Feeds

Gaming firms in freefall as US bans online betting

War-on-terror's poker face

Boost IT visibility and business value

Shares in online gambling companies like Partygaming are in freefall this morning after the US Congress unexpectedly passed anti-online gambling laws late on Friday.

The bill makes it illegal for credit card companies to process payments to gambling firms. PartyGaming saw 60 per cent of its value disappear in early trading this morning.

The Safe Port Act is expected to be signed into law by George W Bush in the next two weeks. PartyGaming said in a statement to the Stock Exchange that if the bill is signed it will have to stop taking all cash bets from US punters. More than half of the company's revenue comes from US residents.

888Holdings is suffering a similar meltdown on the markets. Its share price has also fallen more than 45 per cent. In a statement to the Stock Exchange the company said that although the precise impact of the legislation was not clear it was obvious Congress is intent on marking all forms of internet gambling as illegal.

888 said in the six months ended 30 June 2006 52 per cent of its revenues came from US customers.

Sportingbet is also down almost 60 per cent.

The Safe Port Act is primarily aimed at providing some $3.4bn spending in making ports safe in The War Against Terror. Much of the money will be spent inspecting containers - described by one Congresswoman as having "the potential to be the Trojan Horse of the 21st Century."®

Build a business case: developing custom apps

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Gartner critical capabilities for enterprise endpoint backup
Learn why inSync received the highest overall rating from Druva and is the top choice for the mobile workforce.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.