The Churchill Downs - Magna Entertainment partnership, TrackNet Media, is putting the screws to competing online betting providers. In order to carry CDSN/Magna tracks, providers must agree not to carry TVG affiliated tracks (NYRA, Oak Tree, Keeneland). It is a daring but not so surprising move for CDSN/Magna, whose new found love has been the toast of the media. Now, acting as the evil monopolist, there will be screams of bloody murder. Youbet will stay with TVG tracks and America TAB is going with CDSN/Magna. I have accounts with both but prefer to bet with Youbet.

It'll be interesting to watch Youbet's stock price (UBET). They were down big after the CDSN/Magna partnership was announced but have rallied in recent weeks. It looks like the writing might be on the wall for online providers who the industry just sees as profiteering middle men. Horseplayers will be the biggest losers.

No spin yet from TrackNet Media.

bloohorse.com article