For the latest [third] quarter, Gigamedia posted a net loss of $2.4 million, compared with a profit of $12 million a year ago. Revenues declined by 19 percent year-on-year.

The company attributed the disappointing results to negative economic conditions and strong competitive pressures in Europe, and substantial marketing and other expenses surrounding new online game initiatives in Asia. Both the gaming software and the Asian online games businesses delivered worse than expected performance during the periods.

“We faced tough market conditions and strong operating challenges in the second and third quarters in our gambling software and our Asian online games businesses - and did not respond as well as we should,” admitted Gigamedia Limited CEO Arthur Wang. “We were successful however in forging a powerful strategic alliance in Europe which we believe will be very value creative - and as a side benefit free up management time and financial firepower for our planned expansion in Asia.”

The company highlighted the following events during the reporting period:

* Strategic alliance with Mangas Gaming by way of a sale of 60 percent interest in GigaMedia’s online gaming software business to Mangas
Gaming for an up-front cash payment of US$100 million. “The strategic alliance positions Everest Poker to benefit from increased liquidity, cross-selling, and operational synergies,” said a spokesman.

* World Series of Poker: Everest Poker celebrated the finals in its second year of sponsorship; extensive ESPN broadcasts of the tournament and finals are to air in Everest’s European markets in Q4 and throughout 2010.

* New MMORPG launches: Warhammer Online in Taiwan and Hong Kong and Luna Online in China.

* Q2 and Q3 revenues of $37.7 million and $37.2 million, respectively; second-quarter net income of $128 000 and third-quarter net loss of $2.4 million.

UPDATE:

GigaMedia suffered a 26 percent decline in revenues from its online poker and casino operations, and this was the key factor in the group’s Q3 loss of $2.4 million. Revenues fell from $34.5 million last year to $25.4 million.

Online poker revenues in the third-quarter fell 33 percent to $15.8 million, and online casino revenues declined 12 percent to $9.6 million.

Quarter 2, the results from which were delayed, also showed serious declines, with net income plunging to $128 000 from $11.2 million in the same period the previous year - a decline attributed to competitive pressures faced by Everest Gaming, where revenues slid 29 percent year-on-year to $26.1 million.

Q2 online poker revenues were $17.4 million - a 36 percent decline, while online casino revenues fell 9 percent to $8.7 million.

Under the terms of the deal, the price of the 60 percent sale will be set at an upfront cash payment of US$100 million, and the fair market value of the business as an earn-out as of early 2012.

GigaMedia will continue to hold the remaining 40 percent interest with a put option to sell all or part to Mangas beginning in 2013. Beginning in 2015, Mangas will have a call option on any remaining shareholding held by GigaMedia. For both GigaMedia’s put option and Mangas’s call option, the price will be determined based upon then fair market value.

Gigamedia’s Everest Poker subsidiary will join the Mangas Gaming family as its primary poker site as part of the deal. Everest Poker is a successful online gambling operation and the official “felt” sponsor of the World Series of Poker.

“We are thrilled to have Everest Poker join the Mangas Gaming family with its media savvy and land-based casino shareholders and well known platform of gambling brands,” said GigaMedia CEO Arthur Wang. “By partnering with Mangas, we can realize the full value of our poker and casino software business and share the enormous upside of this powerful combination in the large European community.

“This strategic alliance will create an online gambling powerhouse in Europe with top poker, sports betting and casino offerings.”

In accordance with the terms of the strategic alliance, all Mangas poker players will be migrated to the Everest Poker platform, creating one of the largest poker player “liquidity” platforms in Europe.

Everest Poker will also be able to benefit from the top sports betting offering of Mangas Gaming. In addition, the combined user base of Everest Poker and BetClic - both leading brands in France - strongly positions the alliance to capture potential growth from the soon to be opened and regulated French market, one of the largest in Europe.

In a statement this week, NGG says the facility will serve as a convenient, one-click gateway to all Net Entertainment slot games, table games, and video poker. It allows users to create tailored lists of their favourite games as well as a take advantage of premium offers available only via this channel.

Tom Wood, Casino & Games Manager for Nordic Gaming Group, said: “We’re glad to be able to work with Net Entertainment to make this launch happen, and of course we’re also happy that we’ll be the first ones who are offering this new product.

“It’s a really slick app. It gives players quicker access to our casino games from the desktop without having to use a browser, plus it has some other unique features that they’ll find pretty exciting,” he added.

To promote the launch and encourage customers to start using NordicBet Download Casino, NGG will be offering special incentives that can only be accessed via the client. These include free spins on the popular Mega Fortune and Blood Suckers slot games, cash bonuses for playing a set number of game rounds, and an exclusive tournament with prizes for the top 30 players.

“I’d been playing for awhile that night,” the winner told media reporters. “I had just about reached the limit I had set for myself and I was actually starting to day dream about things I had to do the next day - what I was going to make for dinner - when I couldn’t believe my eyes! I just stared at that huge number on my screen for what seemed like hours before I finally realized it was true. I’d won the jackpot!”

The winner has been a regular player at WinADay sister online slot site, Slotland, and only recently tried the 3D casino for the first time when she read an article about it in the player newsletter.

“I generally stick to a few favourite games,” she said. “But sometimes I like to try something different and I’m sure glad I did that night!”

Heavenly Reels is a four pay line slot machine, and although all the slot games at WinADay.com are tied to the same progressive jackpot, this is the first jackpot win on this game, which launched in October 2008.

“It won’t be hard to find ways to spend this money at Christmas!” said WinADay.com’s fifth major jackpot winner. “The timing couldn’t have been better.”

National Lottery and internet casinos operator Camelot said the man, known only as Mr F from Powys, played the casino game interactively - either via the web or by text.

He matched all six numbers in the Lotto on 14 November.

A National Lottery spokeswoman said Mr F “banked this fantastic prize with just a few simple clicks - he didn’t even have to pick up a ticket.”

This week Global Pari-Mutuel Services announced that it hopes to increase revenues with the launch of two new ADW (advanced deposit wagering) gambling websites in order to capture a more significant portion of the market on horse, harness and dog racing in the United States and internationally, working through its wholly owned subsidiary Royal Turf Club.

The company has launched two new websites, RTC Sport Of Kings.com and Track Player.com, which it says are the first of a series of websites GPRM plans to launch after completing an extensive upgrade to its software.

The sites join a rapidly growing Internet horserace wagering sector which is flourishing whilst other genres of online gambling are harrassed and legislated against by US politicians and government enforcement agencies.

GPRM generates revenue as a handling charge, not on wins or losses. The website receives payment for each bet placed though the system.

According to James A. Egide, founder and CEO of the company, ADW is the fastest growing segment of online horse and dog track wagering.

“Now that all software upgrades have been completed, GPRM has created the most user friendly websites for off track wagering available for racetrack gambling in the United States today,” claims Egide. “These sites allow the user to place their wagers online and then watch the results as the race comes live to them via streaming video. Users can bet on many races from various racetracks around the country. Presently users can set up accounts using their credit card. GPRM will also be offering an e-check option in the next few weeks.”

Egide said his company sees great opportunities to expand these distribution channels for market-specific applications. “Utilizing the new marketing data mining tools and social networking options such as Facebook, we have seen positive responses from the initial test marketing we have done,” he said. “With the core wagering applications now complete, this provides us with the tools to expand into other revenue streams, unlike any other wagering site.”

His success follows a $3.1 million profit Sunday against the same online casinos players and Tom Dwan.

After a bad start over a couple of hours against Brian Townsend on the $300/$600 Pot-Limit Omaha tables at Full Tilt, Isildur1 profited by $354 000 on the $500/$1 000 nosebleeds in 2 516 hands that included exchanges with Sahamies, Townsend, Antonius and CardRunners coach Jungleman12.

Despite the frenetic action there were no pots to match the current $1.356 million record, although one, taken by the Swede, did reach almost $720 000.

During the session, Patrik Antonius played 409 hands, making $436 000, while Ilari Sahamies stayed for only 56 hands, suffering an overall loss of $526 000 to the Swedish phenom. In his long confrontation with Jungleman12, playing $100/$200 NLHE, Isildur took his winnings for the night up to $655 026.

So far, actors Dean Cain, Ken Davitian, Shannon Elizabeth, and Glenn Morshower, TV personality Montel Williams, and last year’s gambling tournament champion, Simpsons creator Sam Simon are up for the tournament, along with the lead guitarist for Anthrax, Scott Ian, Napster creator Shawn Fanning and WWE diva Alicia Webb.

They will be joined by Playboy playmates Stacy Fusion, Jennifer (’jennicide’) Leigh, and Brande Roderick, along with husband and former Denver Bronco linebacker Glenn Cadrez.

The casino event takes place at the famed Hard Rock Hotel & Casino Saturday, December 12, 2009 at 2:00 pm with a celebrity filled after party that evening, thanks to the Poker Player Alliance.

Returning for this year’s tournament are 2006 W.S.O.P. champion Jamie Gold, 3-time champion Barry Greenstein, and poker’s biggest personalities including siblings Pam and Todd Brunson, Phil Laak, Clonie Gowen, and Men ‘the Master’ Nguyen.

The tournament is the brainchild of Jacob Zalewski, who suffers from cerebral palsy.

In Russia Ukash has entered into an agreement with Wallet One (W1), which has a strong presence in the Ukraine and CIS countries as well. This agreement will enable Ukash to capture the popularity of W1 in these emerging online gaming markets. Online players who registered with W1 can purchase Ukash vouchers from their gambling website. The vouchers can be purchased either online or through a mobile phone. The online player will be immediately sent a 19 digit Ukash number either through a secure online channel or to the player’s mobile phone as a text message. The player can be in any part of the world as long as he has an account with W1. This will enable players to fund their online casino accounts without using credit cards. The Ukash vouchers will be available in denominations from €1 to €500 in designated values. Mark Chirnside, CEO of Ukash said, “Our partnership with W1 reaches hundreds of thousands of consumers worldwide, giving more people the opportunity to make payments online safely and conveniently using cash, which is another step in the global expansion of our alternative payment system.”

In Canada Ukash will be partnering with VendTek Systems Inc and using their Now Prepay brand. Ukash vouchers will be immediately available from 4,000 point of sale terminals in Ontario. The company expects that by the end of the year the vouchers will be available from 15,000 outlets across the country. The vouchers will be available in denominations of 25, 50, 75, 100 and 150 Canadian dollars. Ukash sees great potential in the Canadian online gaming market. In 2007 Canadians made online purchases of almost $13 billion. It is estimated that there are more than 70 million consumers in Canada that do not have bank accounts. According to Chirnside the reasons for this are poor credit history and a large number of immigrants. Therefore alternative payment solutions based on cash payments that Ukash provides have a great future in this country. Doug Buchanan, President of VendTek said they had been looking at an online payment product for some time and that Ukash solutions matched well with their services. He added, “We are very excited to partner with them to enable money transfer services over the Now Prepay network in Canada.”

The other non-European markets that Ukash has entered into in 2009 are Australia, South Africa and South America.