CryptoLogic at Uncertain ModePublished November 12, 2002 by OCR Editor
This past year, has been a bumpy ride for Cryptologic, a casino software company. The seven year old business has already slashed its profit figures three times this year.
Due to the argumentative profit making business carried by a governmental atmosphere currently oxidizing the US, the booming online casino industry has repositioned itself to face a number of lawsuits from past licensees along with a fast changing perception of the gaming arena.
Last week the company fell to a 7% low, placing its value on the Toronto Stock Exchange on a four year plummeting mode. An "uncertain" fourth quarter is what lies ahead, and we will have to hope for a positive profiting future.
Lewis Rose, the new CEO of the firm, believes that the emphasis now needs to be placed on Europe and Asia.
In the interim, Cryptologic has already started to turn the wheels, securing a number of established holds, such as Littlewoods, who was awarded an Isle of Man license and has already been launched and the Ritz, who is on a pending mode for a consent from Alderney.
The company's current clients hold prominent names in the industry and both were certified by the "Teir One" authorities, stationed outside the UK and who are known to follow a strict regulatory system.
Mr. Rose commented on the Industry's current situation, saying, 'We believe that there will be a global trend toward regulated environments. It brings the industry into the sunlight. We'd like transparency, we'd like regulation, and we'd like players to feel secure and safe in an environment where they spend their money on this form of entertainment."
Dan Walsh, a spokesman for Cryptologic and other I-gaming companies and a Washington activist said, "I think the US will get to regulation and licensing eventually, but it's going to be a trickle."
On the other hand market forecasters, who stood by Cryptologic in the past, are no long er interested on tracking the firm. Brandon Osten, an analyst for Sport Securities, and once a "tracker" for the company said, 'It's a highly profitable company that practically prints money - but there is a lot of risk."