trying at all to be political here, so hopefully what I say isn’t misinterpreted, but under the new Obama Administration, there is some hope that the UIGEA may be overturned or at least clarified so that online poker isn’t included. There is also hope that our general economy may turn around. More people with discretionary money is always a good thing for poker.
 
With that in mind, and with some of the anecdotal evidence I’ve seen in my limited travels this year, I’m cautiously optimistic that poker can start back on a growth path. It probably won’t be at the same level we saw during the “poker boom,” but hopefully will be a slower, steadier growth. In addition, hopefully the stigma associated with playing poker online disappears and people’s discretionary incomes improve.
 
I realize that discussing the poker economy isn’t exactly exciting (thank you if you’re still reading), but growth of the game is important for everyone. While I enjoy seeing faces of friends that I recognize at the tables while I’m out traveling, some of my most enjoyable experiences come from getting to meet amateur players who have a true passion for the game. Being around those types of people reminds me why I love poker in the first place and reinvigorates my “poker spirit” by making the game feel a lot more fun and a lot less like a grind.
 
I’ve had a very busy year this year. My family has been in the process of building a new house, I’ve released a book, and I had my signing and subsequent resignation from Ultimate Bet. All of these things were wonderful experiences that I’m glad I went through and I look forward to releasing a second book soon. That being said, many of them were huge distractions this year, and going into 2009, I’m really looking forward to having a clear mind at the tables and getting a chance to hit the tournament trail again and really focus on poker. Having seen the fields that the Five Diamond preliminary tournaments received, as well as being hopeful that the economy is turning around and some of the barriers that have been in place in the poker landscape will be removed, I’m a lot more excited about the prospects of poker in 2009 than I was even just a few short months ago.
 
I don’t have my thoughts quite as in order as I usually like to in this column, but the short version of what I’m trying to say is that a lot of things have happened in the last few months that have made me much more optimistic about the state of poker moving forward. I’ve also had the opportunity and pleasure of working with people who were able to take me out of the grind and, through their passion for the game, have reignited my passion for the game.
 
For the first time in a while, I’m really excited about the prospect of getting out and playing more poker, as well as meeting new players who share my enthusiasm for the game. If you see me out on the tournament trail next year, please don’t hesitate to say hello. I really do enjoy meeting new poker players, especially if they share my love for this great game.
 
 
(http://www.pokernewsdaily.com/eric-lynch-rizen-discusses-the-future-of-p...)
 
John J. Gately
VP Technology

John J. Gately

 
Top online poker player Tom "Durrr" Dwan has issued a challenge to any player to play him heads up on Full Tilt Poker and he is so confident in his superiority, he is willing to lay 3 to 1 odds to anyone who takes him up.
 
In a statement made to Bluff Magazine, Durrr states:
 
"I'm making this heads-up challenge to the world. Anyone can accept. Four tables, minimum of $200/$400, and I'll put up $1.5 million to their $500,000. We play 50,000 hands minimum and if they end up a dollar after rake they keep the side money or whatever. So basically, if you and I played and you won a dollar, you would get my $1.5 million and if I won a dollar I would win your $500,000. So I'm giving a million dollars free if anyone thinks they can do it."
 
Since bursting onto the online poker world as a teenage phenom, Durrr has taken on any and all comers in the biggest cash games around. What began as a quiet Saturday night with some friends with a $50 deposit, Durrr has made millions climbing through the ranks before even being old enough to play in most casinos. The always confident and equally brash player has no fear, either financial or otherwise as he has already made enough money to live a comfortable lifestyle for the rest of his life. It has gotten to the point where he is now inventing new challenges for himself to keep sharp which is the most likely reason for this latest move.
 
The rumor associated with the challenge is that it is open to anyone interested with the exception of Durrr's friend Phil "OMGClayAiken" Galfond.
 
At press time, it is unclear if anyone has accepted the challenge though Durrr has been spotted playing heads up well into the night against a lesser known high stakes player. We will update this story should any new information come to surface.
 
(http://www.gambling911.com/poker/durr-issues-million-dollar-poker-challenge-010509.html)
 
John J. Gately
VP Technology

John J. Gately

 
There's a famous scene in the World War II movie "Patton" where tank forces commanded by U.S. General George Patton and German Field Marshal Erwin Rommel are engaged in a battle in North Africa.
 
Patton correctly predicts the strategy and tactics Rommel is to use and thus wins the battle easily.
 
Afterwards, Patton gleefully explains how he bested Rommel, declaring, "I read your book!"
 
Yes, prior to World War II, Rommel, a briliant military strategist and tactician nicknamed the "Desert Fox," had written a book spelling out in detail his philosophy on modern tank warfare.
 
The "Desert Fox" had no idea he'd later be outfoxed by an American general who had read the book.
Some years later, a similar thing happened to poker legend Doyle "Texas Dolly" Brunson.
 
Brunson, one of the first stars of poker, was one of the first winners of the World Series of Poker (WSOP) Main Event, and the first back-to-back winner, winning it in 1976 and 1977.
 
Impressed with his success, a book publisher offered Brunson big bucks to write a book about his strategies, tactics, philosophies and secrets of poker.
 
Brunson bit and the result was the hugely popular and highly educational 1979 poker tome "Super System."
 
Unfortunately for "Texas Dolly," however, he later regretted writing the book, saying he lost his playing advantage over other poker players after revealing the secret strategies that made him a champion.
 
Because competitors, thanks to the book, could now predict how Brunson would play any given situation, Brunson said he had to completely change his style of play in order to regain his advantage.
 
It appears, however, that he never fully regained that advantage, as he never won another WSOP Main Event.
 
Now another top poker pro, Daniel "Kid Poker" Negreanu, is seeing the light, and realizing that sometimes it's best to keep your big fat mouth shut.
 
The crafty Canadian, who gives poker lessons, for a fee, wrote on his blog (online diary) the other day that he is considering not giving lessons any more because he thinks giving away all his poker-playing secrets may not be such a great idea.
 
Ya think, Danny boy?
 
Negreanu wrote on his blog at Full Contact Poker (www.fullcontactpoker.com) that, starting in 2009, "I'll be doing a lot less teaching. People are already getting better and just giving away my secrets is starting to feel like a bad idea. Not because I don't think I'll be able to win, but more a case of, why should I? Seriously, for like 10 years now I've been doing that and I'm not so sure I want to any more. I've done enough."
And why the change of heart?
 
Because, Negreanu wrote, "I'm going to be a bit more selfish in terms of looking out for numero uno."
 
Don't you just love it when a Canadian of Romanian extraction who lives in the U.S. tries to impress us with his Spanish?
 
If he really wants to look out for numero uno, though, ditching the poker lessons won't be enough.
Negreanu has also written a book on poker and writes a syndicated newspaper column about poker.
He'll have to ax the writing career, too, if he really wants to keep his secrets secret.
 
Thomas Somach, www.pokerhelper.com
 
(http://www.gambling911.com/poker/daniel-negreanu-stop-giving-poker-lessons-010509.html)
 
  
John J. Gately
VP Technology

John J. Gately

One of the more unexpected developments during the 2008 calendar year occurred in Kentucky. Known as the “Bluegrass State,” Kentucky has become the epicenter of a volatile legal case that concerns the seizure and potential forfeiture of 141 internet gambling domain names by its Governor, Steve Beshear. The case has attracted the attention of major industry organizations, mainstream news sites, and even the American Civil Liberties Union, which is more commonly known as the ACLU. The case has the potential to set a major precedent one way or another, as the domains would be inaccessible not only in Kentucky, but all over the world. Let’s take a look at the basics.

In September, word broke that Governor Steve Beshear had ordered the Justice and Public Safety Cabinet to seize 141 domain names belonging to internet gambling companies that solicited customers from the Commonwealth. Among them were the URLs of PokerStars, Full Tilt Poker, Absolute Poker, Ultimate Bet, PlayersOnly, Cake Poker, and Doyle’s Room. An official hearing on the case was held on Friday, September 26th in a court room in Frankfort, which is the state’s capital city. Among those in attendance were lawyers from the Interactive Media Entertainment and Gaming Association (iMEGA) and Interactive Gaming Council (IGC). 

On Wednesday, October 15th, the verdict of Judge Thomas Wingate was scheduled to be released. However, the Circuit Court Judge’s staff cited “computer problems” and the ruling actually came out the following day. It was anything but beneficial to the internet gambling industry, as Judge Wingate upheld the State’s actions and scheduled a final forfeiture hearing for November 17th, which was later pushed back until December. He ordered that sites in jeopardy could be spared if they blocked Kentucky customers. Cake Poker, Absolute Poker, Ultimate Bet, and sites on the Merge Gaming Network did just that. Microgaming originally blocked access by Kentucky residents, but later retreated from the U.S. market altogether.

Lawyers in the case argued that allowing Kentucky to seize domain names opened the door for any state, city, county, country, or municipality to follow suit. In essence, a dangerous precedent could be set. However, Judge Wingate was not swayed. In his ruling, he commented, “This doomsday argument does not ruffle the Court. The internet, with all its benefits and advantages to modern day commerce and life, is still not above the law. The challenge here is to reign in illegal activity and abuse of the internet within the framework of our nation’s and Commonwealth’s existing common law norms and principles.”

With regards to poker, specifically, Wingate argued, “Chance, though not the only element of a game of poker, is the element which defines its essence. In the end, no matter how skillful or cunning the player, who wins and who loses is determined by the hands the players hold.” That statement prompted uproar from industry groups such as the Poker Players Alliance(PPA), which holds that poker is a game of skill under Kentucky law and therefore legal. Those familiar with the game could also cite bluffing as an instance when a player with the worst hand wins a pot. The PPA has submitted an amicus brief in the case, joining Network Solutions, the Electronic Frontier Foundation, ACLU, and the Center for Democracy and Technology as organizations to do so.

In November, after iMEGA and IGC filed petitions for the Kentucky Court of Appeals to intervene, the case was stayed. On Friday, December 12th, the parties gathered in a court room in Louisville, the Commonwealth’s largest city. The three judge Court of Appeals panel featuring Michael Caperton, Michelle Keller, and Jeff Taylor heard arguments over the course of an hour and are currently deliberating. When they will return a verdict is anyone’s guess. In the meantime, the final forfeiture hearing is postponed indefinitely.

Central issues in the Kentucky case include the following contentious points:

1. Did the State have jurisdiction to seize the domain names in the first place? Neither the companies themselves nor the domain names appear to be located in Kentucky. Therefore, did the State have the authority to act? Who can seize domain names and who has control over the Wild West of the internet?

2. Did the State violate the Commerce Clause of the United States Constitution, which holds that Congress is charged with matters of commerce between states and with foreign nations? In this case, Kentucky may be regulating commerce on its own.

3. The Kentucky Lottery operates a second chance drawing online. In addition,TwinSpires.com, which offers online wagering on horse racing, is owned by Kentucky-based Churchill Downs Incorporated. Why should these be allowed to conduct business in Kentucky, but not the 141 companies in question? Is the State simply trying to protect its own economic interests?

4. Is calling domain names “gambling devices” justifiable? The term, which was used to seize the domains, is traditionally applied to items you’d find in an underground casino such as slot machines and roulette wheels. Can this term be used to reference domain names?

5. The case by the State is in civil court. However, seizure and forfeiture are in the penal code in Kentucky, which requires a criminal hearing. One central issue concerns whether the State is pursuing the proper protocol.

 
(http://www.pocketfives.com/online-poker-scene/2008-year-in-review-kentucky-internet-gaming-squabble-3755137)
 
 
John J. Gately
VP Technology

John J. Gately

(PRESS RELEASE) -- WPT Enterprises and Fox Sports Net (FSN) announced today the World Poker Tour® (WPT) Season VII television schedule, debuting the first of 26 action-packed episodes on January 4, 2009 during FSN's Sunday Night Sports Block. Rounding out the sports lineup on FSN, WPT joins the ranks of Major League Baseball, National Hockey League and National Basketball Association.
 
"FSN is pleased to be the new home of the WPT, the foremost brand in televised poker," said George Greenberg, FSN Executive Vice President of Programming and Production. "This season promises the biggest names, the highest stakes and the most drama and we are very excited to watch all the action unfold."
 
Season VII's new one-hour, two-part format continues to provide sports-style analysis and high-stakes hands from WPT's world-renowned tournaments. Season VII also gives viewers a front-row seat to watch poker history, anticipating such milestones as the $400 million mark for prize money awarded and the 100th WPT Poker-Made Millionaire crowned. Fans will also see many familiar faces back at the final table, including WPT Season IV Player of the Year Gavin Smith, Mike "The Mouth" Matusow and David "the Dragon" Pham.
 
"Not only are we excited to bring our seventh season to the airwaves, we're ecstatic to be a part of one of the leading networks for sports, FSN," said Steve Lipscomb, WPT Founder, President, and CEO. "Together, WPT and FSN continue to bring the action into living rooms and put fans on the edge of their seats."
 
Hosts Mike Sexton and Vince Van Patten are back to call the action, while a new face-WPT Live Updates Hostess Amanda Leatherman-joins the team to conduct sideline interviews. The action is recorded from the most prestigious gaming destinations on the WPT circuit: Bellagio in Las Vegas, The Bicycle Casino in Los Angeles, Borgata Hotel, Casino & Spa in Atlantic City, Fallsview Casino Resort in Niagara Falls, Ont., Foxwoods Resort Casino in Mashantucket, Conn., Beau Rivage in Biloxi, Miss., Commerce Casino in Los Angeles, and Bay 101 in San Jose, Calif.
 
All 26 Season VII episodes airing on FSN are sponsored by FullTiltPoker.netTM, one of the leading websites in poker instruction. Additionally, Southwest Airlines returns as the Official Airline of the World Poker Tour.
 
In addition to airing WPT action, FSN is also the network home for ClubWPT.com. Viewers can catch all ten ClubWPT.com episodes during a TV marathon airing Christmas Day on FSN.
 
In early January, WPT will launch a channel finder on www.WorldPokerTour.com, giving fans easy access to the full World Poker Tour and ClubWPT.com TV schedules on FSN, including show times and channels in your area.
  
(http://www.gambling911.com/poker/world-poker-tour-air-fox-sports-net-123108.html)
 
John J. Gately
VP Technology

John J. Gately

According to the Salt Lake Tribune newspaper, Utah State Representative Sheryl Allen (R-Bountiful) is seeking to introduce House Resolution 1, which asserts that the decision whether or not to adopt gambling should belong solely to the states. While Utah has managed to stunt land-based forms of gambling, Allen told the Tribune, “Computers made it much easier to gamble.”
 
House Resolutions such as the one that may be proposed by Allen are non-binding and in this case, according to Joe Brennan, Chairman of the Interactive Media Entertainment and Gaming Association (iMEGA), may simply be symbolic. Brennan told Poker News Daily, “You already have a group of state Attorney Generals sending letters to Congress and the Administration saying that they disagree with any laws regarding gaming that would take away the rights of the states.” According to the Tribune, land-based gambling is outlawed in the state’s Constitution. In order to gamble, Utah residents must hit the road and head to nearby Nevada or Idaho.
 
States like Nevada and New Jersey have embraced gambling and made it one of the centerpieces of their economies. Therefore, gambling being left up to the states themselves is an idea that will likely be embraced by both pro-gaming and anti-gaming jurisdictions. Cathy McKitrick, who authored the Tribune article, told Poker News Daily about the broader implications of House Resolution 1: “How can you reign in something like the internet? Would a resolution like Allen’s have any kind of legal impact?”
 
The Utah resolution may also serve as the spark for other states to push for all forms of gambling to be determined by the states, including the internet variety. The Unlawful Internet Gambling Enforcement Act (UIGEA), which was ushered through Congress during the final minutes of the 2006 session by former Senate Majority Leader Bill Frist, defers to state and tribal laws in determining what is legal. Brennan explains, “We have a situation where a federal law, the UIGEA, says the state laws will govern it. How is an entity going to determine whether internet gambling is legal when only six states have laws governing it?” Perhaps the harshest laws regarding internet gambling can be found in Washington, where playing poker online is a Class C felony.
 
Brennan sums up his views of Allen’s declaration: “Really, this is a public statement. This is an exercise in rhetoric rather than an exercise in lawmaking.” McKitrick echoed that Allen’s objective was to send a message. The lawmaker is a moderate Republican. One of her concerns surrounds the World Trade Organization, whose actions may have an effect on Utah gambling law. The European Commission (EC) has recently taken up a complaint filed by the Remote Gambling Association(RGA). The dispute centers on whether the United States is discriminating against foreign internet gambling operators. The UIGEA and Wire Act of 1961 currently define the legal environment of online gaming in the U.S.
 
Recent disputes surrounding internet gambling have led to the U.S. giving trade concessions to Antigua and the European Union (EU), among others. The RGA has also taken issue with the recent settlement between Party Gaming Co-Founder and stakeholder Anurag Dikshit, who admitted to violations of the Wire Act and will pay the U.S. Government a total of $300 million. In addition, Dikshit faces up to two years in prison. On the agreement, which was made official in a New York courtroom in December, the RGA proclaimed, “These events show that the outgoing U.S. administration and the Department of Justice have shown a total disrespect for the legal rights of European online gaming companies.”
 
In March, Congressmen Barney Frank (D-MA) and Ron Paul (R-TX) authored a joint letter to U.S. Trade Representative Susan Schwab requesting the details of the agreement reached between the U.S. and several nations regarding trade violations due to internet gambling. The amount of the concessions was never publicly revealed, as Schwab cited “national security.” Frank and Paul noted that billions of dollars could be at stake.
 
So far, trade concessions have affected industries such as international shipping as well as U.S. companies that hold certain patents and copyrights.
 
 
(http://www.pokernewsdaily.com/utah-representative-to-introduce-resolution-on-internet-gambling-901/)
 
 
John J. Gately
VP Technology

John J. Gately

 
The recent news in December of Party Gaming co-founder Anurag Dikshit’s plea bargain with the U.S. Department of Justice thrust the company back into the spotlight. Now, in a recent interview with Financial Times, new Chief Executive Officer Jim Ryan has announced his plans for returning the company to the lofty perch it once held.
 
The article, written by Roger Blitz, points out that it has been a very difficult past couple of years for the one-time monolith in the online poker world. After its initial public offering (IPO) on the London Stock Exchange in 2005, Party Gaming was valued at almost £5 billion. Since the departure of U.S. players due to the Unlawful Internet Gambling Enforcement Act (UIGEA) in 2006 and the subsequent decision by then-CEO Mitch Garber to withdraw from the market, Party Gaming’s value has plummeted to under £1 billion. However, as Blitz states, there could be “a light at the end of what has been a long, dark tunnel” for the company.
 
The light that Blitz refers to is the mid-December decision by Dikshit to succumb to Department of Justice pressures and plead guilty to violations of the Wire Act of 1961. In submitting his guilty plea, Dikshit paid a $300 million fine and could face a two year jail term, although sentencing will not occur until 2010. He continues to assist the United States Government in its investigations into online gaming.
 
In the article, Ryan - who took over for Gerber in June of 2008 - states that Party Gaming is currently in discussions with the U.S. Department of Justice regarding the company’s liabilities, but wouldn’t go into detail. The article states that the shares of Party Gaming on the London Stock Exchange have grown to 200 pence each and that a deal with the U.S. government is looming sometime this month. Shares can be found under the symbol “PRTY.”
 
When asked about the future of the company, Ryan was upbeat about Party Gaming’s abilities in not only online poker, but also in a realm of online gaming options. “This is a marathon, not a sprint,” Ryan is quoted as saying in the Financial Times article by Blitz. “We have been chasing quarterly profits, but the market has become so competitive, you’ve got to know where you’re going. We’re not so much slowing down, but keeping ourselves focused.”
 
The three year plan that Ryan has set for Party Gaming is something that he believes that other online gaming companies want to do, but his company already does. The Financial Times quotes Ryan as saying that the company, since its exodus from the U.S. market, has built a complete gaming operation that is focused on all aspects of the online world, including poker, casino, sports betting, bingo, and backgammon. “[We offer] different products with one back office platform,” he explains in Blitz’s article. “One deposit, one account – it’s a one stop shop. That is still the main strategic objective for a number of our competitors and we have it already.”
 
Ryan also states that he sees a day when the online gaming world will be vastly different than it is today. While poker remains the focus of Party Gaming, Ryan predicts that there will only be five online poker operators of any consequence in three years. Party Gaming at this time ranks fourth in that equation - something that “hurts,” according to Ryan - but his quote in the Financial Times piece looms large:  “We need to retake the hill and position ourselves to be that leader again.”
 
(http://www.pokernewsdaily.com/party-gaming-ceo-discusses-future-of-onlin...)
 
 
John J. Gately
VP Technology

John J. Gately

There may be hundreds of online poker sites out there, but PokerStars is beginning to establish itself as online poker’s behemoth.

PokerStars now has more than 35 percent of the entire market share in terms of concurrent cash players, according to PokerScout.com owner Dan Stewart.

“That market share is the highest it’s ever been for PokerStars,” said Stewart, who established his site in 2006 to track the number of players playing at each poker site.

There is no easy way to track tournament players or the number of unique players for each site, but PokerScout has been tracking the number of concurrent players for more than two years.

Stewart explains the distinction between unique players and concurrent players.

“If someone’s playing 12 tables, they’ll get counted 12 times,” said Stewart. “That’s because there’s 12 seats filled, and that’s what matters most to the site.”

Online poker saw yet another rise in traffic this past year, with PokerStars leading the pack. PokerScout reports that total cash game traffic increased more than 14 percent in 2008, while PokerStars witnessed a 65 percent increase over 2007. This past week, PokerStars has seen an average of 22,800 cash game players at its cash game tables at any given moment.

PokerStars wasn’t the only site that had a successful year. Its biggest competitor,Full Tilt, also enjoyed a substantial growth in the number of concurrent players it had — up 39 percent over last year, Stewart said.

But not all sites had such a wonderful 2008.

“Basically, those two sites have been gobbling up the market share,” said Stewart. “It’s hurting the other sites.”

Cereus Network, comprised of Absolute Poker and Ultimate Bet, fell 30 percent in 2008, according to PokerScout.

“I think they were down somewhat already before the scandal, before it gained wide publicity,” said Stewart, referencing the sites’ superuser scandals that werereported on CBS’ 60 Minutes. “It has continued to go down since then. So, it’s a little hard to tell exactly how much of that is due to the bad publicity.”

PartyPoker, once the premiere name in online poker, also had a rough year. Although it used to enjoy the kind of market share that PokerStars has now, PartyPoker has continued to slide without the luxury of American players at its site. PokerScout estimates that PartyPoker declined 26 percent in 2008.

Bodog and Cake Poker, both striving to become the next big name in online poker, had drastically different years. Bodog’s numbers fell 34 percent, while the Cake Poker Network surged 52 percent in terms of concurrent players.
 
(http://www.cardplayer.com/poker-news/article/5841/poker-stars-experiences-record-growth-in-2008)
 
John J. Gately
VP Technology