November 2016 Infinity Gaming Magazine by Clever Duck Media

InfinityGaming www.gaming-awards.com | ISSUE NOVEMBER 2016

RALPH TOPPING EXPLOSIVE INTERVIEW William Hill, Amaya Gaming, FOBTâ&#x20AC;&#x2122;s & much more

NEWS VIEWS INTERVIEWS GAMING + ARTICLES + BUSINESS+ GLOBAL+ ONLINE + NEWS

NOVEMBER 2016

18 SELF EXCLUSION Christina Thakor-Rankin

12 45

RALPH TOPPING Exclusive Interview

38 SPEAKING YOUR BET Paul Swaddle Article

Opinion Disclaimer: The views and opinions expressed in all external articles are those of the authors and do not necessarily reflect the official policy or position of The Infinity Gaming Magazine Any content provided by our feature writers or authors are of their opinion, and are not intended to malign any religion, ethic group, club, organization, company, individual or anyone or anything.

INFINITY GAMING

NOVEMBER 2016

4 EDITOR NOTES Lana welcomes you to the November edition of Infinity Gaming Magazine.

6 OUR WRITERS Meet our feature writers, the superb writers on our rosta.

08 HERE COME THE JUDGES IGA10 Line-up revealed

12 RALPH TOPPING

Speaks to the Infinity Magazine

18 SELF EXCLUSION Christana Thakor-Rankin

FANTASY SPORTS Professor Nelson Rose

32 FANTASY SPORTS Professor Nelson Rose

A BOTTOMLESS PIT Teresa Tunstall

45 SPEAK TO YOUR APP Paul Swaddle article

40 STATS A BOTTOMLESS PIT Teresa Tunstall article

+ ALL THE LATEST NEWS & Opinions

INFINITY GAMING

NOVEMBER 2016

A note from the editor CONTACT US Clever Duck Media Centrix@Keys Keys Park Road Staffordshire WS12 2HA UK Tel: +44(0)1543 478 889 PRODUCTION Clever Duck Media Centrix@Keys Keys Park Road Staffordshire WS12 2HA UK

Business time of the year

PUBLISHING Infinity Gaming Magazine is operated by © Clever Duck Media Ltd ®

Lana Thompson - Editor

Welcome to the November edition of the Infinity Gaming Magazine and a busy time for all, but a MUST READ EDITION Welcome to the latest edition of Infinity

Before I go a little reminder nomina-

Gaming Magazine and here we all are

tions for the 10th International Gaming

gearing up for what will be a very busy

Awards close 28th October and also

Autumn and Winter. But while you take

the Invitation Only Women in Gaming

a break give the Ralph Topping inter-

Networking event on the 5th February

view a read, the former CEO of William

2017 has been launched, more details

Hill tells it to you straight on the Amaya

on the website.

Gaming William Hill merger talks, also FOBT’s, James Henderson and so much

Enjoy the magazine.

more. Everything you wanted to know about William Hill is here.

So, “To Infinity and Beyond!”

You would think that would be enough

Regards,

but oh no, we got our full list of writers offering you some superb articles from

Lana

Tina Thakor-Rankin, Paul Swaddle, Teresa Tunstall and Professor Nelson Rose. It all makes for an amazing read and with all the latest news and updates there is nowhere better to get it all than the Infinity Gaming Magazine.

INFINITY GAMING

The Editor

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Sponsorship Opportunities Colin@cleverduckmedia.com Business Partnerships Svetlana@gaming-awards.com Marketing & Advertising claire@cleverduckmedia.com Editorial Content & PR media@cleverduckmedia.com

Pocket Betshop Live Odds Display

NOVEMBER 2016

Infinity Gaming Magazine Contributing Writers A magazine is only as good as the content inside and with some of the leading specialists within the gaming industry. With specialised articles covering customer service, the gaming law, new prducts, technology and current affairs with the sector the Infinity Gaming Magazine is delighted to showcase our superb line-up of contributing writers.

Christina Thakor-Rankin - Gaming Consultant Christina is Principal Consultant at 1710 Gaming Ltd, a specialist betting and gaming consultancy, delivering a range of services including licensing and compliance (incl. regulation, money laundering and social responsibility), business start-up, training and strategic reengineering, project management, research, business analysis and development, to start-ups and established multi-national operators and providers, gambling regu-

lators, law enforcement and government agencies, media, and specialist interest groups and associations within the sector, in both established and emerging markets across the world.

www.1710gaming.com

Teresa Tunstall – Independent Gaming Consultant After many years of working in casinos in the UK and on USA ships as a croupier and inspector, Teresa turned from ‘poacher to gamekeeper,’ spending 16 years with GamCare, who offer help and support to those who develop problems with their gambling.

Teresa now works independently consulting on all issues relating to Social Responsibility and Problem Gambling.

Working closely with the betting and gaming industry, She developed strong links delivering Social Responsibility and Problem Gambling training around the world, from Antigua to Moscow, and Auditing in the UK.

To contact Teresa regarding consulting please email: Teresatunstall1@gmail.com

Paul Swaddle - CEO Pocket App A self-confessed ‘gadget geek, Paul Swaddle has been working at the leading edge of mobile technology for the past 15 years. He co-founded Pocket App in 2011 to bring the creative and technical development elements of mobile technology together under one roof. This unique approach continues to differentiate Pocket App in today’s increasingly competitive landscape.

INFINITY GAMING

Working across a range of communications disciplines such as acquisition, loyalty, retention and customer development, Paul understands the importance of a strategic and coordinated marketing approach, particularly between on and off-line communications. In the past decade he has enabled brands as diverse as Kellogg’s Fruit Winders, Barclays and Loaded magazine to get the best out of mobile.

NOVEMBER 2016

MEET THE IGA10 JUDGES 01

Christina Thakor-Rankin Gaming Consultant

Desmond Lam Ph.D - Associate Professor of Marketing at the University of Macau

INFINITY GAMING

Gavin Isaacs - Vice Chairman of the Board at Scientific Games Corporation

Gemma Strath - Group Head of Marketing at Betfred

Isabelle Andres - Chief Executive Officer of the BetClic Everest Group

Janet Viippola - Gaming Consultant

NOVEMBER 2016

Liz Karter - Specialist in Gambling Addiction in Women

Marek Milewski- Operations Manager Casinos Poland

Mor Weizer - CEO Play-

tech

Paul Armitage - Operations Director Grosvenor Casinos

Onika Russell - Head of Gambling , Airlines & Travel Strategic Services, PayPal

Paul Swaddle - Founder and Chairman Pocket App

INFINITY GAMING

NOVEMBER 2016

MEET THE IGA10 JUDGES 13

Peter Hoetzinger - CoCEO & President, Vice Chairman Century Casinos

Prof. Dietmar Hoscher Deputy Chariman of the Supervisory Board of Casinos Austria

INFINITY GAMING

Professor I. Nelson RoseSpeaker & Gaming Law expert

Richard Noble – Chief Operating Officer of the Aspers Group

Roger Marris – CEO at The Ritz Club

Roger Raatgever – CEO Microgaming

NOVEMBER 2016

Sebastiรกn Salat - CEO

Zitro

Stella Dalton - Head of Business Development at GamCare

20 HAPP

Sim Bialk - CMO SUZO-

22 Stephanie Cheung - Chief Legal Officer at Melco Crown Entertainment

Tristan Sjoberg -Executive Chairman at TCS John Huxley

INFINITY GAMING

NOVEMBER 2016

HARD TALK Interview with Ralph Topping Former CEO of William Hill talks to Infinity Gaming Magazine about the Amaya Gaming deal, Playtech, James Henderson, FOBT’s &much more. A real eye opener of an interview. Must Read Ralph many thanks for speaking to us today, to begin can you tell our readers what your role was with William Hill before retiring and how long was you their CEO?

of the places I worked and the many in-

was to follow.

teresting characters I met. I worked for a time in Springburn in the north of Glasgow next to Shevlane’s Bar. Legend had it that Kate Adie pulled pints in Shev-

Back in those days what was it like in the bookmaking industry compared to modern day?

lane’s to prepare for her career as a war I was CEO when I left and was in my

correspondent.

seventh year in the job . I’d been on the William Hill Board for around nine years

You started out some 45 years ago in Glasgow as a Saturday only worker in a bookies, how did you get the job and was that your career path or had you something else in mind? II had never been in a bookies before I started a Saturday job at a City Bookmakers shop in Glasgow which was sold to Mecca Bookmakers. My parents had bought me a small car, and I needed to earn some petrol money for it. My dad liked a bet and said that working in a betting shop would show me a bit of life. He was certainly right! I started off working there in a Saturday job when I was at Strathclyde University. I did law, English later on , but I never finished my degree. I enjoyed the energy the company had and worked with some fantastic people. I suppose it was better paid at the time than teaching. I ended up full-time in the bookmakers and I could write a book on some

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Very basic! No air conditioning, smoky environment, sometimes no toilets, no

Glasgow was a great place to work. Fun-

TVs, only Extel commentaries. Tax was

damentally, Glasgow people are decent

applied to stakes going from 2.5%

and have a strong sense of humour.

to end up at 10% before we had the

Great workers too. They were also the

gross profits tax of today. Horse and

most sarcastic folk I ever came across

greyhound racing were the staple bet-

and I had to live off my wits. Glasgow re-

ting products. We all believed the rac-

ally gave me great preparation for what

ing commentaries were fictitious as

NOVEMBER 2016

as the commentator’s job seemed to

They already owned Mecca Bookmak-

be to ensure the first three in the bet-

ers, and the two accounted for 1,800

ting were mentioned near the finish

betting shops. Brent Walker bought the

to keep the punters on tenterhooks. It

enlarged group for £650M a year later.

worked. Television coverage was finally allowed into betting shops in 1986.

It was almost 30 years ago that William Hill bought the bookies you worked at and your journey with them began, how big was William Hill in those days?

player in the bookmaking industry. How challenging was that period making William Hill so successful? I’d been on the WH Board for a few

Once at William Hill how did your career progress?

years and the Chairman, Charlie Scott, and the rest of the Board got a chance to see me in action which helped later

The combined company was led by John

on with some of the big things we did

Brown. John lived for William Hill, was

when I became CEO. We had a very

hugely industrious, had a mind like a

good board of directors at that time.

steel trap , had no time for flim flam and

Sensible but challenging people who

liked people with ideas and who put in

actually liked the company and its peo-

I was working as a Personnel Manager

the hours for the business. I learned a

ple and people liked them. They spent a

in West London and Ireland with Mecca

lot from him. He created an environ-

lot of time around the business and that

Bookmakers. Bryan Taker who ended up

ment where you got ahead on ability

is so important. Directors who remain

at Ladbrokes was my boss and I learned

not who you knew. I fitted in at William

remote are not good for any business.

a helluva lot from him . His mother was

Hill and loved the company. Still do,

Scottish and I think he took me under

even though some of what I see and

So when it came to big proposals like

his wing for that reason! William Hill

hear nowadays makes me cringe a little!

decanting to Gibraltar, the Playtech deal

and Mecca joined forces. Throughout the 70’s and 80’s William Hill had really expanded and by 1985 they had an estate of 800 betting shops. Grand Metropolitan bought Hills in 1988 for £330M.

and the expansion of online I got their

You became Chief Executive in 2008 and many observers credited you with the biggest expansion of William Hill back then into a major

total support. Building a strong executive team took a bit of time but we ended up getting that right . We substantially grew the business every year I was

INFINITY GAMING

NOVEMBER 2016 CEO. I worked hard and I pushed hard as always and It never felt like a huge challenge. It was enjoyable and exciting.

Online gambling for the firm had a major boost on the company’s profits, how did the move into online gambling happen for William Hill? I got a phone call from my Ops Director Liam McGuigan in late 1998 asking if I knew anything about the internet and I said I had been on it in Canada. Surprisingly, that did it for him - I became the person asked to develop a web presence for WH. Unbelievable really. I recruited two very able people with real knowledge and experience, Jamie Hart and Bryan Kelly and we never looked back, significantly developing and growing the business in the next 4 or 5 years . Jamie and Bryan have been colleagues and friends for 18 years . They were allowed to leave Hills this year. Daft decision if you ask me. They are streets ahead of most people in the online business. seriously smart individuals.

William Hill worked with Playtech, looking back at that period would you say it was the most rewarding time for the company in online gambling?

In hindsight do you think William Hill should have stayed with Playtech?

tionship that 365 and others have. No difference and that’s a positive for Hills and Playtech.

Look, let’s be clear, William Hill people 100% ran the William Hill business. There were no Playtech people embedded in the Gibraltar organisation. Of

On your retirement James Henderson took the role of Chief Executive, another appointment with decades of experience within William Hill. How did it not work out for James in your opinion?

You won’t hear me say a harsh word

course, we acquired businesses from

ever about Playtech or Teddy Sagi. They

Playtech but the people in them were

were very good partners but Hills were

William Hill people from day one. Play-

very good for Playtech too as our deal

tech were very much minority share-

gave them great credibility in the UK.

holders and had no day to day manage-

I haven’t spoken with James for about

We had a bit of fun and games at times

ment input but sat on our Online Board.

two years so I don’t have his perspec-

but overall it was a smart piece of busi-

I think that is not properly understood

tive or view. You are right to say he was

ness for both sides. Innovative too. I

so I am glad to set the record straight.

a long serving Hills man like me but his

totally believe relationships are every-

route to the big chair was hugely differ-

thing in business. Avigur Zmora , Play-

We bought great businesses from Play-

ent to mine. I headed up big projects for

tech’s CEO, and I really hit it off and we

tech and through hard work by the WH

Hills eg starting and running the inter-

forged the basis of the deal very, very

team and our brains developed a ter-

net business for a long time (with John

quickly. Avigur helped me deliver what

rific online business as a consequence,

Brown in the office next door!), integrat-

I wanted for WH. He’s one of the most

online thrived right up until my last

ing Stanleybet and leading the Epos

able business people I’ve ever met and

day as CEO so buying Playtech out as a

project. I’d also been on the Hills Board

as a man he’s 100% genuine. Great guy

shareholder was the right call. William

before becoming CEO. I was therefore

as was Mor Weizer his replacement.

Hill and Playtech are still in business as

used to being at the sharp end of big

customer and supplier, the same rela-

league business decision making and

INFINITY GAMING

Interview with Ralph Topping

NOVEMBER 2016

my instincts were generally good; I

FOBTs for a variety of reasons including

ing his feet and James never seemed

was always scared to fail so never re-

the impact on racing and the tax yield

to make his mark early on. Maybe the

laxed and I had learned from a master

but it’s amazing that you can operate a

first big calls that were made were poor

in John Brown. So when I took over as

well regulated industry with a relatively

ones like cutting marketing spend in

CEO I knew I was ready for the pressure

stable and low incidence of problem

the first year of POCT when Hills should

of the big job. James definitely didn’t

gambling and still be negatively viewed

have been leveraging their size and

have that level of preparation for such

by some politicians. The pendulum will

scale in online by shoving a hosepipe

a big and very lonely job. What didn’t

eventually settle in the middle. It gener-

down the throats of their competitors to

help James was that the senior team

ally does in life.

grab market share. Failing to complete

did disintegrate relatively quickly after his appointment. Maybe the remaining WH senior execs and Board could have done more to help him? Perhaps the Chairman should have replaced him sooner when it was becoming clear he was not delivering? If he had, perhaps a replacement would have been identified and be in place now. Only they will know the answer to that.

The other business that boosted the bookmakers division not just of William Hill but of all betting shops was Fixed Odds Betting Terminals (FOBT’s), did you think when first installed that they would be so successful and at the same time so controversial?

the 888 acquisition also didn’t sit well

William Hill’s fortunes seem to have changed so quickly it was only a couple of years ago that the company was lauded as the industry giant and looking for major acquisitions itself, now competition has eaten into profits and the company was recently the target of a takeover, why you think that is Ralph?

with some when the industry was consolidating. It looks as if the quality of replacements for departing senior execs and managers in the business isn’t so far proving good enough - if these replacements were top drawer the numbers would be better than the opposition and we’d be seeing strong organic growth, would we not? We aren’t. That’s the nub of

William Hill had a record year when I

the issue for me. If Hills were delivering

left in 2014 so at that time the business

organic growth numbers as they were

was very focused and I felt it was well

from 2008 to 2014 the mood and out-

placed to push on despite the adverse

look would be brighter and hugely dif-

tax changes that were coming.

ferent right now.

I would say William Hill’s key strengths

Hills has always had a reputation as a

have always been in having a team with

first class operator but that was given

FOBTs provide fixed odds games for

a strong backbone of people with ex-

a knock early in the year with a profit

fixed odds bookmakers. That in a nut-

tensive sector experience, very capable

warning that came as a shock to inves-

shell is the game we are in. They were

operational management at all levels in

tors .The list of problems seems longer

called electronic cashiers early on as

the organisation market leading excel-

than we would wish . Too long, William

they take bets and payout just like a

lence in its sports betting offering with

Hill is misfiring.

cashier. They were an instant hit with

all of that backed up by very able sup-

punters and demand for ma-

The Online performance

chines was high from day one.

is disappointing as others

The margins are low so they are

such as Coral and SkyBet

volume dependent and in that

have

increased market

respect operate on the same

share.

Hills has slipped

principles as over the counter

back.

business in betting shops. OTC is a volume business as well

Retail worries me too as a

where the rapid circulation of

large operational restruc-

money drives profitability.

ture is taking place on the front line when the leader-

I think the data is there to repu-

ship team is inexperienced

diate the arguments put up by

and largely comprised of

FOBT adversaries but we live in

non industry appointments

a climate where people don’t really do

port teams in finance, technology, HR etc

data and facts. We’ll see what happens

e.g. from the likes of KFC and O2. No harm to these people but they can’t

with any review, I’m not convinced we’ll

The business seemed to take too long to

possibly know the game and are in a

see vicious decisions being made o

adjust to the reality of a new CEO find-

market place up against rivals brimming

INFINITY GAMING

Interview with Ralph Topping

NOVEMBER 2016

with management much more experienced and streetwise. They will have to learn the game to be on top of their job. It will show in the numbers if they don’t and a restructure at this point with so much going on in online is questionable and very high risk.

There has been a raft of acquisitions and mergers over the recent couple of years within the bookmaking sector, what is your opinion on those? There are a lot of good CEOs around in the sector so I don’t see the re-

ya Gaming & William Hill what went wrong with the deal?

cent acquisitions and mergers in-

Henderson. The Board cannot expect to avoid criticism for the position William Hill is now in - an unsuccessful CEO, a

volving such as GVC, Paddy Power

The news that Amaya and William Hill

failed deal with 888, a failure to engage

and Ladbrokes failing to disappoint.

were in advanced discussions was a

with Rank/888 and now a failure to

Shareholders

surprise. There is after all a possible ma-

convince the major shareholder on the

terial risk to the future earnings of Wil-

merits of a merger of equals with Ama-

liam Hill through a review of FOBTs. That

ya. A shake up at Board level looks both

would I thought would make the valu-

necessary and inevitable.

will

rewarded.

One of our feature writers who worked for William Hill for a long time said that the company can be fine and once again rise to the top of the industry, but just needs to be William Hill again. How do you see the future for the company?

ation of the business difficult. Equally, Amaya has the matter of a potential fine in Kentucky amounting to $870m to take through an appeal process. Is there anyone in the UK gambling

Before we let you go Ralph and something away from William Hill, you are now the Chairman of the Scottish Professional Football League, how did that happen and how much enjoyment has it brought you?

That sounds a bit like the Scottish na-

community who knows Amaya top to

tional anthem “Flower of Scotland”

toe? Their management, Board and in-

where the words are “we can still rise

vestor base seem a bit of a mystery to

and be the nation again that stood

UK analysts and investors but Amaya

against them“ ! Hills have lost a lot of

does seem to hit the headlines in Cana-

I was approached out of the blue 7

quality people across the business and

da quite a lot!

years ago and I thought as a CEO of a

with that went lots of knowledge, experience, continuity, history and identity.

betting company I was just making up Nobody can deny there was a tsunami

the numbers in terms of people to be

type reaction to the Amaya deal with

interviewed. I was fortunate enough to

William Hill is still an outstanding

the major shareholder Parvus coming

be appointed Chairman. It’s a very in-

brand. There are still good people

out publicly against it and all the broad-

teresting industry with lots of very able

throughout the org .They and the brand

sheets basically saying walk away Ga-

and well intentioned people in it and I

really do deserve an outstanding CEO

reth.

enjoy it. It has changed a lot and it is set

and outstanding executive team. I hope

to change some more. That’s all down

WH gets both but I’m clear on one thing

One thing for sure those thinking things

to having an excellent CEO and Board. I

- businesses get the performance they

can revert to normal are deluding them-

now have a wealth of funny stories from

deserve. Their fate is always in the

selves. Parvus have effectively said to

my time in football and betting! There

hands of the Board and management.

the WH board to explore all options

will be a good read in all this for my kids

They have no real excuses when perfor-

which obviously includes a sale. Finding

and grandkids when I put pen to paper in

mance declines and major competitors

a CEO in these circumstances just got

a few year . No book just a few scribbles.

in the sector are progressing. They need

harder and with Philip Bowcock heavily

to deliver.

involved in the Amaya deal harder still.

Ralph the recent news on Ama-

This is a brutal world. Just ask James

INFINITY GAMING

NOVEMBER 2016

INFINITY GAMING

The Ritz Club 150 Piccadilly, London W1J 9BS +44 (0)20 7499 1818 www.theritzclub.com @TheRitzClub

NOVEMBER 2016

The paradox of sector specific self-exclusion schemes By Christina Thakor-Rankin

braham Lincoln said ‘You cannot es-

The point is that sometimes, do the

Phase 2, the national online, or digital,

cape the responsibility of tomorrow by

things we do, or rather the way in which

self-exclusion scheme is in the offing

evading it today’.

we do them, inadvertently cause as

and tabled for 2017. Currently, this

much harm as they seek to prevent. In

perceived behemoth is in the scoping

Taken literally, it presumably means a

particular, the effectiveness of segregat-

phase under the charge of the Remote

deliberate attempt to duck one’s obliga-

ed sector and channel specific national

Gaming Association who in turn has en-

tions. Turn it on its head however, and it

self-exclusion schemes in an industry

gaged KPMG (at a not insignificant cost)

could sum up the paradoxical situation

which has spent the last few years fo-

to undertake research and a feasibility

created by the new national self-exclu-

cusing on the multi-channel customer

study with the aim one presumes of re-

sion schemes - namely that by imple-

experience?

verting back with a recommendation of

menting the land based schemes today,

what that scheme and solution might

but pushing back the online scheme

For those unfamiliar with the UK land-

until tomorrow, both regulator and in-

scape or the concept of a national

dustry could stand to be accused of

self-exclusion scheme, April 2016 saw

taking a position which is irresponsible.

Phase 1, the implementation of mandated national customer self-exclusion

I would state from the out-set that

schemes within the land based betting

the aim of this piece is not in any way

and gambling sectors. Each specific

designed to denigrate, deride or im-

sector (retail betting, casinos, bingo

pugn the best intentions and endeav-

halls, and arcades) has its own specific

ours of the regulator, industry and

national self-exclusion scheme, devel-

responsibility groups seeking to en-

oped, implemented and managed by

sure that operators meet their respon-

that specific sector’s preferred industry

sibilities and obligations to those for

association. This equates to four differ-

whom gambling becomes a problem.

ent schemes, managed by four different entities, in four different ways - none

For from it, as an industry we have a col-

of which ‘talk’ to each other. The prem-

lective, moral, social and ethical duty of

ise is that a customer can now request

care to do our utmost to explore and im-

self-exclusion from a number of differ-

plement as many measures and initia-

ent operators through one central point

tives as we possibly can to mitigate and

of contact, rather than the historic ar-

prevent harm to those upon whom we

rangement of having to contact each

depend for our profits and our wages.

individual operator directly.

INFINITY GAMING

look like.

Already online operators are starting to see queries from customers who think that excluding from one online operator means an exclusion from all online operators.

NOVEMBER 2016

How does this work in practice for a

of a national online scheme that needs

operator translates to allegiance to 3 to

customer who for example plays online

to cover a huge, disparate multi-product

5 operators in the digital space, it is per-

every day across a number of different

entity operating in a digital space with-

haps not an unreasonable assumption

sites, regularly visits the betting shops

out boundaries.

that the protections associated with on-

in their area, and occasionally hits the

line might be at least on an equal foot-

casino at the weekend, and wishes to

On another level, given that online

exclude from gambling. The next time

is the most prevalent, easily accessi-

they are in the casino, they can com-

ble, and heavily marketed betting and

More worrying still is that a disparity

plete a national self-exclusion request,

gambling activity in the UK outside of

in how self-exclusion is administered

which will see them excluded from eve-

scratch-cards and lottery, it makes less

and managed across different sectors or

ry casino in the country. To exclude from

sense.

channels may not only be illogical and

betting shops they will need to contact

ing with land.

confusing to customers, psychologically

a national 0800 helpline where they

Already online operators are starting to

it could be quite harmful by inadvert-

will discuss the most appropriate exclu-

see queries from customers who think

ently promoting, encouraging, masking

sion for them, based upon the shops

that excluding from one online operator

or compounding an existing gambling

they visit the most and from which they

means an exclusion from all online op-

problem.

will be excluded, with the option to add

erators. Some of this is associated with

further hops to the list in the future. To

that genre of players known as ‘abusers’

Is there a possibility that by aligning na-

exclude from online gambling, they will

looking for a no-lose situation, however

tional self-exclusion with specific sec-

need to contact every individual site

there are also some genuine customers

tors and channels there is an implicit

that they play with directly and request

who genuinely believe that excluding

suggestion that different forms of bet-

exclusion – the online scheme being a

from one online operator means ex-

ting and gambling carry different levels

work in progress.

cluding from all online operators, be-

of risk, and result in varying degrees of

cause that is what happened why they

problems?

On one level, the situation in which we

asked to be excluded from a land based

who is conscious of the physical time

find ourselves makes absolute sense.

environment. One request which is sent

and actual cash they spend in a shop

Start with the long established, smaller

and actioned across all applicable op-

or casino realises they have a problem

visible product specific land bound sec-

erators.

and excludes. They are however, less

tor, with cohesive industry associations

For example, a customer

conscious of the same problem when

to get something in place rather than do

Given that many in the industry esti-

engaging in exactly the same activity

nothing, whilst working on the logistics

mate that allegiance to 1 land based

and with exactly the same game online

INFINITY GAMING

NOVEMBER 2016

The paradox of sector specific self-exclusion schemes

because they are less conscious of the

The other risk is that the current ar-

this is the case then industry needs to

time and digital spend, but also due to

rangement of national schemes may

brace itself for a wave of customers who

the different ways in which a request

be inadvertently sending out the mes-

having joined the national land exclu-

to exclude is applied to the same ac-

sage ‘land bad – online good’. For those

sion schemes, are now self-medicating,

tivity, across different channels. Could

new to gambling, and especially within

self-managing, or just continuing to do

the customer justify continued play on

the context of the public debate about

what they were doing before, in a less

the basis that if the two activities car-

FOBTs and self-exclusion, the message

risky online environment.

ried the same level of risk, an exclusion

they hear may well be that the reason

requested in a physical premise would

that land based has mandatory schemes

As stated at the outset, the aim of this

automatically be applied to the same

is because it is perceived to be more

piece is not in any way to undermine

activity in the online environment?

likely to cause a gambling problem, or

the intentions or the efforts of the na-

that, that is where the majority of prob-

tional schemes or those promoting

Speaking anecdotally with those who

lem gambling lies. This has to be a con-

them. The point is that sometimes our

work with problem gamblers on a day-

sideration when looking at the new gen-

best attempt at solving one problem

to-day basis, there does seem to be a

eration of gamblers who have grown up

can if we are not careful, end up causing

‘disconnect’ between playing in a physi-

in a politically correct world where harm

a new one.

cal and a digital environment. Some see

is either clearly spelled out, and whose

them as completely separate things,

general attitude is one of masters of the

We know that there is no silver bullet

whilst others engage in online gam-

internet, and the misguided belief that

solution to the issue of problem gam-

bling activity to balance out a ‘bad day

they are always in control.

bling. This should not stop us from con-

at the office’ in a physical environment,

tinuing to promote, prevent and protect,

thereby masking, denying or being com-

The second concern of a two-tier sys-

but within the context of the customers

pletely oblivious to the fact that they

tem is that those who have historically

world not ours.

have, or may have a problem. Surely,

only played in a physical environment,

the fact that there are mandatory land

and who have developed a problem, ex-

The betting and gambling customer of

based schemes but no mandated online

clude - and then move to on-line. One

today expects a fully joined up multi-

scheme can only compound this illu-

of the most common statements from

product, multi-channel, one-stop-shop

sion.

problem gamblers is that for many of

experience – and that surely includes

them, self-exclusion does not work. If

self-exclusion.

INFINITY GAMING

GAMING NEWS

NOVEMBER 2016

New Bill would stop Icahn from Re-opening Taj Mahal

nly days after the Trump Taj Mahal closed its doors ‘for good’ local press has reported that it could re-open within months.

The stalwart Atlantic City venue closed earlier this week and with its demise came the loss of 3,000 jobs. However, a report from Press of Atlantic City has revealed that the owner Carl Icahn is considering re-opening the venue, rebranding the property and hiring new, non-union workers. The validity of the gambling licence for the property still remains which currently would allow Icahn to make these plans a reality. However, this will most definitely not be the case if New Jersey senate President Stephen Sweeney has his way. The Democratic State President has introduced a bill that will amend the current law and give the New Jersey Division of Gaming Enforcement (NJDGE) the authority to

revoke the licence of a closed casino. If the bill is passed it would in effect disqualify casino owners from holding a licence for five years after closing a casino. Sweeney said: “Casino owners should not be able to misuse bankruptcy laws and gaming regulations in order to warehouse a license or take money out of the pockets of casino workers and strip them of their benefits simply because they refuse to come to a labour agreement with their employees.” The State senate President has said that this bill encourages casino owners to help build Atlantic City rather than “throw thousands of families to the curb.” Having been approved by a state Senate committee the bill awaits action in the state Assembly. Consequently, Icahn’s vision will face stiff opposition which will play out in the coming months.

Six Casinos for Indian State? The Andhra Pradesh state government has multiple proposals to open casinos, with some of the bids pending for more than two years. US NRI Siva Prakesh Bobba has re-ignited the issue in The Hindu this week, speaking of setting up a casino on the Krishna. He told the publication: “I find one of the islands in the river Krishna very much suitable for setting up a casino. I’m planning to propose the island to the government.” Currently, casinos are in operation in Goa, Daman and Sikkim. Bhavani island near Prakasam Barrage in Vijay-

awada has scores of sub-islands, with a total area of 130 acres, ripe for the AP’s plans of converting the area into an amusement park, similar to Sentosa in Singapore. These plans would of course include a casino and Mr Prakash says his proposal is entirely ‘in tune’ with this vision. This is most certainly a slow-burner as none of the multiple proposals have yet to move forward. Before any approvals can be sought the state would have to amend the Andhra Pradesh Gaming Act from 1974, which prohibits gambling.

INFINITY GAMING

GAMING NEWS

NOVEMBER 2016

William Hill discuss Merger with Pokerstars Owner

t’s been confirmed that both UK bookmaker William Hill and multi-national sports betting and gaming group GVC Holdings are in separate talks to cement a merger with Canadian online gambling giant Amaya. UK bookmaker William Hill confirmed this weekend that they are in talks with Amaya over a potential merger. The deal, if sealed, could create a £5 billion global gambling giant. This move is the latest in a succession of takeover talks which have begun to change the UK gambling landscape over the last year which have included similar unions between the likes of Ladbrokes and Coral and also Paddy Power and Betfair. Both parties have said that the all-share deal would be a strong fit to compliment William Hill’s existing strategy and Amaya’s business. The UK bookie is aiming to broaden its digital and international presence, saying that the deal would create a ‘clear international leader’ in online gaming. Toronto-based Amaya, which own Pokerstars and FullTilt gaming brands, are one of the biggest businesses in the online gaming sector. The company own 70% of the online poker market, with 2.26 million active users each quarter and a database of over 100 million users. Its revenue in 2015 was just over $1.3 billion (£1.04 billion), a more than healthy comparison to William Hill’s £1.5 billion netted for the same period. Sources close to the proposal have claimed that merging the two groups would allow combined savings of ‘well north’ of £100 million a year. This bid by the UK’s biggest High Street bookmakers fol-

lows its rejection of a merger with UK rivals Rank Group and 888 Holdings earlier this year. If given the go ahead, the merger could happen within weeks and the newly merged company would then be expected to be listed on the London Stock Exchange. William Hill appears to be a forerunner in negotiations. However, there are potential game-changers in the frame; namely GVC Holdings who has expressed ‘a strong interest’, while it has been reported that some private equity firms are also interested. The rumour mill continues to speculate, with information on social media fuelling an alleged intention from PokerStars’ former owners Isai and Mark Scheinberg that they were preparing their own bid to acquire Amaya and take the company private. If the Scheinbergs were to make a serious play for Amaya they would likely be buying in at a marked discount from the $4.9 billion they received via the 2014 sale of the Rational Group to Amaya. However, there is the significant stumbling block in that Isai Scheinberg remains under criminal indictment from the April 15 Black Friday action by the US Department of Justice and, under resolved, this would make their position untenable. William Hill and Amaya released a joint statement late on Friday confirming that they are “in discussions regarding a potential all share merger of equals.” If this was to happen the merger would be classified as a reverse takeover under the Financial Conduct Authority’s listing rules. The statement stressed that talks are ongoing and that there was no certainty that a deal would be reached.

INFINITY GAMING

NOVEMBER 2016

INFINITY GAMING

GAMING NEWS

NOVEMBER 2016

Sky celebrate increased annual results

K based Sky Betting & Gaming showed off some impressive annual results along with announcing its’ intentions to expand Interna-

tionally.

The firm announced annual revenues ending 30th June at £373 million up 51% compared to the same period last year of £247 million. Sports betting and its online gaming pushed up the figures with rises of 64% to £214 million for sports and gaming hitting a rise of 36% to £159 million. With now footholds in Italy and Germany the gambling company look set to increase their revenues for the next 12 months. Richard Flint, CEO of Sky Betting & Gaming said on the

results: “2015/16 has been another excellent year for the business and we are pleased to have delivered this strong performance despite some unprecedented pay-outs including an extremely generous Cheltenham Festival offer and a pay-out of around £5m on Leicester City winning the Premier League. “We have continued to invest in both our technology and mobile platforms from our base in Yorkshire and our Super 6 product has successfully launched in Italy since the period end. Our strong momentum has continued into the current financial year and we are excited about the opportunities ahead both in the UK and internationally.”

Bingo & Sports Betting TV ads could be scrapped before 9pm The government in the UK will be looking at a possible ban on all forms of betting advertising before the 9pm watershed after it was reported that an increase of problem gamblers were found. Under current law sports betting and bingo adverts are allowed during the daytime on television but a new committee will be set-up to look at the impact of the advertising along with the Advertising Standards Association (ASA) announcing that 25% of all complaints to them last month were related to gambling advertising.

sees the UK gambling industry will now review the possibility of removing daytime advertising for all gambling related activity. Part of the new review will also cover Fixed Odd Betting Terminals (FOBTs) and the impact they are having to the general public with many anti-gambling groups calling them the “Crack Cocaine” of gambling. An earlier review of FOBT’s was blocked by former Chancellor George Osborne.

The Department of Culture, Media and Sport which over-

INFINITY GAMING

GAMING NEWS

NOVEMBER 2016

76 Firms Compete for Pagcor’s Prized 25

incerolling out its offshore license offering the Philippines gaming regulator has received a total of 76 applications for the initial 25 gaming licenses which are up for grabs this month. The number of Philippine offshore gaming operators (POGOs) applicants will be set at 25 for the first six months of implementation, in order to give Pagcor time to adjust to the process while ensuring each applicant is properly vetted. According to Pagcor CEO Andrea Domingo the first batch of licenses should be granted by the end of October. According to The Inquirer, top officials of Pacific Online Systems Corp. (Loto), Leisure and Resorts World Corp. (LR) and

DFNN Inc. are in the running as applicants, as is Philweb Corp. “There’s no prohibition for them not to apply but everything has to go through the procurement process and then the board will decide,” Domingo said. “This time, they will have to follow all the rules and regulations for procurement.” Winning applicants will be permitted to offer casino games to those foreigners over the age of 21 outside of the Philippines, initially under the watchful eye of Pagcor officials for a three to six months period.

Baazov no-show in tribunal case on “insider trading” “Where is David Baazov?” asked Philippe Levasseur, The lawyer for Quebec’s securities regulator following the no-show of the former Amaya Gaming CEO in his closing remarks at the tribunal hearing into insider trading accusations against 12 associates linked to David Baazov. “The only person who could have contradicted this wasn’t here.” Continued Levasseur in his final arguments on the 12 who are accused of a $1.5 million share trading using inside information from Baazov. The lawyer asked for the tribunal not to alter the description of Baazov’s role in the 2insider trading2 allegations as the investigation is still not complete as they haven’t

had access to the cellphones or home computers of the key accused such as Baazov’s brother, Josh, and business partner Craig Levett. “Since the beginning David Baazov has maintained his innocence,” Baazov’s spokesman Ian Robertson said Wednesday in an email. “He did not engage in insider trading or facilitate illegal trades by others. He did not receive any money, gifts or anything for that matter as it relates to the trading in any securities by any of the people named by the AMF,” Robertson said.

INFINITY GAMING

NOVEMBER 2016

New York Legalizes Fantasy Sports © Copyright 2016. Professor I Nelson Rose is recognized as one of the world’s leading authorities on gambling law and is a consultant and expert witness for governments and industry. His latest books, GAMING LAW IN A NUTSHELL, INTERNET GAMING LAW and GAMING LAW: CASES AND MATERIALS, are available through his website, www.GAMBLINGANDTHELAW.com.

By Professor I Nelson Rose

On August 4, 2016, Governor An-

state legislators, where it belongs.

drew Cuomo signed a bill legalizing

Christie’s statement proved to be prescient, though not necessarily in the way

daily fantasy sports (“DFS”) in the

And then there was former Florida Gov-

he intended. In fact, his statement can

state of New York.

ernor Jeb Bush.

When asked in the

be seen as a self-fulfilling prophecy:

was the result of massive lobbying by

Senate Bill 8153

Debate about the dangers that DFS cre-

Although his emphasis was on how un-

FanDuel and Draft Kings.

But some

ate and what the federal government

important DFS is compared with issues

small amount of the credit has to go

should do about them, Jeb answered

like Islamic terrorism, his plea at the

to Gov. Chris Christie of New Jersey.

by discussing his own fantasy football

end, “Can we stop?” has come true. Dis-

team! (It’s undefeated and is anchored

cussion of DFS on the federal level has

Christie, as you may remember, com-

by the Miami Dolphins quarterback

almost completely disappeared, in part

pletely killed any discussion of DFS in

Ryan Tannehill.)

because Gov. Christie, helped by the in-

presidential politics with one comment

ane comments by Jeb Bush about his fan-

during the October 28, 2015, Republi-

But, while Jeb’s comments implied that

can Primary Debates.

tasy team, made the issue embarrassing.

Christie did not

DFS is merely a harmless hobby, Chris-

win the GOP nomination; nor will he

tie tore into the Debate moderator for

Following that Debate, there has been

ever be president. But he did switch

daring to raise the subject. “We have

no discussion by any presidential can-

the debate over DFS away from what

$19 trillion in debt. We have ISIS and

didate, in debates or otherwise, on the

actions should be taken by the federal

al-Qaida attacking us and we’re talking

federal government’s role in fantasy

government back to discussions among

about fantasy football? Can we stop?”

sports.

INFINITY GAMING

NOVEMBER 2016

But that has not meant that the issue has disappeared at the state level. Fights in state legislatures often come down to which side has the most money.

Even generated grass-roots sup-

ports, like having 100,000 DSF fans contact their state representatives in the New York Legislature, costs money. As I predicted in the Gaming Law Review & Economics last year, proponents of DFS have more money, and thus more political power, than opponents and have been successful in getting state lawmakers to bail them out of their current crisis. Most of the lobbying money comes from FanDuel and Draft Kings, the two largest DFS operators, who control almost the entire market. But they have powerful allies. The extremely rich and powerful sports leagues, with the sole exception of the NCAA, love DFS. Even the fanatically anti-gambling NFL allows its teamowners to be directly involved with DFS operators. Mass media companies, like ESPN, also love DFS. Teams and broadcasters need viewers, and DFS players watch athletic events to the bitter end, even when it is a blow-out. They want to know how the individual real-world athletes in their fantasy team do, be-

sippi, Missouri, Tennessee and Virginia

The new law, like the ones preceding

cause the statistics generated by those

— also have passed laws clarifying

it, focuses mainly on consumer protec-

athletes are the only thing that matters.

the legality of fantasy sports and set-

tion. But it will also raise revenue for

ting consumer protection regulations.”

the state, through what amounts to a

Who is on the other side? The main

Prior to this, there was only one state,

$50,000 registration fee and a tax of

opponents of DFS are established le-

Maryland, where the Legislature had

15% on gross gaming revenue.

gal gambling operators, who have a

considered the issue of DFS worthy

requirements to be found suitable, as

lot bigger things to worry about. The

of debate and legalization. It took al-

well as the registration fee and tax, will

other main opponents of DFS are the

most a half-century for state lotteries

help keep out fly-by-night operators. Of

“anti’s”, mostly religious groups op-

to spread across the country. During

course, these will also be barriers pro-

posed to all legal gambling.

The

that time, there never was a year when

tecting the duopoly of FanDuel and Draft

anti’s lost that battle decades ago.

seven states legalized state lotteries.

Kings from having to face competition.

So, the proponents of DFS have the

The lobbying by proponents of DFS

The New York Legislature dealt with the

power to get laws passed, expressly

worked out, especially in New York. SB

tricky question of whether DFS is pre-

making their activities legal. New York

8153 not only sets up a system of regis-

dominantly chance by simply declaring

is now the seventh state this year to

tration, regulation and taxation, it allows

it a contest of skill. The first words of

expressly legalize fantasy sports. “Col-

DFS operators to continued to take play-

the new law read:

orado, Indiana, Massachusetts, Missis-

ers while the system is being put in place.

INFINITY GAMING

The

New York Legalizes Fantasy Sports Legislative Findings and Purpose.

NOVEMBER 2016

different tax laws from casino gaming

ers. Of course, both states would also

winnings. There is no requirement that

have to expressly allow such pooling.

1. The legislature hereby finds and de-

the I.R.S. and the state of Nevada agree

clares that:

on legal definition of “lottery.”

Although passage of the new law makes DFS officially not gambling, it does not

(A) interactive fantasy sports are not

If there is a conflict between how DFS

end the ongoing suits against FanDuel

games of chance because they consist

is interpreted under state and federal

and Draft Kings. It is an interesting, the-

of fantasy or simulation sports games or

laws, which federal statutes will come

oretical question whether the NY Attor-

contests in which the fantasy or simu-

into play? The Professional and Ama-

ney General and state courts would be

lation sports teams are selected based

teur Sports Protection Act (“PASPA”)

bound by the Legislature’s declaration

upon the skill and knowledge of the

prohibits any state from legalizing

that DFS is a contest of skill for acts that

participants and not based on the cur-

new forms of sports betting. A state

took place before SB 8153 was enact-

rent membership of an actual team that

like New York might declare DFS to be

ed. SB 8153 does not expressly protect

is a member of an amateur or profes-

a contest of skill, but a federal court is

DFS operators from being charged with

sional sports organization

free to disregard that declaration and

crimes for activities that took place prior

hold that the state is actually legaliz-

to its passage. A court could conceiva-

The New York Legislature could have

ing sports betting. This is unlikely to

bly find that the defendants were violat-

simply authorized DFS. No one claims

happen, because the suits will never

ing New York’s state anti-gambling laws

that state lotteries are games of skill.

be brought.

Prosecutors have no in-

for years. But that is extremely unlikely,

But once they are made legal, some-

terest in pursuing operators of games

especially since the state had chosen to

times requiring an amendment of the

that have been expressly made legal

go the civil rather than criminal route

state constitution, the question of skill

by state legislatures. And no one else

when it moved to close down DFS.

versus chance becomes irrelevant.

with standing is likely to bring suit. The sports leagues, which are expressly

But FanDuel and Draft Kings still have

But having DFS declared to be not only

given the power to sue states under

to defend against the charges of mis-

legal and regulated but NOT gambling

PASPA, are almost universally enthusi-

leading customers and insider trading.

was necessary under state law.

The

astic supporters of DFS. Only the NCAA

The New York Times quoted Attorney

New York Constitution expressly for-

has publicly opposed fantasy sports.

Eric Schneiderman as saying that “he

bids the legalization of gambling, with

And it is easy to exclude collegiate

will enforce the new law,” but adding,

the obvious exceptions of the state

athletic matches from fantasy leagues.

“The amended lawsuit will continue

lottery, parimutuel betting on horse races and racinos.

against Draft Kings and FanDuel alleg-

It also helps op-

The interesting issue is whether any

ing consumer fraud and false advertis-

erators avoid federal laws, which are

federal prosecutor would want to bring

ing for prior operations in New York.”

almost always limited to gambling op-

charges or seek injunctions under the

erations. This will be especially useful

Wire Act.

when states start pooling DFS players.

ment is not technically bound by state law.

Again, the federal govern-

Look for that suit to be settled fairly quickly.

The Wire Act in particular does

The federal government is technically

not care whether the sports wagers are

And for more state legislatures to pass

not bound by the decisions of the state

legal or not. However, the UIGEA ex-

laws to legalize, regulate and tax DFS.

legislatures, even official findings that

pressly allows bets across state lines,

DFS is a contest of skill. For example,

so long as the bets are legal on both

Nevada and the federal government do

ends.

not agree on the definition of “lottery.”

self, at its highest levels, has declared

Nevada’s State Constitution still prohib-

that the state can offer online gambling,

Rose is recognized as one of the world’s

its lotteries, yet the State Legislature has

such as state lotteries, and not violate

leading authorities on gambling law

authorized the games of keno and bingo

the Wire Act. The DOJ did not say that

and is a consultant and expert witness

to be played throughout the state’s li-

the UIGEA overrules the Wire Act when

for governments and industry. His lat-

censed gaming facilities. Today, players

it comes to sports betting. But it does

est books, GAMING LAW IN A NUTSHELL,

can buy a year’s worth of keno tickets in

indicate that it not likely that a federal

INTERNET GAMING LAW and GAMING

advance. The federal Internal Revenue

prosecutor would attempt to prevent

LAW: CASES AND MATERIALS, are avail-

Service considers those advance keno

two state-licensed DFS operators in dif-

able through his website, www.GAM-

tickets as lotteries, which are subject to

ferent states from pooling their play-

BLINGANDTHELAW.com.

-------------

And Department of Justice it-

INFINITY GAMING

NOVEMBER 2016

INFINITY GAMING

GAMING NEWS

NOVEMBER 2016

MGM Casino Could Cost Connecticut $68 Million

fter Trump Taj Mahal officially shut its doors early last week after no agreements were reached on labor issues, reports indicate that Atlantic city on the whole is being pulled down by the zombie casino. September reports show that the city is barely making it through, and the dismal numbers from the TTM is not doing it any favors. The New Jersey Division of Gaming Enforcement released the figures for September this year and the numbers do not look too promising. The YOY numbers are negative and the growth by itself has not been as strong as projected or expected. Atlantic City’s 8 major casinos have earned a combined $210 million in September- that is down 3.5% same month last year. When the online profits are added that brings revenues up but still end up 1.5% less than last September. Atlantic City’s slot machine revenue fell 4.2%, table games fell 2%. So far this year, the growth from last year is a flatline 1.6% and stands at $1.85 billion from January to September 2016, add the online profits, and it barely reaches $2 billion. Slot machines made a paltry $147 million and table games a little over $64 million. Winners and losers The winnings so far among the casinos are split in two. The biggest loser September will be the TTM. For the most part of the month, Trump’s casino was either closed or had angry workers protesting outside its gates. The revenues for the TTM was down by 51% as a result and made only $8.1 million. The biggest winner was Borgata which made a profit of 2.1%. That was more than 2 times the second and third place winners and took home $64.3 million. Caesars and Harrah’s were second and third each making $29.9 and $29 million respectively. In the coming months, the remaining seven players in Atlantic city will eventually absorb all of TTM’s business. What is left to be seen is how the percentage split will act out.

Taiwan island says no to casino resorts again

The tiny island of Penghu part of Taiwan has again rejected the opportunity to allow for casinos following the referendum results. With a voting population of 83,400 only 33,000 came out to vote for what is the second time the islanders have been asked to allow casino resorts in seven years. Eighty percent said no and many residents hope it will be the last time they will need to go to a referendum on this matter. “Despite all odds, voters … have used their wisdom and sense to safeguard the sustainable development of Penghu,” said Ho Tsung-hsun, executive director of the alliance against gambling. The final numbers in the vote were 26,592 against and 6,210 in support. The President of Taiwan who was opposed to gambling resorts in Penghu has promised increased spending on social and economic issues to help the islanders.

INFINITY GAMING

SEPTEMBER 2016

Deal me in: Voice enabled betting is already here By Paul Swaddle - CEO Pocket App

details of the bet to authorise the wager.

arlier this year, both Unibet and Bet-

natural interaction of voice gives gamblers an easier interface, removing any

fred launched their new speech enabled

With voice recognition already replacing

hurdles that might have existed with tra-

sports betting App. Both apps enable

touch as the smart devices’ primary input,

ditional web and app interactions. To my

gamblers to place speech controlled bets

conversational commerce is providing the

mind the most obvious advantage here

on football matches, horse racing, and a

next step in chat, with messaging and voice

is mobility. As smartphone usage is now

variety of other sports, for example, with

becoming ever more important interfaces.

second nature to all of us and with tech-

customers stating the bet they want and

nology “on the go”, so is our lifestyle But what does this meanfor gambling apps?

and voice just makes it that much easier.

arranges the bet using Unibet’s regular

As voice recognition software has im-

This speech app interface also adds flex-

mobile app. Once the bet has been estab-

proved, so companies are developing ca-

ibility for people with disabilities who are

lished, players then vocally confirm the

pabilities in this area much quicker. The

unable to use the phone in the traditional

then Teneo’s Artificial Solutions’ Natural Language Interaction (NLI) technology

touch method. Betting wise, consumers now have faster, more convenient access to the latest odds and this will only increase their engagement, especially for live betting, where customers have complained of finding it difficult to follow live games while using the casino’s interface to place bets. This will ultimately benefit the gambling business with consumers placing further bets and engaging more during out of hour’s activity. Voice enabling software has moved on in the last few years with rapid advances in recognition and information retrieval technology. The new wave of virtual personal assistants and conversational interfaces have developed in both intelligence and pervasiveness. This new wave of voice-driven assistant technologies rides on the back of advances in artificial intelligence, rich collections of user data and growth in keyboardless and screenless devices. Additionally, great speech rec-

SEPTEMBER 2016

Paul Swaddle is CEO of Pocket App a leading design company in the App Construction world -ognition is now built into every major operating system and app. The new wave of voice-driven assistants finally embodies the dreams scientists and consumers have held for so long, legitimately understanding the meaning — and delivering on the intent — of naturally spoken queries. So what are the key points gambling businesses need to think about when creating voice enabled apps: •Determine goals and requirements for the system Like all good user interface design, speech application design begins with a clear understanding of the app’s goals, requirements, and use cases. It’s important to remember that user experience design is all about how the user interacts, so it’s vitally important to fully understand what users want and need. Making the customer experience as frictionless as possible has long been the focus of betting companies. Customers quite rightly don’t want complicated, clunky or multi-step experiences that get in the way of making a bet. •Choose between natural language and directed dialogue A natural language application, like Apple’s Siri, allows users to speak naturally while a directed dialogue prompts them to use specific phrases, similar to your bank’s automated phone system. While natural language applications can create a more human-like user interface, directed dialogue applications are considerably easier to design and, in most cases, serve the users’ needs much better. •Choose the application persona

An important consideration for selecting a persona for your voice and this will very much depend on how and where the application is going to be used. The system may need to use less formal language if its users are placing a bet than if they were reserving afternoon tea at The Ritz, due simply to the cultural differences of the users. Since the language for prompting the user will affect how that person responds, it is a good idea to keep these cultural distinctions in mind. •Incorporate error handling At this point in the process, it is important to address error handling in order to maximise user satisfaction. For example, some users might not be understood correctly because of accents, background noises, or unexpected phrases. What will the application do in these cases? Will it keep track of the number of errors and transfer to an operator if the counter reaches a certain threshold? You need to think about error handling and how this will be rectified in advance. Otherwise customers looking to

place a bet may go elsewhere. Whether as a gambling business you are building a complex application or a very basic one with a more modest interface, the steps are the same for developing quality speech recognition. The objective is not just achieving a superior level of recognition accuracy, but also ensuring that the UI can handle errors and language variability and, ultimately, to produce a high completion rate with minimal user frustration. I don’t think we’ll be seeing slot and table games controlled by our voice for a while yet. But with Unibet and Betfred’s interest in pushing how we interact with our mobile casinos, it looks likely that we’ll be seeing innovative things from them in the coming years, especially as voice betting is simply one example of trying to create frictionless customer experiences. Here at Pocket App we have been incorporating voice into our apps for some time now and if you are interested in finding out more about our work do contact me on 0207 183 4388.

INFINITY GAMING

GAMING NEWS

NOVEMBER 2016

Singapore Relaxes Online Gaming Law

ingapore’s government has an-

to the new legislation is that they will

It stressed: “A tightly-controlled exempt

nounced it will ease its law on

not be allowed to offer poker or casino

operator regime mitigates such concerns.

remote gambling and allow lim-

games. Hefty fines of SG$1 million

The stringent exempt operator regime

ited online betting in ‘tightly controlled

(£565,000) would be faced should they

is part of our multi-pronged strategy

conditions’.

breach any of the stipulations.

to deal with remote gambling, which includes comprehensive legislation, en-

The Singapore Pools and the Singapore

The Ministry of Home Affairs commented:

forcement, blocking measures and public

Turf Club (STC) have been given exclusive

“While our blocking regime is one of the

education.”

exemption by the government from a law

most comprehensive in the world… it is

which blocks access to gambling sites

not straightforward to eradicate remote

The ministry likened its approach to that

and also prevents online payments to

gambling totally. A complete ban would

of Hong Kong and Norway. Many opera-

them. Both companies are set to launch

only serve to drive more remote gam-

tors will be watching this space in terms

online gaming services within the next

bling underground, making it harder to

of whether this government decision will

two months.

detect, and exacerbate the associated law

lead the way for further amendments to

and order and social concerns.”

current policy, and a widening of regula-

However, one of the conditions attached

tors operated.

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The Ritz Club 150 Piccadilly, London W1J 9BS +44 (0)20 7499 1818 www.theritzclub.com @TheRitzClub

GAMING NEWS

NOVEMBER 2016

MGM Casino Could Cost Connecticut $68 Million

ot everyone is eagerly awaiting the arrival of the MGM Springfield, as research predicts the state could lose millions when it opens for business.

Pennsylvania go to wire for online gambling

The much anticipated $950 million resort casino is set to open in Massachusetts in 2018. However, the General Assembly’s Fiscal Office is predicting a hard-hitting blow to Connecticut for the year which follows when slot machine revenues for the year decline. The report forecasts that Connecticut’s two tribal owned casinos will feel the impact. In a bid to counteract such losses the two federally recognized tribes recently formed the Mohegan-Mashantucket Pequot casino company (MMCT) and is currently looking for sites for a jointly run border casino which will be in direct competition with MGM. The proposal is still yet to seek legislative approval. “We are fully aware of the negative impact MGM’s facility will have on both jobs and revenue,” MMCT spokesman Andrew Doba said in a statement. “A hit like this to the state’s bottom line will lead to more cuts to essential social services, and more tough choices for our state leaders. We need to get this right, and make sure that losses of this magnitude never come to fruition.” Meanwhile MGM is confident that they would create more revenue than the $68.3 detailed by the Fiscal Office. They stated that allowing other developers to operate in the state was a healthy option, maximizing jobs and indeed revenue. MGM Resorts International Executive Vice President Alan Feldman said: “At least one economic report has suggested that a casino in southwestern Connecticut has the potential to generate many more jobs and far more revenue than the number contained in this OFA report.”

Pennsylvania online gamblers are holding their breath with just 6 more days left this year before the Senate breaks up for the Presidential elections. The days now to look out for are October 17th to October 19th and October 24th to October 25th, these are the only dates where online gambling can be discussed and hopefully voted on. There were due to discuss the online gambling bill in the last day of the September session but was cancelled and observers believe that opponents of internet gambling are trying delay tactics to push any deal into 2017. Supporters of online gambling say that with a black hole in Pennsylvania’s budget of $1.3 billion online gambling if allowed would generate some $100 million in tax revenues for the state.

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VS LostVegas.co.uk

#October2016

NOVEMBER 2016

Statistics: a bottomless pit? By Teresa Tunstall Infinity Gaming Magazine contributing writer Teresa Tunstall latest article

t was good to see the Gambling Commission releasing statistics on, Gambling behaviour in Wales and Scotland, although a higher percentage of gambling and betting takes place in England which has the largest population. Nevertheless, they are important statistics. We need Statistics to give us a picture of what’s going on in UK gambling however, gathering Statistics has always made me question if I received a phone call asking if I’d partake in discussing my gambling how truthful would I be, would I admit I gambled too much or even to a gambling problem I’d be more likely to exaggerate my wins and omit my losses.

in self-exclusion often as a way of getting back at the Operator, it’s the nature of the beast. Others who collect statistics: help agencies, help groups who remain anonymous and Counsellors, these groups are perhaps the nearest to the truth because when gamblers have reached this level there’s nowhere else to go. As one problem gambler told me he was six months into therapy before he started telling his Counsellor the truth. Gambling staff have told of when dealing with irate or distressed customers they become Counsellors,

Although, some gamblers will always insist on self-exclusion even through it’s obvious they are angry at the Operator about another issue, persist

If everybody who self-excluded sourced help would it reduce statistics, I believe so but unless we include the gambling and betting industry staff to instil into customers that this is for their own good it’s unlikely to happen. In New Zealand casinos if you self-exclude you can return to gambling only if you have a letter from your Counsellor to prove you attended counselling. An interesting twist, this would require the gambling and betting industry to work closer together with the Gambling Commission.

Some gambling survey’s result in face to face interviews, would I divulge such personal information to a stranger, I’m certain I’d play my gambling down to being ‘just fun when I have time to kill,’ especially if any of my family were around. So does this mean the only reliable statistics are from the gambling industry by means of their ‘Returns’ submitted to the Gambling Commission being the only true and meaningful numbers.

Unfortunately, we know from the ‘Gambling Commission Industry Statistics,’ that not all those who self-exclude from their betting and gambling search for help and frequently as a result they end up returning to gambling believing they’ve cured themselves only on their 2nd self-exclusion admitting to having a problem.

advisors and mediators to their customers or in cases of extreme anger they just stand back and listen. We underestimate our front line betting and gambling staff they know more about their customers than any Director sitting in Head Office.

Finally, are statistics a bottomless pit that date the moment they’re finished? It goes without saying however, we need history to improve the future and statistics will always feature as a value tool for the Industry and the Gambling Commission.

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GAMING NEWS

NOVEMBER 2016

Fast-track Harmony Cove Casino says Jamaican PM

ould Jamaican Prime Minister Andrew Holmes be just the catalyst a Trelawny casino project needs?

The development of Harmony Cove casino has gained the seal of approval from the Jamaican PM, who says it would give the economy and tourist trade a welcome boost. Addressing the DBJ’s Strategic Planning Retreat for Boards of Directors last Friday, Mr Holmes urged them to back the integrated casino resort, saying: “This project is one that the DBJ needs to take a very serious look at. The Government is very anxious that this be done. My charge to the board is to get on with this project. We have to make some decisions on it; we have to move ahead.” Harmony Cove is owned by the National Housing Trust and the DBJ. The casino developer, Harmonisation Ltd, say the casino will boast some 5000 rooms, with the construction of the first 1000 rooms valued at US$900 million.

Okada Manila delays opening

olicy-makers and worse-

85 per cent” of the first phase and

“In view of policy actions by the

than-expected weather set

all was on track for its November

Philippines government and the

back the opening of Okada

opening.

economic environment in the near-

Manila by a month.

term, we are now in the process of However, this week a statement

carefully considering the optimal

Japan’s Universal Entertainment an-

from Universal confirmed that the

timing for opening the facility

nounced this week that the US$2.4

schedule has slipped. The Japan-

towards delivering maximized

billion project will now open its

based company said: “Okada Manila

shareholder value. Therefore, once

doors on December 21.

has not markedly lagged behind the

having completed revising the full-

original plan although the progress

year guidance and considered the

Some weeks ago Steve Woada

has differed somewhat from the

opening timing for Okada Manila,

lstenholme (President of the casino

plan, affected by worse-than-ex-

we will provide relevant disclosure

operator Tiger Resorts) told press

pected weather conditions.”

in a timely manner,” Universal said.

that they had “completed almost

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NOVEMBER 2016

GAMING NEWS

U.S. Judge Halts Lawsuit Against Caesars

ollowing last week’s $5 billion agreement which aimed at removing Caesars Entertainment Corp (CEOC) from bankruptcy a U.S. Judge has halted remaining litigation, saying to proceed would risk derailing the agreement. The majority of Caesars creditors agreed to drop some $13 billion in legal claims against the casino group last week. However, a hedge fund with a $9.4 million claim refused to back the deal and sought to continue its lawsuit. A judgement would’ve been due this week concerning the lawsuit filed by Trilogy Capital Management. Judge Benjamin Goldgar said in U.S. Bankruptcy Court in Chicago on Wednesday: “The risk that the Trilogy action will derail the reorganization is too great.” Shares of Caesars were up 1 percent at $7.72 in afternoon trade. The stock rose about 14 percent since the company unveiled its offer for creditors on Sept. 21. Goldgar said the injunction on all remaining litigation against Caesars was necessary to protect the settlement

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and could stand until a January trial to confirm CEOC’s reorganization plan. Unsurprisingly, Trilogy immediately appealed Goldgar’s ruling. U.S. District Court Judge Robert Gettleman in Chicago scheduled a December 5 hearing. CEOC filed a formal restructuring support agreement with all of its major creditors on Wednesday, subject to certain conditions such as the injunction on litigation against Caesars remaining in place. It said the agreement is a “key milestone” in its effort to implement restructuring. CEOC will cut over $10 billion of debt and split into an operating company and a separate real estate investment trust as part of its recovery plan to emerge from bankruptcy in 2017. Following the restructuring, private equity shareholders Apollo Global Management (APO.N) and TPG Capital Management LP [TPG.UL] will hold 16 percent in a new Caesars casino group.

GAMING NEWS

NOVEMBER 2016

Shift in the Market in Macau, says Berstein

rokerage Sanford C. Bernstein Ltd have indicated that Macau’s robust retail set up and focus on non-gaming tourism will aid the city face any risks in the long term. Non-gaming components of casino operators’ businesses are becoming more important as the gaming market moves toward a mass-focus, says the brokerage. It stated that mass market revenues had already exceeded 50 percent of gross gaming revenues in Macau. The firm’s analysts, led by Vitaly Umansky, explained that ‘a critical mass of differentiated retail offerings’ would be able to attract tourists to visit Macau, and lead expenditure on accommodation, food and beverage, and desirably, gaming, despite the modest amount of revenue generated by the retail sector itself. Berstein revealed: “We believe this shift in the market will continue over the coming years, driven by incremen-

tal capacity expansion (new hotels, new casinos, new retail, new entertainment), transportation infrastructure improvements in Macau and the “roads leading to Macau” with increasing visitation and greater penetration of China.” Macau’s luxury retail market will be a key performer in the long term, Bernstein says. This will be further propped up by new integrated resort openings, particularly centered on Cotai. The risk of retail cannibalization is also low, as “visitors are somewhat “captive” to their hotels given the short length of stay in Macau and the increasing sophistication of loyalty programs,” said the brokerage. They continue to state that fundamental to this would be if Macau can successfully widen its tourism offerings to transform into a regional tourism hub and sustaining the pipeline of new developments for the next two years.

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#October2016

GAMING NEWS

NOVEMBER 2016

Natchez Hopes Casino May Help The City’s Bills

fficials from the City of Natchez have approached the management of the Mag-

nolia Bluffs Casino for an advance on their lease to help with council work. The city of Natchez has been ailing for sometime now and it is known that they are lacking in fulfilling a number of bills and completing their payroll. It was brought up in an aldermen board meeting earlier this week. The main issue here is that funds are scarce. The city’s cash flow problems have been identified as stemming from funds that are locked

Magnolia Bluffs casino to pay their

In fact, the city will not even have

up in reimbursable grants. The loans

lease dues in advance, or to take

to make an appeal to them for the

that have so far been taken out and

out a short term, three month loan

full amount as the September lease

applied for are based on these funds

to manage the bills and payroll. The

amount of $83,333 has just been re-

that are yet to be reimbursed. The

remaining lease amount that the

ceived. That however, may not cover

economy of the city seems to have

city will have to get from the casino

the required cash deficiencies and

taken a wrong turn. They are already

amounts to $250,000. The plans

the city will still have to look to the

looking at taking a loan amounting to

were presented through a city council

casino for more cash. If the casino is

about $166,000 for this.

budget meeting last week.

unable, or not in a position to help

The emergency loan is actually a de-

The casino, on the other hand has

viation from the plan to approach

been making its payments as always.

the city, they are left with no choice but to take out an additional loan.

Caesars Bankruptcy mediator steps down

he long running saga of Cae-

by US Bankruptcy Judge Benjamin

sars Entertainment Operating

Goldgar of making

Company (CEOC) bankruptcy

slow progress on the

hearings which began in January

negotiations said in his

2015 has now seen the departure

statement to share-

of its mediator Judge Joseph Farnan

holders, “I’m convinced

stepping down un-expectantly.

that I can’t continue and possibly a new

CEOC is fighting creditors in an

mediator will be able

$18 billion bankruptcy hearing,

to establish a workable

with CEOC offering $4 billion

process,” Farnan said.

while creditors want $12 billion, however Farnan who was accused

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