The third largest online poker network in the world was formed on Thursday, with UltimateBet and Absolute Poker combining user bases and features to launch CEREUS. The move came after more than a year of development by executives at the two online poker rooms, which are owned by the same company. Poker sites around the world will be getting a run for their money in August, when CEREUS is expected to launch and quickly be a force in the marketplace. Coming off a pair of scandals involving these two online poker rooms, it is welcome news. We’ll break down what we know about CEREUS and give you a time line of when more news is expected to be released.

On Thursday, the parent company of Absolute Poker and UltimateBet issued a press release to every single member of their rolodexes. In it, AP and UB Chief Operating Officer Paul Leggett claimed, “I’m confident that Absolute Poker and UltimateBet customers will be thrilled by the new platform and we look forward to welcoming many new players from around the world.” The formation of CEREUS means that you’ll begin to see considerably larger player fields right away on both UB and Absolute Poker, as customers from these two online poker rooms will immediately be sent head to head against one another. I would also speculate that there will be a larger weekly guarantee than the $150K offered on Absolute Poker and $200K on UltimateBet.

Chipleader Vice President of Affiliates, John Adams, was looking forward to the change from a business perspective in comments sent to PocketFives: “CEREUS not only delivers the best online poker experience, but it enables our company to improve our operations and deliver significantly better value, service and security to our customers and affiliates.” As I glimpse into Poker Scout now, UltimateBet is the eighth busiest online poker site. Absolute Poker is just behind it in 11th place. Combined, CEREUS will become the third largest online poker network.

Leggert added, “Our goal is to provide poker players with the ultimate online experience. The launch of CEREUS is a major step for us in achieving our goal and we look forward to making many more exciting announcements very soon.” A full tournament schedule, promotional rundown, and effects on the look and feel of AP and UB are not yet known. More information is expected on Friday, when details concerning the immediate impact on Absolute and UltimateBet should be distributed.

The two online poker rooms have been the focus of a maelstrom of controversy in recent months. Most recently, a cheating scandal was unearthed on UltimateBet involving the former owners of the company, who used a piece of accounting software to be able to view the hole cards of players. UltimateBet and the Kahnawake Gaming Commission (KGC) have led the charge to investigate the actions leading up to January’s revelation that several user accounts, including NioNio, were experiencing astronomically high return on investments. The figure was several standard deviations above the mean, causing posters on online poker forums like PocketFives.com to question the action. UB and the KGC have since refunded money to players who were affected and removed the vulnerability from UB’s servers.

The online poker industry’s main lobbying group, the Poker Players Alliance, has itself recently gotten involved in the scandal, issuing a statement this week targeting UB and Absolute Poker’s oversight body: “We urge these companies and their regulating authority, the Kahnawake Gaming Commission, to provide a full and transparent accounting of these breaches of the public trust to help lift the black cloud that has been placed over the industry.” The statement, which was authored by PPA Chairman Alfonse D’Amato, also lashed out at lawmakers in Washington, D.C.: “The attempt to enforce an outright prohibition of online poker is deeply flawed and unworkable, not to mention it invades upon the personal freedoms of law-abiding adults who wish to engage in a game of skill.”

James P0KERPR033 Campbell, who is the newest Star Player at UltimateBet, commented, “Whenever you merge two companies, you’re going to get more numbers. Both sites are going to get a lot larger.” Information released to the public and also available on UB’s website maintains that each of the online poker rooms will retain “the unique assets that make [them] the ultimate poker experiences.”

We’ll have all of the latest news about the launch of CEREUS right here on PocketFives.com. We’re expecting to have Leggert on next week’s edition of the PocketFives.com Podcast. Stay tuned for details.