David Baazov Said in a Conference Call He Expects PokerStars to Launch in Q3 2015
PokerStars is planning to launch a site in the New Jersey market in the third quarter of 2015. That was the word from PokerStars’ ultimate boss, Amaya Gaming CEO David Baazov, during his recent earnings call for the gaming company.
For two years, PokerStars has been making plans to enter the New Jersey legal online gaming market, only to be frustrated at every turn. Whether PokerStars’ expectations are based on solid information provided by the Division of Gaming Enforcement is not certain, according to Baazov’s reply to questions this week.
Expects to Receive Approval
During Baazov’s conference call earlier this week, he was asked about entering the New Jersey gaming market. He replied, “As it relates to New Jersey, I would say that we feel that this is coming. We would expect to receive [approval] and launch in the next quarter.”
A close reading of that answer might yield a confirmation that Amaya Gaming has made progress in convincing officials to give PokerStars a chance, or it could be a simple hand-wave to the question. “I would say we feel” might sound like weasel words to some readers. Saying that Amaya Gaming “expect(s) to receive approval” is not necessarily a confirmation, either. PokerStars has expected approval for 18 months.
PokerStars and Resorts Casino
In June 2013, PokerStars signed a partnership deal with Resorts Casino to launch a licensed online poker site, under the new laws signed into law by Governor Chris Christie. That website was expected to launch in November 2013, during the New Jersey rollout of legal Internet gambling.
In October 2013, though, the Division of Gaming Enforcement suddenly announced that the PokerStars/Resorts application would be put in indefinite suspended status. This would continue until circumstances in the executive staff of PokerStars “significantly changed”.
Company’s Trouble with US Justice Department
Though PokerStars paid hundreds of millions of dollars to settle its Black Friday charges with the US Department of Justice, the executives in the Isle of Man-based poker site still were under indictment in the United States. With the DoJ still wanting to arrest PokerStars executives and the online gambling industry still in its infancy, New Jersey decided to create no daylight between itself and the federal authorities when it came to online gambling.
That remained the status quo throughout the early months of the online gambling launch in New Jersey. In August 2014, Amaya Gaming bought Rational Media for $4.9 billion, though. Rational Media is the parent company of PokerStars and FullTilt Poker. Since the Toronto-based Amaya Gaming has 60 licenses in the United States, Amaya’s CEO David Baazov was convinced his company would be able to clear the way for PokerStars’ inclusion in the market. The indicted executives left the company, further clearing the way for inclusion.
Lesniak’s Comments on PokerStars
In September 2014, State Senator Raymond Lesniak tweeted that he thought PokerStars would be approved in October 2014. It appeared the PokerStars/Resorts Casino gaming portal would finally launch. Then the application process seemed to drag on throughout the remainder of the year.
Along the way, Sen. Lesniak changed his tune. In fact, he suggested that the DGE was delaying the application approval process because Governor Chris Christie was playing ball with Sheldon Adelson, the Las Vegas gaming executive who takes a moral stand against online gambling (but not land-based gambling). Adelson handed out $90 million to Republican candidates in the 2012 presidential elections. Governor Christie wants to secure the Republican nomination in 2016, so (according to Lesniak, a Democrat) Christie was delaying PokerStars’ entry to please Adelson and perhaps get a political contribution.
March 2015 Suggested as Approval Time
Around the same time, Lesniak again suggested that PokerStars would be approved in March 2015. In the following weeks, that did not materialize. Instead, Resorts Casino announced it would launch its own gaming website in conjunction with NYE Gaming Group. Resorts suggested PokerStars might join in when it was approved, though some reports had Rational Media going in another direction.
Q3 Prediction Is Uncertain
Now, David Baazov is suggesting PokerStars might gain approval by mid-summer 2015. Given the many delays and frustrations, one would be wise to wait for results before assuming anything. PokerStars has the tide rolling against it in the US market. In California, Nevada, and Pennsylvania, legislators are writing or have written laws to bar PokerStars from entering their online gambling markets. These are the so-called “bad actor” provisions, which ban any company or individual which accepted players after the UIGEA went into effect on December 31, 2006.
