888 Plans to Launch Its Own Casino and Poker Sites in New Jersey

August 13, 2013

On the 6th of August 2013, famous online gaming company 888 Holdings released the Interim Management Statement. The company is the operator of the very popular 888poker.com. With the release of the statement, the firm is presenting all of its positive financial results for the year of 2013. It mainly deals with the results of the second quarter of the year, along with information regarding 888 Holdings’ plans for the markets of New Jersey.

Company reports overall $97 million revenue for second quarter

Regarding 888 Holdings and its second quarter financial results, the firm recorded overall revenue of about $97 million. This has been a five percent increase during the same period, in the year of 2012.

Almost half of the total revenue, which is about $47 million, seems to have come from the casinos dealing with the business-to-consumer division. In this section, there has been a fourteen percent increase during the same period in the last year. The poker market brought in about $22 million, which is approximately twelve percent more than what was seen during the second quarter of the year 2012.

Caesars agree to permit 888 open their own casino brand

With the company doing quite well based on its results for the second quarter, it is but evident that land based casinos would want to have a tie up with 888 Holdings. When it comes to news regarding the New Jersey front, the firm has made it public that Caesars Interactive Entertainment has finally approved the company’s idea to open its very own branded online casino and poker room. This will be installed in the Garden State of the country.

The agreement between the two firms was made through the All American Poker Network. It is quite a new online poker network, which is based in the United States. The poker network was first started in the month of March 2013, through a joint initiative with Avenue Capital Group.

Only 12 New Jersey casinos can have license to operate online casinos

In the state of New Jersey, only twelve of the existing land based casino can actually obtain licenses in order to operate and function as intrastate internet casinos and poker rooms. However, other online gaming companies such as 888 Holdings can instantly get into the industry by teaming up with these land-based casinos.

Since this seems to be the only logical option at the moment, Caesars and 888 Holdings have signed a partnership through which they are ready to provide the gaming industry of New Jersey with online poker and casino games. Currently, Caesars owns at least four casinos in Atlantic City, which includes Showboat, Bally’s, Harrah’s and Caesar’s.

Both companies join hands in Nevada as well

The two companies seemed to have signed a partnership regarding the gaming industry of Nevada as well. Both these gaming firms are all set to launch their very own World Series of Poker-branded internet poker room. The room is going to be called WSOP.com. It was also proposed that both these companies do something similar in New Jersey as well. However, these plans are bound to be quite difficult to execute without an interstate compact, wedged in between the two states.

It is still not clear if there will be a separate online poker room or even a casino launched in New Jersey, which will have the Caesars branding. Even though the poker room can have Caesars branding, it doesn’t really make any sense for the company to compete with itself.

Eight other Atlantic City casinos partner with other internet gaming firms

Every one of the other eight casinos in Atlantic City seems to have struck partnerships with various other internet gaming companies. However, only six of these partnerships have been announced to the public. Ultimate Poker has teamed up with Trump Taj Mahal and Trump Plaza and has joined hands with Betfair. Tropicana has joined Gamesys and Boyd Gaming has taken the assistance of bwin.party.

The last two pairings that were made public are of Golden Nugget with Bally Technologies and Resorts Casino Club with PokerStars. Only Atlantic Club Casino and Revel Casino Hotel haven’t made their deals public.