The new mobile gaming platform is currently supported on over 100 different mobile devices, ranging across Nokia, Samsung and Sony Ericsson handsets.

The service offers 10 of Hopa.com’s most popular scratch games and supports the regular applications available on the Hopa.com website including cashier, registration, cash out, history and player promotion adapted to the mobile environment.

Cellphones are widely used and mobile technology is well advanced in the country, where it is estimated that there are up to 500 000 online gamblers.

Peter Collins, executive director of the National Responsible Gambling Programme in SA, says the industry is thought to be worth at least R800 million (around GBP 70 million) a year. And he says the sector will grow as an increasing number of cellphones support gambling applications.

The government has been wrestling with online gambling regulation and licensing for years (see previous InfoPowa reports) despite extensive research initiatives, political debates and visits to successful overseas licensing jurisdictions. This has resulted in blurred legality lines until definitive laws are passed, hopefully later this year.

In the meantime, and because the legality question is so open to interpretation, foreign companies justify offering their services on the grounds that their servers are not in South Africa and therefore not subject to its laws or advertising restrictions.

A case testing this argument has been ongoing since 2006 and is currently on appeal before the Supreme Court, but the liklihood appears to be that the issue will be resolved by legislators before the judiciary makes a finding.

Until then the government’s official position is that online gambling is illegal, although it is not vigorously policed. “It is not something that anyone is going to waste police time on,” Collins told ITWeb.

Arthur Goldstuck, md of World Wide Worx, anticipates five million more people will come online in the next five years in South Africa, and two million of these will use the Internet through cellphones. Research by his company has shown there are currently five million Internet users in SA.
Goldstuck told ITWeb that new users will initially be inexperienced, and not the target market of online casinos. However, “the following five years is when it gets scary” and there will be a need for “checks and balances” to be in place to regulate the sector.

Putting these measures in place is one of the issues facing the Department of Trade and Industry. Nomfundo Maseti, chief director of policy and legislation at the department, is aware that there is a need for precautions against underage and problem gambling, the involvement of organised crime and money laundering, and arrangements are in hand to address all of these problem areas.

If the national government  decides to license and regulate online gaming in the country, as is expected, the National Gambling Board will only issue 10 licences. Gambling operators will be required to prove they have a physical presence in SA and their financial transactions will have to be located within South African borders.

Victor Chandler and Ladbrokes have both announced an interest in establishing a presence in the market.

ITWeb reports that according to National Gambling Board numbers, about 7 percent of all gambling revenue globally is spent on the Internet. In South Africa, the overall gaming industry is worth about R16 billion (about GBP 1,43 billion) in revenue.

eDeck offers Hard Rock customers the ability to play their favourite casino games such as table games, video poker and slots throughout public areas of the casino property, which includes bars, restaurants and lounges, as well as by the pool.

Cantor has developed proprietary games for eDeck including XtraOdds Blackjack and XtraOdds Baccarat, with extra propositional bets that dynamically calculate odds based on the cards dealt, giving players an additional opportunity to press or hedge their bets.

Lee Amaitis, President and CEO of Cantor Gaming, said: “We’re pleased to bring mobile gaming to the Hard Rock. We’ve had an extremely positive response to eDeck since it was first launched last March at the M Resort.

“The ability to play casino games away from the casino floor adds a whole new dimension to the Vegas experience, and the flexibility of mobile gaming appeals to customers who are already used to the freedom of using mobile devices in many other aspects of their lives.”

Randy Kwasniewski, President of the Hard Rock Hotel & Casino added: “We are excited to welcome the addition of mobile gaming to the Hard Rock. Now, gamers are able to enjoy all the Hard Rock has to offer such as our pool and beach club, fine dining and exciting nightlife, all the while still able to bet and play casino style games on their mobile device.

“Mobile gaming reflects our values at Hard Rock: offering our customers innovative, creative and fresh ideas to complete a special and unique experience at our resort.”

“We really saw a breakthrough during the second half of 2009 after we re-launched our iPhone version during Q3 this year. The customers enjoyed it and used it at numbers we can speak about. We think the mobile channel for ourselves and the industry will become a channel with some prominence for the future,” said Nylander, attributing the success to the growing market penetraion of smart phones.  Unibet’s mobile service is powered by the Swedish Mobenga technology provider.

Other achievements reported by the company included all time highs in active customers and sportsbook gross winnings revenue and:

* Gross Winnings Revenue amounted to GBP 42.1 (34.9) million for the fourth quarter of 2009 and GBP 138.3 (123.4) million for the full year 2009.

* Profit from operations amounted to GBP 11.0 (12.8) million for the fourth quarter of 2009 and GBP 32.8 (36.5) million for the full year 2009.

* Result before tax for the fourth quarter of 2009 amounted to GBP 8.7 (-0.3) million. Profit before tax for full year 2009 amounted to GBP 28.9 (11.1) million.

* Result after tax for the fourth quarter of 2009 amounted to GBP 8.4 (-0.9) million. Profit after tax for the full year 2009 amounted to GBP 26.8 (8.8) million.

* Operating cash flow before movements in working capital amounted to GBP 13.3 (15.3) million for the fourth quarter 2009 and GBP 42.7 (46.8) million for the full year 2009.

* Number of active customers at the end of the quarter was 365 865 (292 168).

The Board of Directors proposed a dividend of GBP 0.71 (0.23) per share/SDR, which amounts to a proposed distribution to shareholders of GBP 20.0 (6.4) million.

Full-year EBITDA fell 10 percent year-on-year to GBP 41.9 million, from GBP 46.3 million in 2008, which the company said showed the “investment in marketing ahead of the sporting year coming up.”

Looking forward, Nylander said that the first six weeks of 2010 had seen good growth in the business with live betting as an important driving force.

“Another important step for Unibet has been the decision to participate in the global sportsbook B2B market and offer our proprietary Sportsbook and risk management services to external customers,” said Nylander, describing the sector as a large opportunity market.

“During the fourth quarter we made an early redemption of the Euro bond and expect to save between Euros 4 and 5 million in finance costs during the facility’s duration compared to holding the bond to maturity. This saving includes early redemption costs of GBP 1.2 million that has been charged to the consolidated income statement in the fourth quarter of 2009,” Nylander revealed.

The company hopes to prosper from the opening of the French market during 2010, given its strong positioning and the comparatively underdeveloped nature of the remote gaming portion of the overall gambling market, which Nylander felt currently represented around 5 percent of the overall action when compared to Scandinavia and the UK, “…where we think the online side of the overall gambling market is maybe 25 to 30 percent.”

The study analysed market data and analytics in terms of volume sales for the United States, Japan, Europe, China, India, Brazil, and Rest of World and found:

* China and India account for more than 40 percent of the global mobile Internet user base.

* The increasing penetration levels of mobile phones in developing countries, owing to the lack of fixed line broadband infrastructure facilities is a major driving force for the enhanced adoption of mobile Internet.

* Launch of 3G services, the advent of high-end phones and devices, and growing affordability of operator data plans are also anticipated to promote growth of mobile Internet market.

* Complexities associated with mobile devices, in terms of connectivity and data access, constitute major deterrents for the adoption of Internet services among consumers.

The United States represents a major market, in terms of mobile Internet penetration. Mobile Internet usage in the country is driven by the technology’s ability to provide convenient access to bank accounts, mobile maps, consumer services and other such services.

US market growth is also supported by the fact that mobile phone ownership surpasses that of personal computers among Americans. The advent of high-end phones (such as Apple iPhone) is a key contributor to the market growth.

Key players profiled in the report include Apple Inc., Google Inc., Microsoft Corporation, Nokia Corporation, NTT DoCoMo Inc., Orange, T-Mobile USA, Vodafone Group Plc, and Yahoo! Inc.

Mobile Internet, also referred to as Wireless Internet, allows users to gain access to the World Wide Web with the help of a wireless device such as a PDA or a cellular telephone.

Growth of mobile Internet is driven by factors such as technologically enhanced handsets, improved networks and superior user interfaces.
Increasing sophistication of content offerings and growing consumer awareness about mobile Internet is expected to contribute to the uptake of mobile Internet services. The market is also favoured by the declining prices of advanced mobile devices, along with the growing affordability of packaged data plans offered by mobile operators.

More details at: http://www.strategyr.com/Mobile_Internet_Market_Report.asp

The new game will bring Spin3’s advanced technology from the mobile casino world to consumers via the App Store, with additional community features.

Spin3 has developed one of its most popular games for the growing iPhone applications market, which boasts over 100 000 apps with more than 3 billion downloads.

21 BlackJack Party is Spin3’s first step into the consumer applications market and represents a new direct-to-consumer approach for the traditionally b2b provider of turnkey mobile casinos.

Development has included the introduction of a community element within the game, tracking the players’ skill level and uploading scores to a live scoreboard. The scoreboard introduces a competitive element to the game by enabling players to track their progress against other users at their level.

Players will be able to use their iPhones to check the scoreboard online through the 21 BlackJack Party microsite and will be notified whenever anyone enters or exits their level.

21 BlackJack Party puts to good use the full functionality of the iPhone with tap and slide movement and advanced graphics. The play-for-fun game enables players to create a personalised profile that appears when the game is launched and next to their score on the live scoreboard.

The server-based game saves each player’s ranking and balance. Even if players need to close the game mid-hand, the game is saved enabling them to return at exactly the same point that they left.

Matti Zinder, head of Spin3, said, “The free-to-download game is designed to establish our presence in the app world. The decision to launch Blackjack on this new channel arose from the explosion in the apps market.

“Mobile application downloads are expected to reach five billion by 2014, which is a staggering number. Companies such as Zynga have made the transition to the applications market with its Texas Hold ‘em game and it’s been a huge success. Our new application will soon be available free-of-charge on the Apple App Store with new games and exciting new developments to follow.

“We are also looking closely at the Android market as another terrific opportunity. Our 21 BlackJack Party application will also be available on the Android Market for Android powered devices very soon.

“By utilising our back office and CRM tools which enable us to include advanced features such as community elements and tournament gaming now and in the future, I think we’ve developed a game that can match or surpass Zynga’s success.”

Management attributed the easing to “higher withdrawals running up to Christmas” while the number of new registered players for the quarter fell by just over three percent to 47 089.

Probability had net cash and equivalents of GBP 1.91 million – down from GBP 1.96 million at the conclusion of its second quarter.

The company’s star game was the new X Factor branded slot title, which attracted over GBP 2.5 million in wagers during the period when interest was especially high due to the screening of the live shows.

Charles Cohen, the chief executive at Probability said: “As we expected, net gaming revenues were slightly lower than the previous quarter as players cashed in their winnings in November to finance their Christmas expenditure.

“We were buoyed by the success of the X Factor slots game toward the end of the quarter, which saw significant traction through December as the live televised finals progressed.

“December trading all round was very encouraging with record bets taken and net gaming revenues 30 percent higher than November, which followed a strong month in October.

“We were very pleased that the new server capacity in which we have invested was online in time for this busy period and ensured that our systems performed well, giving players a great experience and handling a record number of mobile bets.”

Probability also released an update on its investment programme revealing that it has “been largely completed and is already starting to have a beneficial effect on revenues and margins”. The plan will enable the firm to expand with “greater speed and in more ways than would otherwise have been possible.”

“Our plans were accelerated following changes in the market environment, which have opened considerable new opportunities for us,” read a statement from Probability.

“In particular, the uptake of the iPhone and the Google Android platforms have shifted consumer expectations of mobile services generally and significantly improved the prospects for mobile gambling.

“Our newly created higher margin business-to-business division is also experiencing strong demand from eGaming businesses and online sports books for a ‘white-label’ offering from Probability to allow them to address these opportunities themselves,” Cohen concluded.

The need for US states to balance their budget is causing an growing number to turn to lotteries as a solution, and a regulated mobile lottery offering could not only increase by 10 percent the $ 65 billion in current lottery revenues to the states that participate but also lower the cost as a more efficient and cost effective method for distribution.

“Our goal is to create the number one brand in the mobile lottery space using my expertise gained from launching the first real-time mobile trading application for the U.S. Treasuries with Sprint-Nextel in 2005,” said Wilkins, CEO of Mobile Lottery LLC.

“My serving as a key contributor with Cantor Fitzgerald’s successful Cantor Gaming wireless gaming business in Las Vegas has prepared me for this opportunity to extend the current state lottery offerings to exciting new mobile devices such as the iPhone, Google Nexus One and other Android OS devices , Motorola Android OS devices, Blackberry Storm/Bold and various Microsoft Windows devices.”

With over two-thirds of the U.S. population having played the lottery and with 23 percent of those participating playing regularly, the mobile lottery can now be available to the 208 million U.S. mobile subscribers who qualify, said Wilkins.

Software now exists to verify a player’s age and that one is playing from a legal jurisdiction. Mobile lottery also practices responsible gambling and can restrict, limit, and control the amount each individual partakes in lottery systems.

“The ability to securely and reliably trade over $ 20 billion in U.S. securities with an average transaction value of over $ 5 million four years ago proved mobile financial transactions are indeed possible,” Wilkins said this week.

“New technological advances in mobile operator networks and mobile smart phone devices now allow for both a legally compliant and exciting game experience for the wireless lottery player in the 42 U.S. state’s that choose to participate,” he added.

Location Based Services (LBS) can now accurately pinpoint a lottery player’s location ensuring the participating state will receive its revenue share. It also ensures the state will adhere to regulatory requirements by offering intrastate gaming and compliment the existing land based lottery systems whose revenues have flattened in recent years.

Advantages of mobile lotteries include increased state revenues because of the added convenience, the ability to address problem gaming, elimination of fraud and lost tickets, and added revenue streams via mobile advertising and consumer market data.

“The merger of the Powerball and Mega Millions lottery game essentially allows for a national lottery with one application across many devices, operating systems, mobile operators and content stores,” claimed Wilkins.

“Additionally, with the recent deployment of WiMax and evolution of LTE (Long Term Evolution) technologies, the long term prospects for the mobile gaming transaction space is extremely bright,” he concluded.

Playtech Mobile gives its operators the opportunity to grow their player base by expanding their existing online operations into the mobile entertainment market. Playtech Mobile’s Web Apps is the latest way in which users can enjoy the freedom and flexibility of mobile casinos, switching easily between their computer and mobile using the same account log-in. This non-stop, instant play experience is supported by mobile platforms of iPhone/iPod Touch and Android phones, enabling a maximum exposure to a maximum audience.

With over a dozen casino games already available for the mobile, the three pioneer games to launch as Mobile Web Apps are Blackjack, Jacks or Better (video poker) and the Gold Rally progressive slot, which is linked to the Playtech progressive jackpot.

Playtech are launching three more new games as Java apps : Pop Bingo, a single player version of the classic Bingo; Keno, an exciting lottery-style game, and the all-enduring, fixed odds face-off Rock, Paper, Scissors.

Playtech Mobile’s innovative Casino Packs allow operators to create their own unique download packages. By bundling the custom-selected games into one package, users can log-in one time and access all the games instantly.

Playtech’s Mobile Gaming is fully supported by the Information Management Solution (IMS), Playtech’s operational infrastructure that expertly manages and monitors all the activities of the mobile gaming operation. The system’s modular architecture enables full integration and customization opportunities, allowing licensees to take full advantage of Playtech’s cross-platform capabilities.

Supporting over 100 different mobile devices, including all the main brands, the platform carries 10 of NeoGames’ most popular scratch games.

NeoGames have developed a unique horizontal scrolling menu, which holds all the functions and changes dynamically according to the required actions. In addition, the mobile platform supports the regular applications including cashier, registration, cash out, history and player promotion adapted to the mobile environment.

“This is an exciting time for NeoGames as we venture into the future of gaming” Shay B. Joseph, managing director of NeoGames Network stated at the ICEi show this week. “By creating the mobile application, scratch cards can now be played anytime, anywhere; on the train, at the bus stop, even at the checkout in the supermarket.”

He added that with its J2ME mobile technology and brand new WAP site, NeoGames’ global white label and license partners are now able to offer UK players scratch card games on their mobile devices.

Neogames has been doing its marketing homework, reporting on a survey in the UK which confirmed its view that scratchcard gaming is an important new wave of activity in the industry.

The player demographic was gender-balanced and in the 35 to 55 year old age group, a spokesman revealed.

Lotteries facing increased competition on scratch cards have had to ramp up their action in the sector, with firms like the UK’s Camelot reporting significant revenue increases from this form of gambling.

Neogames, which spent four years developing its proprietary technology, says it has signed over 20 games and white label contracts in the last 12 months and the pace shows no sign of abating.