Casino Betting Systems

Surely when Charles Fey built the first slot machine in 1896 could never have imagined how this strange machine would develop and what impact would have. In fact for one hundred years this little machine has only changed a little, only in appearance. The casing, which consisted of a metal box around the basic mechanism, became more fancy and impressive in order to attract attention.

Basically slot machines had always the same operating principle: the player supplies the machine with coins and pulls the lever. The machine rotates randomly and the effect of a retarding mechanism stops the rotation after a while. Each cylinder is painted with some fancy symbols that when forming a uniform pattern (printed somewhere on the machine) the player wins or loses accordingly.

Although Fey is considered the father of slots (Slot Machines), original machines had appeared years ago. Fey however had the idea to convert them into gambling machines. These early “entertainment devices” were placed initially in a saloon and were not exposed to the eyes of the “good society” and the owners were operating them within the limits of the law.

These first machines had a big disadvantage. They were designed so that after the entry of a certain number of coins and due to the coins weight, a door was opened and some of the coins were thrown out of the machine for the lucky winner. But did not take long for people to realize that the coins could be thrown out with a little push out and shaking the machine right and left.

So some capable designers were hired to build a metal bar to prevent the throwing of coins after shaking or “tilting,” the machine. Also, they built machines that could be placed on the bench of a store or secured to a wall.

Meanwhile similar types of machines began to make their appearance in big department stores or even in groceries, neighborhood shops, etc. even from the most conservative owners. They were called “trade simulators” (market simulators), and worked as the Modern slot machines, except that the winners had to receive their profits as goods from the store. It was perhaps the forerunner of the current vouchers.

Winning in slots depends on a simple mechanism that consists of symbols (usually fruits, hearts, and perhaps bars, diamonds, and of course swords and sticks - the initial choice of Fey) glued to three cylinders and a rotating lever. The ten symbols on each reel machine allow thousands of combinations.

The famous poker player Cloney Gowen, lodged a complaint against Tiltware LLC and Full Tilt Poker last Thursday. The indictment includes several famous players representing the second largest online poker room in the world.

The defendants include Eric So Lintgkren, Gus Hansen, Patrick Antonious, Aivy Phil and Chris “Jesus” Ferguson.

In the indictment, Gowen (better known as Cloney) argues that in 2004 she was offered (and accepted) 1% of the Tiltware and FTP property in exchange for becoming a celebrity member of the team, and that she has put on promotional material for FTP in return to the share taken without any compensation.

In May 2007, all members of the FTP group received some checks as a share without  herself to accept something! On 6 November 2007, when Lederer offered to pay her $250,000 for the services she offered by then, she has refused, arguing that the amount was negligible compared to the actual compensation she earned.

Gowen estimates that the company value of Full Tilt Poker is now approaching $ 4 billion! So despite the fact that the Gowen was not paid, she continued to work for the company and promote it until 11 November 2008, when she was informed that FTP issued a press release announcing publicly that Gowen was not anymore a member of the team of professionals for Full Tilt Poker.

Gowen also accuses the defendants for the following:
1. Breach of Contract, claiming losses $ 40 million …
2. Violation of the agreement in good faith and fair dealing
3. Unjust enrichment
4. Fraud

The last act of the case will be played in the rooms of American courts, which are not known to be very “friendly” to Internet casinos !!

One of the leading companies developing software for Internet casinos, CryptoLogic Limited, announced its financial results for the quarter ended 30 September 2008. The company announced a loss of $ 5.9 million, which is the main reason that led Cryptologic to the recent strategic cooperation with GTECH Corporation, the biggest shareholder of Boss Media.

The financial result forced CryptoLogic to significantly reduce its dividend, to $ 0.03 per share, a decrease of 75%. In the past, the company had paid a dividend of $ 0.12 per share.

“The continued payment of dividends, even in a difficult year for the company, expresses the confidence of the board’s in CryptoLogic strategic planning , which will restore its growth and profitability in 2009,” said the company in a press release.

The company published earning of $ 14.0 million in its latest financial report, a 16.4% decrease compared with the second quarter of 2008 and 19.7% compared to the same period in 2007. Operating costs for the third quarter (until 30 September 2008) amounted to $ 16.5 million, or 117.5% of revenue.

The increase in operating expenses is primarily due to losses of $ 4.2 million in foreign exchange recorded during the quarter, after the U.S. dollar appreciated about 10% compared with the British pound and the euro, at a time when the company had significant amounts in these currencies. With the cooperation with GTECH, the company hopes to reduce operating expenses to $ 12 from $ 15 million in 2009.

“In such a difficult year for the company and the industry, we recognize that we must perform even better - and that is why CryptoLogic puts a direct implementation plan to achieve its profitability objectives and strategy growth in 2009, “said Brian Hadfield, chairman and CEO of CryptoLogic.

“CryptoLogic casinos offer attractive campaigns to new customers and our branded games have won the confidence of some of the largest companies in the world. We have already reduced our operating costs in an effort to strengthen cooperation in the field of poker. ”

With the cooperation with the GTECH international poker network which is imminent in 2009, Cryptologic will give licensees and players access to an even bigger network, while limiting the annual expenditure.

This move is just one part of the aggressive policy of CryptoLogic to increase revenues to a central axis to concentrate on online casino operators and branded games.

Cryptologic also announced agreements with the Gaming Media Group Limited, the Sky Betting and Gaming, and GigaMedia Limited, and also presented a new site for Betjacks, one of the new European customers of the company. This site came to online on 4 November.

CryptoLogic’s online casino are by far the most profitable businesses and the company expects a significant increase in revenue in the next year. The company came to an agreement with 10 new customers in 2008 and is close to cooperate with even more.

The newspaper Las Vegas Review-Journal reported this week that the change in the presidency of the United States - after the elections last week - can bring some good news for the online gambling business in the near future.

With particular reference to statements by the chairman and chief executive of Harrah’s, Mr. Gary Loveman, who replied to questions relating to the matter at a press conference, the LVRJ reported that the senior member of Harrah’s argues that the chance to legalize the online poker have been strengthened considerably since the results of national elections last week and which the Barak Obama and Republican won by a large majority.

As Loveman described, the prospects of legalizing online poker are now extremely promising. On the other hand, he has not expressed the same optimism in relation to casino games and sports betting on the internet where the chances of legalization in the near future are very ‘poor’.

He also mentioned that he was satisfied with the outcome of the elections, not only for the transfer of control to the democratic party, but also because none of the leaders of committees that negotiate the poker issue is not opposed to the procedure (ie with the prospect of legalization of online poker).

” It is something we work every day and we now believe that opened the way to achieving our goals” Loveman said.

Loveman is president of the giant casino company “Harrah’s Entertainment” which has serious business interests in the case of online poker in the U.S.. Suffice to note, Harrah’s owns also the brand of World Series of Poker.