Betfair is an online gambling that operates the world’s largest online betting exchange. It also offers a sportsbook, online casino , poker and bingo . Betfair was the first betting company to sponsor an English Football team. The Betfair was founded in June 2000 by Andrew Black and Edward Wray. In early April 2006, SoftBank purchased 23% of Betfair valuing the company at 1.5 billion.
Betfair launched its own radio service, available via its website and the telephone in March 2007.
Betfair launched its own radio service, available via its website and the telephone in March 2007. This has become Timeform Radio, that broadcasts horse race commentary and results. After the launch of radio service, in the year 2007 January Betfair announced the purchase of the TVG network in the US from Macrovision for $50 million as a part of Macrovision’s dissolution of TV guide’s assets.
While the TVG network was taken over, Betfair announced another deal with the New York Racing Association that allows Betfair customers to begin wagering immediately on Aqueduct’s thorough breeding races.
Further to add on, in the year 2012 May, Betfair launched a Sportsbook to compete against traditional bookmakers. Later, in the year 2015 it was announced that Paddy Power and Betfair agreed to merge. This transaction was structured as an acquisition of Betfair by Paddy Power and the entity that is enlarged with the name Paddy Power Betfair. The entire merger was completed on 2 February 2016.
Business in Overseas:
- Betfair has their own subsidiaries in the United States. The main company is TVG Network, which is solely dedicated to horse racing and broadcasts live races, race analysis, interviews, handicapping tips and features.
- Another subsidiary of Betfair is Betfair Casino.com
- In February 2014, the State Gambling Commission of Bulgaria, granted two online gambling licenses to Betfair.
- Betfair launched its Betfair exchange in Italy on the year 7th April 2014.
- After all these subsidiaries, Betfair came up with an auto-cash trial with their live betting customers and that was successful in the year March 2018 in the UK and Ireland. The benefit from this was the players can lock in their chosen profit.
Controversies of Betfair:
The company did not have sufficient distributable reserves in order to make the distributions and so they should not have been paid by the company to its stakeholders. Fortunately, Betfair Company also admitted that the shares that were purchased in the year April 2012, was executed when the company did not have sufficient distributable reserves.
Data Theft :
As per the Gambling Times reports,Betfair admitted that it had hidden the theft of confidential customer data from the company’s 2010 share prospects. The theft was inclusive of details of the card payment of its most of the customers, account user names with coded questions, usernames with their one or more addresses and bank account details. Betfair company further added that they had informed the “Serious Organized Crime Agency” of the incident which happened in March 2010, but the same was not discovered by Betfair data security until 20th May 2011.
In Play betting concerns:
Betfair is offering in play betting on a variety of horse racing events. During this time, there were some controversies over alleged broadcast delays of up to five seconds.
In September 2009, the Advertising Standards Authority (ASA), banned Betfair from running two billboard advertisements which had claimed that their starting price offered 40% better returns on an average than the industry of starting price. The Authority Standard Authority had found that only 10% of the bets used by Betfair in their calculations yielded at least 40% better returns than the industry selling price.
Betfair introduced a “Premium charge” in September 2008, for wagerers whose winnings are significantly high when compared to the amount of commission they pay. For the members specifically whose commissions charges are less than 20% of their gross profits and have placed the bets in atleast 250 markets are required to pay the additional charges to make up the difference amount.