Among the investors the heart has yet more

Which raflera the last The main British bookmakers Great American casinos The operators money and gambling on the Internet games from the merger of the companies who have survived the closure of the US market Bets are more than ever open to the City. And investors more that ever attentive to the smallest signs of concentration. Concentration also initiated since, here are a few days, PartyGaming, the third market capitalization of the sector in London, announced the resumption of Empire Online and Intercontinental Online Gaming. It after that, in early November, Ladbrokes, the biggest British bookmaker, had admitted having started with the virtual casinotier 888 Holdings, registered like him on the London Stock Exchange (LSE), preliminary discussions for a possible takeover.

Among the investors, the heart has yet more. And for good reason. Between 17 July, date of the indictment for fraud and scams by American justice of the CEO of BetOnSports, and on 13 October, date of the promulgation by George Bush of the Internet Gambling Enforcement Act, formalizing the prohibition transatlantic, stock enhancement of about 20 operators of games on the Internet sides in London has melted from some... 5 billion pounds. Despite the almost immediate announcement of their withdrawal from the American market, 888 and PartyGaming thus saw their titles respectively lose half and two thirds of their value. More even, with SportingBet ( 82) and Leisure & Gaming ( 93) had to be solved to give the field their U.S. operations for a symbolic dollar. To the shareholders of World Gaming, their group was under judicial administration. End of part!

Brutal change of scale

"Never in the United Kingdom sector busted so and assets not had been sold as fast without the approval of the shareholders", recognizes the specialized site Bettingmarket. Analyst at Screen Digest, Ed Barton has beautiful noted that "once the initial shock is absorbed by the courts, the market began to organize on a future of opportunities in the United States", these other online games players suffered "permanent damage, even, for some, fatal." The losers are first "those who chose to ignore both the Wire Act of 1961 Editor's Note: this law prohibits cross-border bets by telephone and so via the Internet, according to the U.S. Department of Justice and signs, yet clear, foreseeable hardening of this text, opting for a"business model"return on investment high but high risk."analysis Leighton Vaughan Williams, Professor in charge of the research unit on the Nottingham Business School paris. On the other hand, those who have ignored the United States and/or given their preference to a model of gradual growth, Betfair and Ladbrokes, would be now, he said, examples to follow, or even a consolidation expected but delayed by ongoing restructuring engines.

In fact, deprived of the US market, source of 84 of its activity, PartyGaming, for example, brutally changed scale. He who "was a figure of 30 tons is not more than a small 4 4", note Ed Barton. PartyGaming was introduced on the stock market in 2005 with the objective to develop the United Kingdom market, and use this platform to conquer Europe, and especially the United States, market still more promising. Until last July, the chance seemed to smile, as to all those who had followed this route. "Growth." Growth! Growth! "There is no sign of slowdown in the market of gaming and betting online in 2006 over 2005", has shunned again early 2006 an analyst with Morgan Stanley. The Bank she now refuses to comment then went up to predict an increase of 22 of PartyGaming on year revenues and 25 for Sportingbet.

Paris: the Queen also...

Not without reason. Until now, the United Kingdom has, indeed, on its promises. With 1 million regular users of sites in paris on line, and an annual average expenditure of 1,000 books by user, it is now home to only one-third of the 3.3 million of European players online, find RSeconsulting in a recent report commissioned by the Blair Government. Figures considered "conservative" by that same Government, anxious to strengthen his control over an activity which, over the past five years, was able to take advantage of a favourable environment for more than a title. According to the Gambling Commission, the number of online gamblers have more than doubled between 2000 and 2005, and now some 4 million British fréquenteraient each month gambling sites. The sector would have made a total turnover of 5.2 billion pounds on the single year 2005, according to the BBC. Once the winners are paid, operators are would be so shared, according to Screen Digest, a gross margin of 660 million pounds on the British market. What allow the country to claim the title of largest market European "remote gambling. A chance Not really. Money games are a tradition and the paris national sport into a veritable industry of some 96.000 employees. Horses, greyhounds, sporting events and even weather... on

is developed on and for a long time, with the blessing of the Government, don't forget the crossing to raise its contribution, valued at 1.4 billion pounds in 2005.

This passion for the game, fact, said, not even the Queen, would save the case of some offices of paris and 3 bookmakers 8.800. It also feeds become even more fierce competition since the arrival of the first sites of paris, at the end of the 1990s. It is a bookmaker, Victor Chandler, that would be the paternity controversial of such an initiative. And in 1998-1999, according to Professor Vaughan Williams. But if it is for the British, it is of Gibraltar that it operates. It is not the only one. Today 2,300 sites offering a variety of sports betting and casino games interactive would thus accessible from the United Kingdom, while only 70 of them would be domiciled.

A manna coveted by the State

Covered by a framework law dating back to 1968, the Gambling Act, virtual bookmakers installed in Britain must be to carry out the same tax (15 on the gross profit) that traditional bookmakers. Difficult therefore for them to compete with their installed competitors to Gibraltar, Costa Rica, Antigua, in the Isle of Man..., especially since the casinos online ("on line gambling") is there are not proscribed in the United Kingdom. In September, however, with the entry into force of the Gambling Act 2005, the ban should be lifted. Then, the operators may elect home regardless of the nature of the games they offer. They can also promote their products on television. Only requirement: meet the "severe" conditions to obtain a state license. "Because, in contrast to the United States, who have chosen the prohibition, the United Kingdom chose the regulation," recalled, in November, Tessa Jowell, Minister of Culture and Sports, at the first International Conference on the subject.

This supervised freedom regime aims to protect children and the most vulnerable, but also to ensure that the game is honest and transparent manner and that it hides no illegal activities, explained the Minister, animated hoping to make his country a centre of global games. Some, however, wonder how to control a network without borders effectively. Incidentally, the Government erred not less money that should procure the sale of licences in which, according to him, the operators have a guarantee of respectability and a marketing argument. Few of them, however, are ready to go up to abandon their tax havens to the United Kingdom, as in a dream the Treasury. And certainly not John O'Reilly. As early as last summer, the pattern of the e-gaming branch of Ladbrokes said prepared to request an approval that London surrenders to require a domiciliation on British soil. And to add that the favourable tax regime of Gibraltar made unlikely a transfer. "Offshore installed operators will calculate the total cost of implementation to the United Kingdom." In addition to the tax rates, wages, the cost of living and the telecommunications could not play for the latter. "The current situation result is likely to endure", confirms Ed Barton.

For the time being, it is to other markets, Europe and Asia, that professionals seem to turn. On the old Continent, where a certain liberalization appears, the Italy, the Spain, the Sweden and the Eastern countries are potential deposits of growth (see box). Games, however, the concept of single European market is still far from being a reality. Witnesses: of the "restrictions on sports betting" offence proceedings year last by Brussels against several Member States, including the France.

Mobile, new media

Rest therefore to seek growth more later. Why not in Asia Already more than two times higher than in Europe, the number of regular online gamblers, estimated at 7 million, would strong increase.

Another option chosen by Betfair, now undisputed leader of the paris without intermediate, the "peer to peer bettings", develop games taking advantage of recent advances in technology, especially in the video and mobile telephony. Way of the future, mobile gambling"could reach in 2010 worldwide turnover between 4 and 10 billion pounds a year, or even more. Because the appetite of the public for these games, available 24 hours daily, seven days a week and with minimal of in general the euro remains strong. To the point that they are beginning to shade to other forms of mass such as television or film entertainment, warns Ed Barton.

All is not lost to the operators listed in London. Unless once again the Americans change gives in revising their legislation hypothesis revived by the recent democratic electoral victory or from Hunt massively on British land, as the fact the American Las Vegas Sands (LVS), most large market capitalization of the casino sector. After the takeover of the London Clubs International casinos by his compatriot and rival Harrah, LVS indeed allied with Cantor Gaming. Objective: launch this year an Internet platform targeting the United Kingdom players in the first place.