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Card-counting whiz eyes Facebook football fantasyStaff and agencies
By MICHAEL LIEDTKE, AP Business Writer Sun Aug 10, 3:01 PM ET SAN FRANCISCO - By the time he graduated from MIT, Jeff Ma already had led a life many guys dream about. His card-counting prowess at blackjack tables during wild weekends in Las Vegas and Atlantic City won him and his college buddies millions of dollars, inspiring a best-selling book and the recent movie "21." Hoping to introduce a younger generation to the game of fantasy football, Ma and his primary business partner, Mike Kerns, have launched a program that enables the leagues to be managed within the popular Internet hangout Facebook. The idea was compelling enough to persuade Sports Illustrated to stamp its name on the program, its first fantasy football venture. The magazine spent the past decade on the sidelines watching Yahoo, ESPN and CBS build popular Web sites to help manage the leagues. "We think this can change the fantasy landscape," said Jeff Price, president of Sports Illustrateds digital operations. "The switching costs for people to leave a league to come over to another site is a significant hurdle," Price said. But he believes it will be easier for Citizen Sports because having its program run on Facebook, where millions of people already spend hours every day, "brings fantasy football to the player instead of having the player come to you." And Yahoo isnt taking its advantage for granted. The company has developed even more tools for its fantasy football service, including more graphics and audio alerts, while making it easier to play on mobile phones. Ma struck it rich at a young age by taking an unusual risk while attending the Massachusetts Institute of Technology. Working with friends who also had a way with numbers, Ma developed a card-counting system that identified when blackjack decks had a higher percentage of face cards remaining, increasing the odds of being dealt a winning hand. Kerns read "Bringing Down the House" in one night after learning through a mutual friend that he had been invited to a friendly poker game that would include the real-life Kevin Lewis. By the time he put the book down, Kerns decided to recruit Ma as a business partner. While some sites charge small fees for special service, most of the money in fantasy football pours in from advertisers eager to connect with a mostly male audience that spends a lot of time online managing and tracking teams. The demographic is especially appealing to marketers because these guys tend to have above-average incomes and consume lots of beer, fast food and technology. Privately held Citizen Sports is projecting at least a sevenfold increase in revenue this year, bolstered by the new fantasy football program along with other existing social network applications built to help people follow their favorite professional, college and high school teams in a variety of sports. Sports Illustrated already has sold season-long sponsorships for Citizen Sports Facebook fantasy program to AT&T Inc. and the sporting goods chain Finish Line Inc. The magazines sales force is hoping at least 250,000 people participate in the Facebook fantasy league during the first season, Price said. Nearly 100,000 people had downloaded the program through Aug. 6 after just a few weeks on Facebook. Interest is expected to intensify this month as more fantasy football players hold their drafts before the NFL season starts Sept. 4. Citizen Sports financial backers include former venture capitalist Kevin Compton, who owns the National Hockey Leagues San Jose Sharks, and Jeff Moorad, a former sports agent who owns Major League Baseballs Arizona Diamondbacks. But that pedigree and some celebrity endorsements werent enough to turn Citizen Sports first fantasy foray into a smash success. Hoping to put a new twist on the fantasy sports concept, Ma and Kerns in 2005 introduced an electronic trading market called ProTrade that used sophisticated computer models to appraise the value of professional athletes as if they were shares in a publicly held company. ProTrade still is around, though it never caught on like Ma and Kerns envisioned. "Its just a little too obtuse for most people," Walker said. This time, Ma and Kerns seem to understand that getting people to switch their fantasy sports program isnt a sure bet either. "Its just us, with a slingshot, going against the big guys," Kerns said. ___ On The Net: Fantasy football at • Citizen Sports on Facebook: http://www.fbfantasyfootball.com • Yahoo: http://football.fantasysports.yahoo.com • ESPN: http://games.espn.go.com/frontpage/football • Microsoft, Fox: http://msn.foxsports.com/fantasy/football • CBS: http://tinyurl.com/64p49m
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