Playboy Poker Shuts Shop Two Years After Relaunch

Home » Poker News » Playboy Poker Shuts Shop Two Years After Relaunch

Wednesday, July 29th, 2015 | Written by Shane Larson

In 2009, Playboy was losing money until Scott Flanders was appointed the company’s new chief executive officer and managed to turn around the business by creating a more elevated lifestyle model for the Playboy brand, whilst also making Playboy “primarily a licensing business”. The same year Flanders joined the company, the Unlawful Internet Gambling Enforcement Act (UIGEA) compelled the two year-old Playboy Poker site to shut down, only to return in 2013 ready to take advantage of an apparent opportunity in the market. As a Playboy representative explained at the time:

“Poker has become pretty serious and stale recently and we think can bring a lot of fun to the game.. We are also working on fun promotions that are really going to make some noise. There are certain things that only Playboy can offer and we are really excited about the future.”

In spite of the gimmicks and special promotions it offered, however, the site lasted no longer than its original launch and on July 27th subsequently shut its doors once again, citing only a “business decision” for its action.

30 Days To Withdraw Funds

Following yesterday’s closure, Playboy Poker customers have now been given 30 days to withdraw their funds by contacting support@playboypoker.com or else have their money forfeited.

Fallout From Amaya’s Purchase

Despite the tight lipped reason given for its shutting shop, it has been suggested that Playboy Poker’s second closure is likely connected to last year’s purchase of PokerStars and Full Tilt Poker by Amaya Gaming. In order to pursue a strategy of focusing mostly on its core business, the Canadian company subsequently sold off some of the assets it had acquired from the Rational Group, including the Ongame Network which hosted Playboy Poker. Therefore, it was most likely the new owner, NYX Gaming, which decided to terminate the license, and as a statement on the Playboy Poker website explain:

“Playboy Poker is in the process of surrendering its gaming license, all players are advised to withdraw their funds from the site at their earliest convenience.”

Times Have Changed

Nevertheless, the market has changed dramatically since Playboy Poker first launched in 2007, a time just one year after the poker boom ended, and when online poker was still relatively hot compared to today. During this period, Playboy was hoping to cash in on the popularity of its globally recognized brand, and even employed millionaire philanderer Dan Bilzerian, and actress/model Sara Jean Underwood to help promote the site. In addition to using lifestyle celebrities to market its poker offering, Playboy Poker also offered special promotions and prizes, including Harley Davidson motorcycles, and a luxurious trip to Hugh Hefner’s Playboy Mansion in Holmby Hills, Los Angeles. Nonetheless, the re-launched site in 2009 suffered from no longer being available to U.S. players, and with taste changing over time the site has become just one of a number of other poker sites to flop, other examples including Power Poker and Victory Poker.

Spate Of Other Closures

Playboy Poker is not alone in overestimating the potential revenues from operating an internet poker room, and many other sites have also subsequently suffered the same fate. One such example was the USA’s first regulated iPoker website, Ultimate Poker, which closed after 19 months online, citing poker revenues “far short of original projections” for its failure. At least Ultimate Poker customers were refunded the money in their accounts, though, unlike those people who used to play on the now defunct sites of Everleaf Gaming, Stryyke, Eurolinx and Lock Poker.

In the meantime, Spain’s regulated market lost another site this week after the Casino Gran Madrid announced it would be shutting its Playtech-powered online offering effective from August 31st. While the casino said it may enter the iPoker space once more when it develops a “more attractive” product, it’s difficult to see how it could thrive in a market where 90% of revenues are controlled by the world two biggest iPoker operators, namely PokerStars and 888poker.

Adding further to the woes of operators , online poker sites have increasingly come under attack from hackers lately, whilst also having to deal with technical difficulties of their own. 888poker, for instance, has been suffering ongoing disruptions to its tournaments of late, resulting in the operator developing a function allowing it to pause tournaments, and stopping any further hands from being dealt.