Wednesday, 25 April 2012 14:55
Probability is a mobile gaming company - listed on the London Stock Exchange and like many UK and European-facing online gambling businesses; are involved in preliminary negotiations with potential US joint venture partners. These negotiations are ahead of anticipated changes to online gambling regulations in the USA, if and when they take place. Currently things have not changed at Federal level but are starting to take shape locally.
While many experts in this industry believe forming JV partnerships with potential US partners is the right thing to do currently, others believe they are jumping the gun for a deregulated market place. However, it always pays to have a JV in place in anticipation of expected changes in any regulations. This is how certain businesses get the cream, while the latecomers lag behind and are left to pick up the dregs. Gambling is all about taking a risk, and everything about this business is a risk.
Charles Cohen - Chief Executive Officer of Probability, said that they were excited about prospects opening up in the USA, even on an intrastate basis (local markets). This group owns the LadyLuck and Moobile Games brands, and believes these both present the perfect scenario for the entry of mobile gambling into the USA marketplace. Mobile platforms also enable state authorities to determine location of user and this is a problem for gambling online. What US authorities want is compliance for intrastate online gambling and mobile fits the bill perfectly, because of this factor.
There are nearly 110 million American users of mobile phone apps, the smart-phone is big news in this country, and according to Cohen, the majority of these mobile phones are capable of running mobile games on the probability platform. He also said that the company intends to pursue any and all opportunities presented in this developing online gambling market. There are a number of interested parties in the USA who are keen to explore their options.
Today more online gamblers than ever before are exploring the mobile gaming genre, they are a breed of their own and are contributing massively to growth in this industry. Virtually all UK online gambling brands which offer mobile services are showing incredible results, with sport betting being one of the biggest growth sectors. As more gamblers play games on the go, Probability has seen their revenues hit record highs. Across the board gaming increased by 27% to close to £1.9 million between October and December of 2011, while deposits by customers increased by 48%. On Christmas Eve 2011, close to a cool £1 million was wagered.
They launched a television ad campaign last year in a in a bid to attract new custom, and this has paid off big time. Probability was also involved with talks with massive UK brand William Hill, and although these talks did not bear fruit, it certainly got them attention on the stock exchange and a share price which benefitted from the attention.