Monthly Archives: November 2020

New Jersey online gambling, sports betting records fall in October

New Jersey’s online gambling and sports betting market obliterated all previous financial records in the month of October, and it wasn’t even close.

Figures released Friday by the New Jersey Division of Gaming Enforcement (DGE) show the state’s online casino and poker licensees generated revenue of $93.45m in October, more than twice the sum reported in October 2019 and nearly $6m higher than the state’s previous monthly best set this August.

October’s online casino revenue came in just under $91m, a 108.7% year-on-year improvement, while online poker settled for rising 53.5% to $2.5m. For the year-to-date, overall online revenue is up nearly 103% to over $779m, with casino up 103.4% to $745.7m and poker rising 88.5% to $33.4m.

As one might expect, individual property records also fell like dominoes, led by the Golden Nugget’s $28.1m in online casino revenue. The fight for second place was won by the Borgata and its BetMGM partner, which collected $22.1m (of which $724k came via poker), narrowly ahead of Resorts Digital Gaming and its DraftKings/FoxBet partners’ $21.6m ($842k from PokerStars’ poker offering).

Unique Version of WSOP Main Event Scheduled for December

At long last, the 2020 WSOP Main Event has been finalized, but the world championship of poker is going to look significantly different this year. Despite COVID-19, players from all around the world will have an opportunity to compete.

The 2020 WSOP Main Event is going to have a different feel to it. (Image: WSOP.com)

The annual summer bracelet series in Las Vegas was canceled due to the global health pandemic. Instead, organizers for the event ran an online bracelet series mixed between WSOP.com and GGPoker. They even hosted a Main Event which set an online poker record with over $27 million in the prize pool.

But few considered Stoyan Madanzhiev, the winner of that event on GGPoker, the true world champion. Ty Stewart, the WSOP’s executive director, said in a press release Friday that, “there must be a world champion in 2020.” So, on Nov. 29, the quest for the 2020 WSOP Main Event champion begins on the GGPoker poker site. And it will end Dec. 30 at the Rio, in front of a live television audience.

Norway’s gambling monopoly says online limits prevented pandemic excess

Norway’s gambling monopoly said it didn’t witness any mass increase in problematic online casino activity during this spring’s pandemic lockdown, partly due to the state-run company’s spending limits.

On Friday, Norsk Tipping issued a report on Norwegian gambling activity after the country declared a national state of emergency on March 13 due to COVID-19. This resulted in the closure of all retail gambling operations, including the Multix and Belago slots halls, while sports betting suffered from the suspension of major league play.

Lotteries reported a minor surge in activity in April as other gambling options dried up, although this is a seasonal phenomenon due to Easter-related promotions. Lottery sales quickly settled back to a more normal level by May and remained there through September.

Norsk Tipping’s Oddsen sports betting product reported sales plunging to “a pale minimum” in April, as a betting slate of eSports and Belarusian football “did not appeal” to most bettors, many of whom “disappeared from all gaming when their main interest disappeared.”

Caribbean Poker Party Gets Underway Online with $500K Fiesta

Partypoker’s Caribbean Poker Party Online is underway and, while there might not be much sunshine for those stuck indoors, the festival is bringing the heat in terms of value.

The Partypoker Caribbean Poker Party Online starts this week with a $500,000 guaranteed opening event. (Image: Partypoker)

In lieu of returning to The Bahamas in 2021 (hopefully), Partypoker recently announced a digital alternative. Picking up where the WPT and other online events left off, the Caribbean Poker Party was given a $10 million guarantee.

The final list of events was confirmed earlier this week and kicking things off today is the opening flight of the $500,000 Progressive Knockout (PKO) showdown.

DraftKings loses $348m amid pricey fight for US sports bettors

Sports betting operator DraftKings lost nearly $348m in the third quarter as the cutthroat US customer acquisition frenzy more than tripled its sales and marketing costs.     

Figures released Friday show DraftKings generated revenue of $132.8m in the three months ending September 30, nearly twice the sum it earned in the same period last year, although revenue was up a more modest 42% if you assume the company’s acquisition of the SBTech wagering tech platform was a done deal at this time last year.

Despite the revenue surge, DraftKings reported a net loss of $347.7m in Q3, as sales & marketing costs more than tripled year-on-year to $203.3m as the company expanded into additional US betting states and fought furiously with rivals to sign up customers in time for the launch of a new NFL season.

DraftKings boasted just over 1m average monthly unique payers in Q3, which includes not just sports bettors but also daily fantasy sports and online casino customers. That represented a 64% rise from Q3 2019’s average.

Unlock better communication skills with Why: iGaming NEXT ONLINE

It feels like we could all use a refresher course on how we communicate, specially as we continue to adapt to video calls during the Covid-19 pandemic. At Day 3 of the iGaming NEXT ONLINE: Adventure of Change conference, Keynote speaker Alexander Grabner-Jarlung, TED Speaking Coach, Director, Partner Consultant & PowerPoint Specialist offered exactly that, talking about how we can ‘Optimize communication in your workplace.’

The pitfalls of communicating in the workplace are clear to anyone who’s experienced them. “Going into a meeting, we knew that there was going to be a bad PowerPoint, that the meeting structure would be bad, and you didn’t really understand why you were attending that meeting,” said Grabner-Jarlung.

The speaking coach promised he would offer a few important tips on how to make meetings more valuable, and get your point across more successfully. “You will always be the prime of every meeting. You will be fully responsible for the rest of your life of the outcome of every single meeting,” he said. “You are the one that will make that optimization.”

The problem with so many meetings is that they just don’t offer a clear reason for why we should care. 27% of respondents to a survey, Grabner-Jarlung noted, have fallen asleep during a video call. That’s because our brains are designed to filter out useless information, and if we aren’t properly introduced to why we should care about something, we simply won’t.

Apollo Global Management loses interest in William Hill acquisition

Sports gambling operator William Hill became the center of attention recently when it was announced that Caesars Entertainment was set to purchase the company for around $3.7 billion. Rumors started flying that other deep-pocketed entities were ready to challenge Caesars to the prize, and one of these was Apollo Global Management. The New York-based private equity firm is looking to get more involved in the gaming industry, which is gaining significant ground in the US, and was reportedly ready to offer William Hill more than what Caesars was willing to put on the table. Perhaps as a result of interest in other activity, Apollo has decided to drop out of the race and is no longer in the running for the global sportsbook.

The announcement comes just as Apollo was out of time to make a decision. If it were to be seriously interested, William Hill wanted a response by yesterday, November 12, with a counteroffer, but Apollo didn’t follow through. As a result of its decision to step away, William Hill’s chairman, Roger Devlin, is ready to continue his support for a deal with Caesars, which he has been optimistic about since the talk first began this past September.

One of the reasons Apollo may have decided to step away is because of a different, but potentially very lucrative, deal elsewhere. While it was parting ways with William Hill, it was entering another experiment to make a run on Great Canadian Gaming Corp. (GCG) in Canada. Apollo is reportedly willing to pay $2.5 billion to purchase the casino operator, which controls, among many others, River Rock Casino. That property has been a frenzy of activity over the past couple of years, becoming the target of a nationwide money-laundering scandal that still hasn’t been resolved.

Just because Apollo isn’t pursuing William Hill, this doesn’t mean it won’t eventually get connected to the company. Caesars plans on unloading non-US operations controlled by William Hill, and Apollo could be ready to pick up one or more of those assets. It has its hands in a number of international gaming sectors, including Czechoslovakia, where it recently gave local gambling group SAZKA Group almost $600 million to expand.

80% of surveyed casino workers in Macau concerned about job security

Despite recent indications that the gaming scene in Macau is on the mend, there are indications that gross gaming revenue (GGR) next year could still continue to be in a slump, and this has local casino employees concerned about their future. The Macau Gaming Enterprises Staff Association just conducted a survey to determine exactly how concerned they are, and the results aren’t optimistic. Of the 611 employees polled, 80% said they are somewhat pessimistic about their job security. That’s 20% more than what was recorded when the same survey was conducted a year earlier. 

The ongoing crisis caused by COVID-19 is taking its toll and Macau has taken in only about 30% of the GGR it reported in 2019. With the immediate outlook predicting similar results, there is the possibility that casinos will need to make additional cuts just to stay afloat, and any forced exits will hit all levels. Even senior employees who have been in the business for ten years or more are in a precarious situation and this segment was found to be the most concerned of them all. 

The lack of confidence over their future job status is justified. The same group reports that almost 60% of casino employees have had to take unpaid leave. The majority of these have been those who have been in the local gambling business longer, and the forced vacations come after Macau’s government tried to convince casino operators to go easy on their employees. However, with monthly GGR drops of up to 90%, cuts had to be made somewhere, and those employees making more money quickly became targets. 

Wynn Resorts is one of the operators to explore ways to reduce costs and has confirmed that a number of senior management will not be returning to Macau. It told GGRAsia that it was preparing to forego renewal of employee contracts for “overseas middle- and senior-management” employees, but didn’t specify how many would be shown the door. The company argues that the employment termination is a result not only of the change in Macau’s gaming environment, but also due to changing employment laws coming to the city.

Melco Resorts forced to close two Cyprus casinos as COVID-19 returns

Cyprus put its local commercial activity on a forced break earlier this year, just like everywhere else, to help try to prevent COVID-19 from taking over the Mediterranean island. Casinos there were included in the list of forced closures and they started to reopen after just a couple of months, with Melco Resorts and Entertainment, which is behind five gambling properties on the tiny island, bringing four of its venues back to life in June. The run was good while it lasted, but it has now come to an end, as Cyprus is returning to lockdown mode to prevent a new outbreak of COVID-19 from getting worse.

Melco’s local subsidiary, Cyprus Casinos (C2), announced that it is going to stop operations at two of its venues to thwart COVID-19’s attempts to regain control of the nation. C2 Paphos shut down at 3 PM yesterday, while C2 Limassol turned off its lights two hours later. Both venues are expected to remain closed through the end of the month. For the time being, C2 Nicosia and C2 Ayia Napa will remain open; however, this could change if the situation warrants further restrictions. The fifth venue, Larnaca is in a transition to a new home and has remained closed during the coronavirus debacle.

Yesterday, Cyprus had 185 new COVID-19 cases to deal with, bringing to 6,646 the total number. The number of infections in some regions has jumped from 28% to 70% over the past month and a half, and Cyprus has now ordered a ban on all public gatherings, as well as shut down its school system and ordered religious services to be held without physical participation. With a population of 875,000 living in clusters around the island, controlling any new outbreaks of the virus become more difficult.

Melco has been busy building a massive casino resort in Cyprus, the City of Dreams Mediterranean in Limassol. The current gambling property there is just a temporary facility while the larger, $650-million resort is completed. However, the COVID-19 situation has taken its toll on the company, both in Cyprus and elsewhere, and it has reported major net losses in 2020. It reached out to offer as much as $1 billion in senior notes to investors this past August, and the new closures in Cyprus are going to impact its ability to stay on a dedicated path to recovery.

Peergame receives world’s first Bitcoin SV gambling license from Curacao

Peergame, the Bitcoin SV (BSV) powered casino, has become the first licensed online gaming site of its kind. The operator announced it has received a Curacao eGaming license in a November 11 tweet.

Peergame is now the world’s first licensed casino powered by Bitcoin SV pic.twitter.com/Xp4Kb8PNAK

— Peergame (@PeergameCom) November 11, 2020https://platform.twitter.com/widgets.js

For those unfamiliar with Peergame, it offers what they call a ‘Casino 2.0’ experience, with no need for users to sign up an account or log in. Players simply make bets directly from their personal BSV wallet, and if they should win their funds are returned to that same wallet almost instantly. They currently offer Baccarat, a lottery game called Bitto, Dice, Turtle Races and a Ladder game.

Carousel Group picks up new license from the Malta Gaming Authority

Almost two years ago, Carousel Group, then an iGaming startup, announced the entry of two new sites to help it gain a foothold in the market. Sportsbetting.com and racebook.com were introduced to the gambling industry and were to be backed by a license by the Malta Gaming Authority (MGA) to serve customers in Europe and Latin America. The company announced via a blog post on its website a few days ago that it has secured a B2C license from the MGA, which is expected to allow for greater growth, especially in the US sports gambling market.

The sportsbetting.com website made its way into Colorado this past September, perfectly timed to take advantage of the state’s new gambling rules just approved earlier this month. That entry was made possible by a license by the Colorado Division of Gaming, and its presence in the state, as well as the new MGA license, are expected to give Carousel better chances for continued expansion in the US and Canada. The company already has its eyes on four other states in the US and, with more than half of the states expected to have legalized sports gambling within three years, that number could potentially climb.

Daniel Graetzer, Carousel’s CEO, says, “We’re thrilled about our U.S. expansion and we look forward to bringing SportsBetting.com to more markets. As our brands become household names in the gaming space, we will make a positive and everlasting impression on the global gaming community.”

Canada has the potential to give the company a serious boost, provided certain laws are changed. In Ontario, the online gaming space is now controlled by the Ontario Lottery and Gaming Corporation; however, the provincial government doesn’t want to keep that monopoly in place. It is planning on opening the online gambling market to private entities, as long as the measure is approved, and allow the Alcohol and Gaming Commission of Ontario to start doling out licenses to operators.

NCAA doesn’t like player props

The NCAA did not come easily to sports betting. Now that they have, they continue to be worried that their young players could get wrapped up in trouble thanks to player props.

Naima Stevenson-Starks, the NCAA’s vice president for law, policy and governance, expressed her concern about college player props at the Sports Betting USA 2020 online seminar. She’s worried the integrity of games could become a problem if they get pressured into helping sway a bet.

“Unlike the professional leagues, we are now talking about student-athletes attending class with people who may be betting on their efforts on the field or the court,” Stevenson-Starks said. “That’s a concern. If you can think about missing a field goal or a free throw that might make the difference in a result, that’s not the most settling thought.”

The NFL previously faced the same problem, but the volume of action on pro games is much greater, Stevenson-Starks said. A DraftKings representative noted that college props are usually limited to team props. But other sites may offer a player prop from time to time, and internationally licensed books tend to offer more.

Thursday Night Football finds a come-from-behind victory

Thursday Night Football (TNF) featured two AFC South teams vying for position and a solid shot at the playoffs after the NFL’s regular season wraps up. The Tennessee Titans hosted the Indianapolis Colts and, ahead of the game, even oddsmakers were unclear on who might come out on top. When the game got underway, the Titans came out strong, but the Colts weren’t having it. They rebounded from a 17-13 halftime score to take complete control of the second half, and never looked back. 

The Titans led the AFC South heading into the game, but the Colts were on a mission. They kept Tennessee out of the end zone for the entire second half as they cruised to a 34-17 victory. In doing so, they toppled the Titans and took over the division while, at the same time, picking up bragging rights for being able to go 3-0 against Tennessee in their last three games. 

Colts running back Nyheim Hines deserves some of the credit for firing up his squad. He scored his second touchdown on the night when Indianapolis launched its offensive surprises in the third quarter, giving his teammates a shot of energy. That was compounded later when linebacker E.J. Speed blocked a punt that allowed cornerback T.J. Carrie to scoop up the ball and head into the end zone to add six to the Colts’ score and continue the team’s onslaught. That punt attempt was made by Trevor Daniel, making his debut with the Titans, and the decision to put him in the game proved costly.

The Colts defense, ranked first in terms of fewest yards allowed, continuously threatened Titans quarterback Ryan Tannehill, forcing him to throw one incomplete pass after another. He ended the night just 15 for 27 with 147 yards and only one touchdown, not being able to produce the results that had led the team to a 6-2 record. He also took a hit from Colts defensive end Denico Autry for a sack, adding to the difficult night Tannehill was having. 

Gaming Industry News Weekly Recap – Week of November 9

The Americas

Guests were evacuated at the Circus City Hotel and Casino as three people were sent to hospital as a result of a shooting at the property; The latest figures from the Association of Gaming Equipment Manufacturers (AGEM) have revealed a surprising downturn in October, despite the industry showing signs of recovery; Figures released by the Maryland Lottery & Gaming body show the industry is on the rebound, as October figures show Ohio casinos recorded record revenue; Tribal casinos continue experience further construction delays due to the pandemic. The San Manuel Casino expansion in Highland is now not expected to open until 2022; With the 2020 US Presidential election now behind us, attention has already turned to 2024. Vice-President elect Kamala Harris is the early market favourite for the 2024 race that also includes Mike Pence and sitting President Donald Trump.

Europe

London’s Park Lane Casino is being sued by a VIP customer, who is claiming that Park Lane Casino reneged on a promise to pay him a ‘commission’ during a multi-day gambling session; The Swedish Sports Federation have extended their partnership with Svenska Spel until the end of 2022, the new deal is set to automatically be renewed, continuing a decade long partnership; English Football League (EFL) side Brentford FC sign a partnership with South African betting operator Hollywoodbets to become the team’s official betting partner; Swedish online casino operators are set to face further restrictions, as the government mulls extending limits on casino deposits; Czech lottery giant Sazka Group is poised for a major expansion after receiving €500m from a US equity firm.