GPWA Times Magazine - Issue 15 - January 2011

By Vin Narayanan N ovember and December were not kind to those looking to pass pro-on- line gambling legislation through the U.S. Congress. In November, the Republican Party – which crafted and passed the Un- lawful Internet Gambling Enforcement Act in 2006 – gained control of the House of Representatives. The elections results meant that in January, the chairmanship of the pow- erful House Financial Services Com- mittee was transferred from online gaming proponent Rep. Barney Frank (D-Mass.) to staunch online gaming op- ponent Rep. Spencer Bachus (R-Ala.). In Congress, committee chairmen wield most of the power. They set the agenda for their committees and ultimately de- cide which bills come up for a vote. Un- der Frank’s chairmanship, the House Financial Services Committee passed pro-online gambling legislation twice. Bachus vigorously opposed the legisla- tion and voted against it. The bills were never voted on by the full House, and under Bachus, pro-online gambling leg- islation certainly won’t be brought up in the House Financial Services Commit- tee again. As a result, online gambling advocates pinned their hopes for a Christmas mir- acle on the most powerful Democrat in the Senate, Senate Majority Leader Har- ry Reid. Reid had just survived a bruis- ing election contest in part because of the backing of Nevada’s big casino com- panies. According to the Center for Re- sponsive Politics, Caesars Entertainment (formerly Harrah’s) and MGM Resorts International combined to give $375,000 to a third-party group that ran commer- cials for Reid. And the employees of Cae- sars and MGM donated money directly to Reid’s campaign coffers. The top priority of these companies was legalizing online poker and maintaining Nevada’s clout – and therefore the clout of Nevada’s gam- ing companies – in the Senate. In Decem- ber, they tried to collect on their other priority – online poker. The plan was simple. Attach a bill that licensed and regulated online poker to must-pass legislation – like the tax-cuts package. The UIGEA, after all, passed back in 2006 when it was attached to the Port Security Act, so passing online poker legislation in this fashion would be poetic justice. But presidential politics entered the equation and quashed Reid’s efforts. President Barack Obama cut Reid out of the picture on the tax-cuts legislation and negotiated a deal directly with the Republicans. As a result, Reid never had a chance to attach his online poker bill. Other bills passed by the lame-duck Sen- ate in December would have been bogged down by Sen. Jon Kyl’s opposition to all forms of Internet gambling, and as a re- sult, Reid’s bill died. Reid has promised to try to pass online poker legislation again this year, but with the House now under Republican control – and firmly opposed to online gambling – it’s unlikely that any online poker legis- lation will be passed at the federal level in the next two years. WEBMASTER NEWS Efforts for federal regulation fall short in lame duck session L AS VEGAS – Caesars Interactive Entertainment has announced a long-term agreement with Microgame for the Italian poker market utilizing its World Series of Poker brand. Under terms of the agreement, Microgame and CIE will work together exclusively to market the WSOP brand in Italy, both with online and offline poker tournaments and promotions. In Italy, Microgame operates the largest poker network in the newly regulated online market. “This agreement is a logical step in our European and global expansion strategy to partner with leading local companies as we look to expand the WSOP brand,” said Caesars Interactive Entertainment CEO Mitch Garber. “Microgame is a clear lead- er in Italy and we look forward to working hard together to grow the poker market.” People’s Poker, a network of over 120 online poker sites, will be co-branded utilizing the WSOP brand and People’s Poker brand, and serve as the online hub for poker playing in the Italian market. Using Microgame’s vast network both online and at retail, the WSOP brand will be utilized to attract new players to poker via these avenues. “We are honored to have been selected as the exclusive Italianpartner for theWSOP,” said Microgame CEO Fabrizio D’Aloia. “The People’s Poker Network, powered by Microgame, confirms its position of leadership in the Italian Poker market and we are truly excited to offer our customers something unique. The WSOP has over 40 years of history and heritage and an alliance with Microgame online marks an exciting new chapter for both of us.” Microgame and theWSOPwill create land- based tournaments for the Italian players using the WSOP name and Microgame re- ceives exclusive rights to do so throughout the length of the agreement. As part of this agreement, Microgame be- comes the exclusive satellite provider in It- aly of WSOP land-based events. Microgame will also act as the exclusive pre-registra- tion booking office for Italian players for the WSOP Main Event held in Las Vegas. WSOP to enter Italian poker market Webmaster News