Well what I've been able to figure out is that it's help stop "rail birding" tables. If you just go to the lobby & find the table (usually high stakes) then you can watch. It's depends on how much you have in your account at the time when you use the "Buddy list". So if you can't buy-in on the table, then it show up on your list as "Texas Holdem Limit" or whatever the tagged player happens to be on. iPoker is trying to stop players from watching higher stakes players.
