Ultimate Gaming Abandons NJ iGaming Market

The tumult in New Jersey’s casino market is starting to impact its online gambling market, too, after Ultimate Gaming announced the Trump Taj Mahal’s closure in November has now forced it to pull its operation from the Garden State.
In New Jersey, online gambling companies must first form partnerships with land-based casinos in order to offer their products to local residents, but with Trump Entertainment Resorts’ recent bankruptcy, Ultimate Gaming not only finds itself without a business partner, but also out-of-pocket by around $1.5 million. Commenting on the situation, Marc Falcone, Ultimate’s senior vice president, said:
“We wish things would have turned out differently for us. Unfortunately, as they say in poker, we were not dealt a good hand. We are owed about $1.5 million from Trump Entertainment. We in effect haven’t been paid for more than two months. Money that the site generated and that we are owed, we were never given.”
Unfortunately, Ultimate Gaming’s relationship with Trump Entertainment Resorts has been fraught from the start, with the online operator not given permission by Donald Trump to use the brand name to market its online product, Ultimate Poker. This placed it at a severe disadvantage compared with other collaborations, such as Borgata/Bwin.party and Caesars/888.
As a result, Ultimate Poker has fared the worst of all New Jersey’s six iGaming operations, with the site generating a mere $4.9 million so far this year, compared to Borgata/Bwin PartyPoker which has generated more than $30 million over the same period. After announcing its withdrawal from New Jersey, Tom Breitling, Chairman of Ultimate Gaming, said his company would do its best to “ensure a smooth transition” for its online customers, and offered the following advice:
“Please go to your account and withdraw any cash balances you may have by following the normal withdrawal procedures. You will be able to access your account in the normal manner until September 28, 2014. If you have not withdrawn your balance by September 28, 2014 we will begin refunding balances in your account to your registered address. Unexpired “U-dollars” and tournament tickets will be refunded. After midnight on October 5, 2014 player accounts will no longer be accessible on-line.”
In spite of failing in the NJ iGaming market, Ultimate Gaming will continue to offer its product in Nevada, where it dominates the market along with WSOP.com.