A major step was taken in internet gambling this week when the French Parliament passed a bill to legalize and regulate online poker, sports betting, and horse racing. The bill puts an end to the State monopoly on online gambling, allowing privately-owned international websites to offer platforms in the flourishing French market.
The bill, which was passed by a parliamentary majority of 299 votes to 223, should to come into effect just before June’s World Cup in South Africa. Parties opposed to bill are expected to look for ways to have the law overruled by Constitutional Court, but for now, the news is very positive for French poker players.
“This text will allow us to progressively dry up the black market in online gambling by creating a legal offer which obeys the rules,” Budget Minister Francois Baroin told The Daily Telegraph. The new bill will force private operators to seek a permit from a regulator, who will make sure that games meet regulations enforced by the State. The law will also prohibit minors from gambling online and reinforce measures targeting illegal gambling websites.
Once the bill is signed into law, the State will tax 7.5% on sports bets and 2% on online poker bets. Part of the take will go towards anti-addiction campaigns.
Online gambling in France is currently run and regulated by two state-run organizations, PMU and La Française des Jeux. With the duopoly no longer in play, several sports books, betting sites, and advertisers are expected to compete with the two organizations, making for an exciting time in the French sector.
Media outlets are already benefiting business-wise from the new French gambling market. Metropole 6 Group (M6), France’s second most watched television network, struck a deal with the French online gambling group Mangas Gaming on Thursday. The four-year deal will allow Mangas subsidiaries Everest Poker and Betclic to run betting services on M6 websites and sponsor poker and sports content across M6’s nine digital channels.
“We are delighted about the visibility M6 will provide to our brands and services on both its channels and websites, especially in the poker segment,” said Mangas group chief executive Nicolas Béraud.
The news involving Mangas Gaming, Everest Poker, and M6 comes shortly after Ultra Internet Media, the parent company of Everest Poker, filed a lawsuit against Harrah’s alleging breach of contract last week. The suit centers on French television station RTL9, which violated rules of their contract by displaying logos of Full Tilt Poker during World Series of Poker (WSOP) broadcasts instead of Everest Poker.
In addition to the lawsuit, Everest is also reportedly pulling out of a three-year sponsorship deal with the WSOP. Everest paid Harrah’s $6.2 million for 2008 and $7.9 million for 2009 to be the official on-felt sponsor of the Series. Harrah’s was supposed to receive $8.4 million in 2010.
“Unfortunately, because it is an ongoing lawsuit, we’re currently unable to comment on the issue,” a spokesperson from Everest told Poker News Daily. Harrah’s hasn’t released an official statement, but told the Las Vegas Sun last week that it had yet to be served. Harrah’s officials also declined to comment to Poker News Daily.
Everest Poker, which continues to grow in popularity in Europe, supposedly generates a large portion of its income from the French market. 2009 WSOP Main Event third-place finisher Antoine Saout and fellow French pro Fabrice Soulier represent the site.