Online Poker in the US: PokerStars, Full Tilt Won’t Be Able to Sell Assets
With passage of a law that could allow online poker companies licenses in the United States, much has been made of an amendment that would essentially shut out companies the likes of PokerStars and Full Tilt.
That amendment stipulates that online poker firms that continued to operate in the U.S. following passage of the Unlawful Internet Gaming Enforcement Act (UIGEA) would be unable to enter the market.
But many industry analysts believe that PokerStars and Full Tilt, the number one and number two largest Internet card rooms in the world, respectively, would circumvent such an amendment by simply selling off their databases to groups able to obtain a U.S. license (i.e. Harrah’s, Facebook, Google Games all come to mind).
An industry expert told Gambling911.com that companies the likes of Harrah’s would have a tough time starting an online poker venture from scratch.
“It’s taken PokerStars and Full Tilt Poker years to master their platforms,” said the expert, who wished to remain anonymous.
Now comes word that Vegas operatives are working behind the scenes to prevent the big two benefiting from new regulation through the sale of their assets.
With regard to sites which have continued to take US bets since UIGEA, The American Gaming Association (AGA) President Frank Fahrenkopf revealed to eGaming Review Magazine Online Wednesday that discussions are in place to prevent them monetising the opportunity once new legislation is implemented, meaning that “no existing licensee would be able to sell their player database, buy their brand or license their software”.
Fahrenkopf disclosed: “I have talked to legislators who say, ‘So, you deny someone a licence because they have been operating in violation of US law, that’s a penalty for what they did. But if you let them turn around and sell their assets, and make millions of dollars, they have benefitted from violating the law, they shouldn’t allow that.
“I have not seen things that are specifically drafted, but I should tell you that discussions of that nature are taking place inside and outside Congress.”"
Christopher Costigan, Gambling911.com Publisher
