Alatto Technologies Limited, based in Dublin, is up to its ears in mobile gambling.
The company, which built Europe's first wireless gambling site in 1999, recently published "Understanding Mobile Gambling," a consumer research study covering UMTS, SMS, WAP, 2.5G and 3G networks.
Alatto's vision is to play a significant role in the evolution of the wireless Internet. It has developed gambling applications as well as prototypes for next-generation wireless technologies and it offers extensive experience in the strategy, design and implementation of gambling applications for fixed-odds wagering, P2P exhanges, betting communities, lotteries and sweeps. It has also worked with industry leaders to develop BetML(TM), an XML standard mark-up language to add gambling propositions to content.
Alatto has developed a range of entertainment games, including a casino-style game for 3G networks (together with Speirtech.com).
So far, wireless gambling information has been scrappy and scattered. Managers in the gambling industry know of the astronomical amounts spent for acquiring 3G licenses and the cogent promises of the telecom operators (how much money it would bring in the near future, etc.), but specifics are far from plentiful.
The now debt-laden tellies, the continued economic downturn, investor's skepticism and the longer period needed for research and development have accumulated in serious doubts of the reality and truth of telecoms' 3G doctrines.
In "Understand Mobile Gambling," you will find the answers on 3G and its wireless gambling applications. Does 3G stand for "girls, gambling and games" only, or will the gambling industry turn every mobile phone user in a walking gambling vendor machine?
Alatto summarizes the report, "Understanding Mobile Gambling," in the following abstract (an excerpt from the report):
"The report presents an overview of existing research on the eGambling market in general with analysis of the sparse research available on the specific case of mobile gambling. Special attention is given to the many pitfalls that await a mobile gambling operation. The various mobile technologies behind the new important access channel of mobile are then examined. Following this the results of a comprehensive device for gambling are presented. Finally several case studies of mobile gambling operations are studied in detail."
Citing research* from Datamonito, Merrill Lynch, Informa Media Group, Schema, Informa Publications and EQVITEC, authors Dr. John Whelan and John Kelly state that mobile gambling revenues are distributed among mobile network operators, gambling service operators and payment solution providers. The payment solution providers, they state, could be squeezed out, however, by mobile network operators that provide payment mechanisms.
A recent survey by AT Kearney shows that nearly half of all mobile users worldwide intend to use their mobile handset for payments. Above that, pre-paid mobile phones now account for up to 90 percent of all new phone sales in prominent markets across the world (JD Powers & Associates: "Mobile Survey, 2001").
What's more, the pre-paid mobile phone market is a "youth market." What gambling operator would not like to rejuvenate its players base?
The mobile channel is perfectly suited for gambling activities, for a number of key reasons, which can be best summarized as "from everywhere, anytime." The concept opens up many questions, which are addressed in chapters covering regulations, location detection, security, digital signatures, public key infrastructure, legal considerations, technical considerations and payment systems.
A chapter focusing on technologies sorts through numerous wireless protocols, providing in-depth information in a comprehensible manner. Subject matter includes GSM (2G), SMS, WAP (Gambling), GPRS (2.5G), MMS, I-mode, Java-enabling technology, mobile information device profile (MIDlets) and, of course, UMTS (3G).
The report also includes results and analyses from consumer research conducted in 2001. The goal was to understand the attractiveness of different betting products to mobile user segments and to explore the potential of betting through various multimedia devices. Three categories of gamblers were identified: infrequent gamblers, moderate gamblers and frequent gamblers. Notably, the most popular games with the infrequent and moderate groups were lotteries, sports betting, trivia games, casino games and fruit machines.
Alatto reports that the biggest revenue potential lies in increasing play among the infrequent and moderate groups:
"Most of the revenue potential lies in the infrequent and moderate gambling sectors that might increase their gambling expenditure by as much as nearly half. Multiple gamblers would also increase their gambling expenditure but to a much lesser degree. Infrequent and moderate gamblers account for nearly a third of the population respectively. The demographic profile of those with the greatest propensity to gamble on a multimedia device is male (predominantly, aged 25-39 years old."
The last chapter, "Case Studies," provides information, including tables and interpretations, on China Unicom, TIM Italy and O2 Germany. Several samples of betting scenarios are included.
"Understanding Mobile Gambling" counts 94 pages, plus 11pages of appendices, 35 figures and six (multiple-picture) tables.
The study provides an excellent opportunity to understand this growing market.
*On request of the authors, exact figures are not mentioned in this review, however, the report provides clear and detailed figures and tables.
In the above mentioned report, which is focused on the market and technical applications, possibilities and operational systems, nothing is mentioned on the possible health risks of extensive mobile phone usage. A recently published "European Journal of Cancer Prevention" suggests that mobile phone usage may increase the risk of certain brain tumors. The survey of 1,617 brain tumor patients suggests that benign tumors in the temporal area of the brain were twice as likely to be on the side of the head used during calls on analogue mobile phones. The risk increased to more than three times for acoustic neurinoma tumors.
Editor's note: The views expressed in this review do not necessarily reflect the views of Interactive Gaming News. IGN does not endorse this product.