Joined: Jan 20, 2010
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January 8th, 2014 at 8:11:17 AM permalink
According to this Forbes article, in November George Soros (and a couple of his billionaire friends) paid $484 million to became major shareholders in Caesars Acquisitions, which is the online gambling division of parent company Caesars Entertainment. The article doesn't clarify what percentage is owned by the new investors and what percentage is still owned by Caesars Entertainment. Since November, shares in the division have climbed 30% above the offering price.

Much to the dismay of Sheldon Adelson, I think it's a safe bet that online gambling will eventually be legal in the U.S. Whether that happens in 5 years or in 25 years is anyone's guess. Adelson, (age 80) is spending a fortune to keep internet gambling illegal, and the old man can't live forever. Presumably the online division will have rights to use the Ceasars brand name as well as the World Series of Poker name for marketing purposes. It's hard to think of a more valuable brand name in the industry.

Seems to me that the new investors got a bargain. Thoughts?
Joined: Sep 3, 2013
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January 8th, 2014 at 8:39:02 AM permalink
If any B & M casino wanted to make money I would say:

1. Integrate earning Player's Club credits to the online games.

2. Have lessor rewards obtainable via online like freeplay but also offer enticements for the B & M casino.

3. Have the games be as close as possible to the offerings in the B & M casino to create familiarity.

4. Create a two-tiered referral system that gives rewards to players who can get people playing on the online portion as well as booking stays at the B & M casino.

5. Offer Online only casino hosts

Caesar's in particular has an advantage because they have several sites like Caesars' casino and Slotmania that people have been playing for a while which could easily be kept as well as having the same games be for real money much like Bovada's dual setup.

I think these casino groups can either be forward thinking and have the infrastructure down and ready for the widespread legalization of widespread gambling or they can fight it and be left behind when the gates open. Any casino could not only use online gambling as a strong revenue stream but also provide integrity and assurance of payout that a vast majority of online casinos now just don't have the financial clout to offer. Not even getting on the topic of possible rigged gaming software that was discussed in another thread. But these casinos also bring awareness to the physical property and create a synergy where someone plays online and then visits the physical location. The player would receive more recognition and rewards than they would have if they were only an infrequent visitor and the casino gets more consistent play. Not to mention the money from online only players who would never set foot in the physical location otherwise.

Not to over dramatize this, but I really feel like these casino companies are on a great precipice where they could either benefit greatly or be driven to the brink depending on their actions and willingness to accept the eventuality of legalized online gambling.

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