Special Edition
Global Interactive Gaming Summit & Expo 2007 - Montreal
Dear Reader,
And here we go with Casinomeister's annual GIGSE special report. If reading about the tripiness of Montreal, freaky people, bitchin' restaurants, no parties, and online gaming is your thing, then read on...
What happened? I'll tell you what happened. I had a pretty good trip considering that the online casino industry has been pretty much wiped off the map in North America. The GIGSE is traditionally THE industry event that has been bringing together casino operators, software providers, marketers, licensing entities, entrepreneurs, innovators, crooks, media moguls, boozers, and all sorts of odds and ends for the past nine years. This year was different - guess why?
Well if you don't know why, please let me welcome you to our planet Earth. It gets a little freaky at times, but never fear, she has ways of taking care of herself - she, like the people that inhabit her, are resilient. Our little microcosm of an online gaming world is a good analogy of this resiliency. After a catastrophic event, only the bare-bones protrude jaggingly from the surface waiting for new growth, which in time - comes.
Landing in Montreal, I was given a tease in the passport control section. The large flatscreen monitors give the weary traveler standing in line touristy glimpses of Quebec with a few ads sprinkled in. And suddenly Microgaming appears. "WTF?" I thought. "Microgaming has an ad in the airport? What a trip." This gave one the presumption that a well attended function was in store. I mean, these ads cost money, and how many people really care about online gaming software, especially people who are coming through the airport.
I made it through customs without the usual harrassment (refer to past GIGSE newsletters on your lunch break), and I reflected on this during
the cab ride to the hotel. It was warmer than I had expected, and we drove with the windows down.
Like last year, I stayed at the Hotel XIXe Siecle, which is impossible to say correctly in French (for me). It's very conveniently located around the corner from the convention center - great price - and is easy on the eyes. It's an old bank that's been converted to a hotel, so it has this swanky old world look and feel to it. Very nice.
And like I predicted for this trip, I'd be the loner dude. Past years have provided many cool socializations with my comrades and the usual drinking buddies, but this time it was different. I mosied around by myself the first evening. Grabbed some Mexican take-out, and chilled out to the new "Pirates of the Caribbean". I'm 100% sure that it's rated G for general audiences. Man, how times have changed. The first scene is a mass execution with people being hanged, and there's another scene not too far into the film that shows a woman being shot in the forehead - dead. C'mon, they promote this shit towards little kids? How am I supposed to bring my six-year-old little dude to see this? Thanks Disney, NOT.
Anyway, after dosing off a couple of times during too many sword fights, the film ended, and I meandered back towards my hotel. I was anticipative for the next day.
Voice from the past - GIGSE 2002
...Monday, the first day of the convention. Well, this is what I was there for and before it was to start, I was to meet with the venerable Julie Sidwell from Gambling Grumbles. We had lunch, along with her distinguished husband, in the hotel restaurant. It was very pleasant ordering everything in English. I was really enjoying the freedom that language gives you when you are completely and utterly fluent in the language. No butchering of grammar here. I digress.
As many of you know, I do somewhat what Julie does, helping players out when they have problems with online casinos. But of course, Julie does it on a much larger scale. So it is good for us to discuss current player attitudes, share informative tidbits concerning certain casinos and other aspects of watch dogging this unregulated industry. And we always like to gossip about the mundane American stuff that I have no connection to from Germany.
We parted, promising to see each other again, which we did several times, and made our way to the first of many informative presentations.
Day one began with an early wake-up call, a pleasant breakfast at Eggscentric, and I was then ready for the conference. In the past, the first morning is rather packed with not much peace at the registration booths; nearly everywhere I would look, there was someone to wave to, or someone to slink away from. This year was weird. There were people there, but except for the River City Group, not many that I recognized. So for the first time ever, I had nothing to do until the key note speaker was to begin. I had about fifteen minutes, so I wandered into the conference hall and grabbed a choice seat. There were about five people already seated. The main conference hall seats around 750 people.
So I busied myself, taking some notes about nothing in particular, read the GIGSE brochures and waited. Ho-hum. It was about five minutes to start-time, and now there were around fifteen people seated. "Oh, this sucks" I thought, but a couple of minutes before show time the doors opened and people started streaming in. Now the conference was looking promising.
Sue Snyder began with the traditional welcoming address and going over the agenda for the next couple of days. I would guess it was about two-thirds full - about 500 people. She asked to see a show of hands of how many people were there for the first time. About half the audience raised their hands.
Wow.
Voice from the past - GIGSE 2005
On the flipside, Frank Fahrenkopf spoke of the problems facing the US market stating that the biggest obstacle for legislation against online gaming is the 10th amendment which guarantees sovereign rights of the states. States are to be able to make their own choices without the US government stepping in. This is why the US has all but 2 states with some sort of regulated gaming (Utah and Hawaii have none). Even though there seems to be a strong push to ban online gaming, 80-85% of the American public don't see a problem with it. 15% are opposed. Well who are these 15%? Well the lawmakers who are banding together are an odd sorts - it's the far right who feel that gambling is morally wrong (yet their mothers probably play bingo online), and the far left who feel that people are too stupid to make decisions on their own. They need the government to protect them from themselves.
The keynote speaker, internationally renowned scholar and online gambling expert Professor I. Nelson Rose took the podium, and gave a very insightful presentation on the history and present state of legalities on gambling in the US. He discussed on how the laws have changed over the past three hundred years. Lotteries funded the colonies, and most of the states after the American Revolution, but it all came crashing down in the 1820's when they were rife with scandal. Some guys decided to have lotteries without paying anyone. It was so bad, that the people said "We will never have lotteries again." These prohibitions were placed in State constitutions, and as new states appeared, they copied these laws into them. In fact, Nevada still has a constitutional law against playing the lottery.
Most gambling was outlawed in the Western Frontier after the Reconstruction of the South in the 1880s, and by 1909, just about every form of gambling was illegal (even in Nevada) except racetracks in New York, Maryland, and Kentucky. Then came the other prohibition: the Volstead Act that banned the sales, manufacture, and possession of alcohol. Imagine living your life back then. <grin>
The depression had affected both of these prohibitions. The Volstead act was repealed and in 1931 Nevada opened its casinos back up. Each year since 1933 there has been an expansion of state run gambling, but it wasn't until the 1960s that the state lotteries came back.
Presently, nearly every state has some form of regulated gambling, so it's really difficult for a state to claim that it has a public policy against gambling when it's the state itself that's running the gambling, and it's often required by law to actively promote it.
He also covered the general attitudes concerning gambling. A couple of hundred years ago, gambling was considered (by most) a sin, it was totally outlawed and if you were a compulsive gambler, you were going to hell. Attitudes changed and then it was considered a vice. As a vice, gambling could be set up in deserts, on islands, or riverboats surrounded by holy water. If you were a compulsive gambler, it was your own damn fault. Then the general attitude changed - gambling is now a form of entertainment, and the entertainment factor is what is promoted. Now, if you are a compulsive gambler, it's treated like a disease, and you don't fault someone for being ill. These attitudes have produced the laws that US citizens must deal with. It was really a very interesting presentation.
One thing he touched on at the end, was that he predicted in two years, California will legalize online poker. It would be limited to licensed card clubs and Indian casinos located in California, and taxed at 25%. I emailed him later about this (there wasn't much time for Q&A afterwards) and he said that the poker clubs have wanted this for years. "Now it seems clear under federal law that Internet gambling is legal, so long as it is legal under state law and kept 100% in-state." The UIGEA does allow "intrastate" betting. The biggest problem will be working out the details on how this will come about.
Arnie - you da man! And he's a Republican too!
Lastly, the situation between the US and the WTO is a Pandora's box - as well as the muddled "poorly written - full of typos" UIGEA law that was passed without being read by most everyone involved.
For further information, please check out Professor Rose's website. http://www.gamblingandthelaw.com/ He also said that he had a newsletter and that he would subscribe people if you email him stating "put me on the list."
That afternoon, I had Sushi with a newcomer in the market. He's the operator of a skill based poker site that will be launched this fall. Yes, more poker that is LEGAL to play in the States - well, most states. There are a few states that prohibit skill games. Nevertheless, they have a new concept that you'll see here at Casinomeister in a few months. It's really very cool.
Finally the exhibition hall doors opened. It was somewhat surreal. The floor seemed about 1/3 full compared to past couple of years. No Microgaming stand, no RTG, no Playtech, no Partnerlogic, no Bodog, only a couple of "old timer" booths - Boss Media and Netgaming. The rest seemed to be dedicated to payment processors and a few live dealers. C'mon, how many live dealers do we really need?
And what was even more disappointing...no free beer. But there were free massages thanks to SafeCharge. And Rebecca from Casino City brought me three packages of organic Trader Joe O's from the States (can't get these in Deutschland). Thanks Rebecca!
Wagerworks was there - and the buzz at the moment is that "Elvis Multi-Strike Video Slots" is getting ready to be launched. If you are wondering what I'm talking about, check out the Play for Fun games here at Leading Edge Gaming. Casinomeister casino members Virgin Casino and BlueSquare Casino should both be receiving these games soon as well as all WagerWorks casinos.
Voice from the past - GIGSE 2003
Finally the exhibition hall doors opened. The usual familiar faces and a lot of new ones. I talked again to the guys at RTG and asked them about whether or not Cirrus Casinos belonged to the Virtual Casino group. They weren't sure. I then asked them if they thought it was odd that Cirrus Casino traffic statistics were on the same account as the rest of the Virtual Casino casinos. They said it was kind of strange, that it probably belonged then. Anyway, it looks like there will be some more interesting developments concerning arbitration and RTG casinos. More details to come soon.
That evening, there was free beer at the Reception Hall. Normally, this is pretty much a who's who in online gambling, just about anyone you need to track down or avoid makes an appearance. Many new faces this time. I spent a lot of time just hanging out and chatting to some of the people I've known for a few years - and the topic of the evening? "What the hell? This industry has really changed" was the theme of most discussions.
I finalized the evening with Micki and guest at the Red Thai on Saint-Laurent Street. What a wonderful meal. Great food, great atmosphere, great company.
Day two coming up...
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RTG's flaccidness...
The presentation that morning dealt with the legalities in Europe - specifically Germany and Denmark. According to one of the leading German gaming lawyers, Wulf Hambach, the battle in Germany at the moment is the most agressive. And one thing I will give credit to the German politicians, is that they are honest. They admit they are trying to protect their monopolies while their US counterparts (the Bible thumping gang) are trying to prohibit online casinos on moralistic grounds. In Europe, the online casino landscape is still a but funkified, but hopefully there will be progressive movement in a few months.
Voice from the past - GIGSE 2006 Day Two kicked off for me in the exhibition hall. I was due to give a presentation "Online Casino Management 101: Letters from the Trenches. It was well attended - and yes, I had a lot to say. Most of the material I used was actually from this newsletter (aren't you glad you subscribed?). Issues #263, 264, and 265. I covered "gaining player trust", "maintaining player trust", and wait to do (or what not to do) when you screw up. Using real live issues and correspondences from casinos and players, it went over rather well. Ted Loh was there, and he was wearing a suit. He's finally been assimilated.
The remainder of the morning was spent collecting information on legal stuff, until I took a beer break with one of the guys from Bodog. Good stuff down the road from them since they will be focusing on the European market. Have I mention that Bodog has applied for a license from the UK? They have, and I think we'll be seeing some cool stuff from them as well.
Which brings me to Real Time Gaming. Man, what a mess. These guys were really caught with their pants down when the shit hit the fan last October, and they've been staggering around like a headless giant since then. I gave a cautionary a couple of months ago concerning playing at most RTG casinos. You are playing at your own risk since there is no player safety net installed. Here is a list of RTG casinos you should bookmark for reference. RTG is adamant that they can only act as the software provider now, and that they have to distance themselves from player issues. Any player problems need to go directly to the licensing agency. Um, well...many of their casinos operate without gaming licenses. And some of the ones that do - have absolutely horrible histories with players. The Crystal Palace group comes to mind - their servers are in Kahnawake.
I could say, ah - the hell with RTG. But they have some really good operators (and some great games), and it just wouldn't be fair to associate the good with the bad. There are some downright bad operators in this group that should have never been allowed to operate a Taco stand much less an online casino. It's amazing that they are still in business.
But then perhaps not so amazing. You will only profit if you consistently fleece your customers.
That evening, it was a night at the W Hotel - which is a trendy cool place to chill. Actually there were a number of people I knew who were hanging out there. So I stayed, but like Cinderella - I split at midnight. Tomorrow was to be a big day. I had a meeting scheduled with the Kahnawakes and a tour planned of their servers at the Kahnawake reservation.
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Voice from the past - GIGSE 2004 Greedy Girl was my date for the Second City Comedy Club. Thanks to RTG, it was a true highlight of the week. For those of you unfamiliar with Second City, Second City has produced many of the greatest comedians of our current time - John Belushi, Dan Akroyd, Gilda Radner, Martin Short, John Candy, Michael Myers, Eugene Levy, etc. Well, I don't think any of us laughed so hard in quite a while. Entitled "Invasion free since 1812" (alluding to the fact they share a border with the US, and the US hasn't invaded since then), it was semi political - totally hilarious. I almost thought I saw a White Russian come out of Greedy Girl's nose she was laughing so hard. It was far-freaking out.
I was really looking forward to the final day of the GIGSE. I didn't have a chance to make any of the presentations, but I did have a chance to meet with David Montour, one of the Commissioners of the Kahnawake Gaming Commission. I made it clear that several years ago, Kahnawake licensing had a pretty good reputation. Most of their casinos operated effectively and fairly. It's a bit different now; there are a number of rogue operations that continue to generate complaints making the KGC look like a rubber stamp. No one wants this, especially the Kahnawakes and the good operators that pay for their services. Mr. Montour admitted that they've been slow in recent months answering complaints, but they are determined to take care of all submitted player issues. I'll be collecting the ones that I have that have hit a dead end; these will be forwarded. I hope that better communication will get the KGC back on its feet and renew the respect that they deserve.
Voice from the past - GIGSE 2002
Wednesday was another eventful day, the highlight was meeting Ronald Maginley, the Director of Offshore Gaming of St. John's Antigua & Barbuda. He assured me that he would personally look into any complaint, minor or major, generated from a casino licensed in his jurisdiction. His authority has teeth, he explained. Not too long ago he had a sportsbook operator jailed for violations. This is good news for those of us who want to instill a sense of regulation into this industry.
From there, I met Micki at the Trident Lounge offices, and we drove out to Kahnawake to check out Mohawk Internet Technologies This is where the servers are located for all of the casinos that are licensed by Kahnawake.
The building was non-descript. And no, there weren't any Teepees in sight - and no one was wearing moccasins or sporting Mohawks. From the outside, perhaps it looked like a warehouse that stores office furniture or running shoes, but entering the place, it was mighty impressive. The security is intense, and the rooms that store the servers are state-of-the-art. It was assuring that there are a number of backup safety features that guarantee 24/7 operation. They even have three massive 500kw generators on standby if there ever is a power outage. It was a really cool tour.
We headed back to Montreal and had lunch at Milos, one of the most fabulous places to each fish in all of Montreal. The grilled Octopus is something to die for. Topic of discussion: our frustration watching the US market being thrown to the wolves so to speak. And there isn't much that can be done about it.
After stuffing ourselves, I was dropped off at the offices of Income Access, by far one of the most professionally run affiliate programs, and we had a nice long chat about certain directions Casinomeister is taking. It was very productive, and will only benefit you my dear reader.
Yes, there are a number of cool things in store for Casinomeister members and non-members alike. And it mostly has to do with providing you with information so that you can make intelligent decisions when it comes to playing online, webmastering, running a casino, organizing an affiliate program, or just trying to find a good restaurant to eat in whatever city I'm talking about. It's all for you.
Returning home - I had a chance to reflect on my experiences. It was a real shame that the industry has gotten so paranoid (understandably so) that it affects conferences like this. Nevertheless, the River City Group did a bang up job as usual. We have them to thank in making these conferences as successful as they are, which in turn makes this industry a much better place for everyone involved - especially the player.
Special Edition 
