VANCOUVER, British Columbia, May 30, 2006 (PRIMEZONE) -- As part of its commitment to keeping shareholders informed, UBA Technology Inc. (Pink Sheets:UBTA) is pleased to provide this investor update on UBTA and recent developments in the gaming market. Recent events continue to show that online gaming is growing in all sectors and reaching out to new ones both in North America and around the world.
Continued Growth in U.S. Online Gaming Despite Ban
Americans spent more than $4 billion last year on Internet gambling, despite a de facto ban on such wagering in the country, an AFP report said. The American Gaming Association's analysis supported the need for a congressional study of ways to regulate online gambling for residents in a way that would help support jobs and tax revenues. Written by Washington attorney David Stewart, the report found that online gambling was growing at a rate of 20% per year, despite the contention by the Department of Justice and several state governments that it was illegal.
Online Betting Seen as Salvation for Horse Racing
Joseph A. De Francis, chief executive officer of the Maryland Jockey Club recently observed, "Over the 25 years I've been in this industry, not one day has gone by when I haven't heard people complaining that our customer base is getting older and we can't attract young people. And this (online betting) gives us an opportunity to expand into the youth market unlike any we've ever had before."
During this year's Kentucky Derby Day, Youbet.com -- the largest provider of Internet racing content in the country -- processed nearly $5.6 million in wagers, a 34 percent increase over 2005.
Last year, what is called Advanced Deposit Wagering, meaning the money wagered comes from bettors using telephones and other interactive devices as well as computers, accounted for $39 million, or nearly 8 percent of the total for racing at Pimlico and Laurel Park, according to the Maryland Jockey Club, which runs the tracks that include the venue for the Preakness. And there is formidable competition from offshore Internet sites that generally operate without U.S. legal constraints. One of the most popular, Bodog.com, reported in a news release a 100 percent year-over-year growth in betting volume for the Kentucky Derby.
Christian Hellmers, director of U.S. business development for Betfair, said that its online horse racing service could increase the $134-million annual win wagering market in the U.S. up to 59% if exchange betting was offered to U.S. customers. He said gross revenue could hit $30 million by 2007, and $50 million by 2008.
About UBA Technology, Inc.
UBA Technology, Inc. (UBA) develops and licenses betting exchange software for both online and brick-and-mortar casinos. Their software enhances all mobile, event-trading operators and betting services worldwide. The unique UBA digital exchange and order-matching solution allows real-time creation and settlement of event-based contracts. UBA is focused on licensing software for the growing peer-to-peer gaming marketplace.
Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties, including but not limited to economic, competitive, governmental and technological factors affecting the company's operations, markets, products and prices and other factors discussed in the company's various filings with the Securities and Exchange Commission.