Now, it’s been announced that more than $1 million in prize money will be given away in the next year, courtesy of the firm, a joint venture between Branson and Canadian startup WorldGaming.com.

“The video game market is extremely competitive and overcrowded, but we see a big opportunity,” Branson told Game Industry TV, explaining his decision to enter the skill-based gaming business rather than publish software for PC, console or mobile platforms.

The new Virgin Gaming Web site, to be announced on Tuesday at the E3 video game industry show here, gives console video game players the chance to win large cash prizes for beating others at well-known PlayStation 3 and Xbox 360 games like Halo 3 and FIFA 10.

Visitors to Virgin can play free, or wager as little as $1. But if they bet, the winner receives twice the bet, minus Virgin’s commission.

To deter cheating, Virgin Gaming will determine the winner of each game automatically. The company has agreements with multiple game publishers to gain direct access to game results stored on the publishers’ servers.

Players can ‘BringIt’ for as little as $1 or up to as much as $100,000, so both casual players and those who crave the adrenaline of high stakes can engage at their own pace and be assured their BringIt challenge experience is safe and secure. During gameplay, the collective entry fees are held in an escrow account until the winner is declared and verified, at which point the funds are released to the winner’s secure account, minus the BringIt service fee. BringIt provides neutral arbitration as well as a self-regulating player feedback system that lets members know an opponent’s standing in advance of initiating a challenge or accepting a match.

CrunchGear offers the following feedback about BringIt:

Once registered for the site (free) you pay up a little into the account (they’ll match up to $20 for the beta) and go get your wager on, assuming you’re 18 or older. BringIt supports every major console out there along with PCs, although it seems it only works with one on one matches at the moment. That actually leaves out quite a lot of the gaming community — Counter-Strike, for instance, is a huge segment and very team-based. But there’s a healthy 1v1 community out there as well, and at any rate it makes the betting considerably simpler. You challenge someone, put up an agreed amount into escrow (anywhere from $1 to $100,000) and at the end the total is given over to the winner, minus the 10% fee you knew had to be in there somewhere. These being games of skill (and thus impervious to the legal restrictions on games of chance), some matches may be close or contested; a record of the events of each game is emailed to each player, however, and I can only assume that when things get hairy, a BringIt “ref” will be brought in to make the call.

Although it will add yet another facet to modern net-dwellers’ already too-fragmented online presences, BringIt is hoping to bring in metadata from other sources: your gamercard and Live! profile, for instance. Although there will be a shaky period as the information is tapped to make skill stratifications among the users, the sheer amount of data generated by the online gaming community — wins, losses, time played, maps played, heads shot, etc — should guarantee some degree of accuracy, assuming BringIt’s tools for analysis are up to the task.

At this time, BringIt supports XBOX 360, PS3, PS2 and Wii.

GameDuell is one-of-a-kind because users can play against real opponents and can win real prizes, even cash.

Since all games GameDuell offers are skill based games, it is not considered gambling and, therefore, the offer is legal in most of the United States. While our coverage of skill gaming has been fairly sporadic, and we hope to improve it, generally speaking, internet gaming is one of the most popular and fastest growing sectors of the online market. It is already worth more than 4 billion US dollars and expected to hit 8 billion by the end of 2011 according to Watershed Publishing LLC and Media Buyer Planner LLC.

Some SL businesses already may be operating outside current law. Casino gambling and sports betting are pervasive in SL. The fact that bets are made in lindens, not dollars, won’t shield gamblers from possible prosecution under federal laws banning Internet gambling, says Jaclyn Lesch, a spokeswoman for the US Justice Department. “Regardless of how one pays for the bet, it is still a bet if it involves something of value. While not a credit card or cash, [virtual currencies] would still be a thing of value” especially considering the fact that they are later redeemed for cash.

As for Linden Lab, the company claims that it is not responsible for illegal acts on the part of users, just as Internet service providers like AOL aren’t responsible for actions committed by their users.

So for all of you thinking about taking your gambling and betting into the virtual world… Still illegal in the US.

“This joint venture agreement with GamerSaloon.com illustrates H3′s dedication and commitment to growing its online video gaming business,” said Jordan Edelson, H3′s Chief Technology Officer and Digital Entertainment Director. “Our developmental efforts will be fully supported by a unique and comprehensive marketing and advertising campaign strategy. Video Gaming is a multi-billion dollar business and H3 is excited to be a part of it.”

Advance registration for the initial beta service will begin the week of August 4th. Individuals who sign up for one of the limited beta spots will be eligible to win a HipHopSodaShop prize bundle. Winners of the contest will be announced at the exclusive H3GameLine.com launch party hosted by the HipHopSodaShop in Tampa, Florida. More information on the beta sign up will be available at H3GameLine.com in the coming days.

About GamerSaloon.com: GamerSaloon.com is the world’s largest video game tournament network that lets adults compete for real cash prizes in head-to-head and multi-player tournaments. GamerSaloon.com members can chat live with each other and view a potential opponent’s profile containing history and other player comments. Over 100,000 members are registered (free) with the website and more than $1.3 million in cash prizes have been awarded since GamerSaloon.com was launched in November, 2006.

Gambling for free on the Internet has become the most popular gambling activity among youths in Oregon, according to a new survey. That concerns officials who say it introduces teenagers to gambling and grooms them for other forms in which money is waged.”You’re learning that gambling is fun, it’s stimulating, and it’s risk-free,” said Wendy Hausotter, problem gambling prevention coordinator with Oregon Department of Human Services. “That’s not true at all.” The survey, commissioned by DHS last year, found that 33 percent of youths ages 12 to 17 — an estimated 94,659 teens — gamble online for free.

It’s an activity that is convenient and easily accessible, officials say, because it can be done at home at any time, often under no supervision from parents. Its novelty, high level of stimulation and low level of physical exertion also appeal to youths, many of whom are tech-savvy. [So lazy kids sit in front of the computer all day and happen to play poker? What if the parents forced them to go outside? Scary idea.-Editor]

“It’s the game of choice among youth, which is surprising for us,” Hausotter said. “It wasn’t on the radar screen.” The last survey done on youth gambling in Oregon was in 1998. It didn’t ask teens and their parents about free online gambling.

The article and the associated study goes on to talk about all the ills associated with free online gambling. Well, whats the difference between free online gambling and Solitaire card games that has come with every Windows computer since 1990? Playing games such as World of Warcraft or Everquest online with no actual money involved is in a way gambling.  Game of Monopoly (fake money involved) is gambling. NCAA March Madness Basketball pools among buddies is gambling. What’s the difference?  At some point in life people need to learn self-control, not everything needs government regulation. It’ll be just a matter of weeks before some politician starts citing this study as the need for more anti-gambling regulation? Would I bet on that?

The 3G iPhone push means that other smartphone manufacturers (RIM BlackBerry, Nokia, Windows Mobile) will now have to keep pace with iPhone and release similar devices which means in the near future the market should become flooded with powerful mobile devices that can support rich client interfaces and engaging game play rather than a humble SMS, because it’s not very exiting to spend money for a text that says, say, “[3H,5H,8C,QD,KD] you loose, try again”.

One day soon we’ll be able able to gamble and bet on sports from an interactive mobile client that will be a pleasure to use.

Right now, Gorilla Wars is open in beta mode, and for a limited time giving away sign ups for one of their eleven free BETA Leagues. Compete with 500 Gorilla Bucks in head-to-head, multiplayer, and FFA matches in leagues giving away cash prizes, and eligibility to two $2500 dollar tournaments. The company is taking the bill on this one.

“Barack Obama strongly supports the principle of network neutrality to preserve the benefits of open competition on the Internet. Users must be free to access content, to use applications, and to attach personal devices.”

Perhaps with Barack Obama in the oval office the UIGEA will be repealed sooner rather than later. He will also need quiet a revenue stream to finance many of his campaign promises so legalizing, (and than taxing) online gambling could be coming soon!