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GEOSWEEP LOTTERY ROW GROWING IN CANADA
Monday July 23, 2011 : GEOSWEEP LOTTERY ROW GROWING IN CANADA
Multi million dollar investment in Brit company questioned
The Canadian provincial government of Prince Edward Island is facing questions over its investment of Cdn$4 million in the British internet gaming company Roboreus and its Geosweep product, which has reportedly not delivered a convincing performance in the British market.
Geosweep is an interesting variation on the normal lottery business model in which instead of wagering on a lottery ticket number, the punters buy their favourite "geo" - a specific point in the organising country - in this case Atlantic Canada, where 2.3 million geo’s have been arranged for wagering at a cost of Cdn$7.50 for a month.
What concerns detractors from the concept is that a pilot program in the UK earlier this year generated daily income of a mere GBP120.
On a provincial basis, governments in the Atlantic provinces of Canada are themselves at odds, with Prince Edward Island and New Brunswick each putting up Cdn$4 million on the project, but Nova Scotia and Newfoundland and Labrador declining to get involved.
PEI Finance Minister Wes Sheridan defended the project this week, saying that Atlantic Lottery products need new offerings to maintain revenues as income drops from older-type lottery products, and the GeoSweep project could pay for itself in three years.
"You have to take a look at a concept where you think it may be something that would turn a very good investment dollar over," Sheridan told CBC.
"If we sit idly by and let our revenue sources continually decline we'd be in no position to continue to have government grow."
Opposition finance critic Steven Myers said given the U.K. pilot failure, Sheridan should have followed the lead of Nova Scotia and Newfoundland and Labrador.
"We're throwing out $4 million at a time when we can't fund the $4 million that they need to build the high school in Souris and we can't get the $1.2 million to build an expansion on the Montague Intermediate school," said Myers. "It seems like a bad time to be gambling our money."
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Mybet Earnings Struggle -
The statement this week reveals that Mybet continued to be hampered by negative trends from historic quarters, making its original performance estimate "unrealistic".
Tom Horn Awarded Malta Gaming License -
Online gambling software provider Tom Horn Gaming has been awarded a Malta Gaming Authority license that permits the company to host and manage Malta-based gaming operators.
Calvin Ayre invests in new Antigua Business Center -
Ayre joined with government officials this week in a ground-breaking ceremony for a five-story centre on Antigua which will be home for the venture. The "green" building will be solar powered and provide employee-friendly services like catering, a gym and child care.
Attack of the Zombies Slot -
Online gambling games developer Genesis Gaming has unveiled its latest game, with a theme based on a horror story of the undead, exploiting the current trend....and just in time for Halloween.
Why is FullFlush Poker Still Down -
Its now almost a month since Full Flush Poker went offline "for a platform upgrade" and stopped communicating with its reportedly many unpaid and unhappy players. All trace of the operator - and means to communicate with it - have vanished.
Time Running Our For Pennsylvanian online gambling -
Hopes that this week would see the Pennsylvanian Senate voting on an online gambling and DFS legalization bill already passed by the House four months ago dwindled Wednesday when no progress was made and the legislatures season officially closed.
Yggdrasil Gaming Expanding -
The Swedish online gambling games developer Yggdrasil Gaming is to establish a new parent company and expand its Stockholm office as it bolsters its presence in Sweden with a raft of new hires.
FanDuel and DraftKings Settle With NY Attorney General -
Speculation earlier this week that daily fantasy sports market leaders FanDuel and DraftKings were about to agree a settlement on consumer fraud suits prepared by the New York AG was confirmed Tuesday when a $12 million settlement was announced.
Stan james Now Live With EPOS -
The company switched to the Optima server less system across its entire estate in July after previously using Optima EPOS technology. The switch was completed early this (October) month and has already delivered noteworthy savings for the company.
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