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Gigamedia : Future shift in focus from PC to Mobile

Friday, November 18, 2011 :  STRATEGY SHIFT FOR GIGAMEDIA
 
Future shift in focus from PC to Mobile
 
Online gaming firm GigaMedia Limited has announced its intention to undergo an intensive company restructuring in its third-quarter financial results presentation that saw the company deliver revenues of $7.98 million, down 12 percent compared to its second quarter and flat year-over-year.
 
GigaMedia, an online entertainment software and services provider, develops and operates a suite of online games in Asia covering the regions of Greater China and Southeast Asia. GigaMedia also retain a 40 percent equity interest in Mangas Everest ("Everest Gaming").
 
The firm's chief executive candidly admitted GigaMedia's current weaknesses are inefficient business unit operations and offerings that are not broad or deep enough.
 
"We are making incremental improvements but need to restructure to respond to an ongoing, dramatic shift in online gaming from PCs to mobile devices," said chief executive officer Yichin Lee.
 
"Starting in the fourth quarter we will change course.  We will build a more complete online games business with a broader and deeper portfolio supported by specific development capabilities for different game genres. We will also extend our platform to mobile devices."
 
Key performance highlights include:
 
-  Group consolidated revenues for Q3/2011 held steady at $7.8 million (Q3/2010: $7.8 million)
 
-  Asian online games business in Q3/2011 were stable year-over-year but decreased 12 percent compared to the second quarter.
 
-  FunTown Q3/2011 revenues increased to $6.3 million (Q3/2010: $5.3 million), but were down from $6.5 million in the second quarter of 2011.
 
-  IAHGames revenues came in at $1.5 million, down from $2.3 million in the second quarter of 2011.
 
-  GigaMedia's 40 percent share in Everest Gaming yielded:
 
   -  A total net loss of $14.0 million for the period; consequently, GigaMedia took an investment loss of $5.6 million for its 40 percent interest in the company.
 
      -     Everest Gaming's total revenues amounted to $12.4 million, including poker revenues of $9.2 million with 111 000 active depositing players and 27 000 new depositing players in the period.
 
"We have a lot of work ahead of us, but we are convinced our strategy will provide us with substantial opportunities for growth, stronger performance, and increased shareholder value," said Lee.

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Gambling News :

Amaya FY2016 Trading Update - The Montreal-based Amaya online gambling group has issued a trading update covering FY 2016 and improving its forecast revenue and earnings numbers.

Another Mega Fortune Dreams jackpot for Euro 3.5 million - In a statement Friday NetEnt advised that the lucky player is a 62-year-old woman from central Finland who won the seven-figure sum from a Euro 1 stake.

Stanleybet has filed a legal action against the government of Cyprus - Bookmaking firm Stanleybet has filed a legal action against the government of Cyprus, claiming Euro 12.5 million as compensation for what it claims is loss of profits and opportunities, prejudice to image and business reputation and legal costs.

LeoVegas To Sponsor Leicester Tigers - The agreement includes official partner accreditation, media space at Welford Road stadium and matchday tickets and VIP hospitality as well as two pitchside perimeter boards from the 2017/18 season and one for duration of the 2016/17 season.

Optima Information Services iShop - Industry visitors to the recent TVC Bookmakers Trade Fair in Solihull, UK were much taken by Spanish betting technology firm Optima Information Services' iShop product, and the company went on to win the SBC Best Retail Betting Product award with it last month.

Golden Nugget Las Vegas Launches New Betting App - Golden Nugget Las Vegas has unveiled a sports wagering app offering Nevada punters the comfort and convenience of being able to wager from anywhere in the state.

CAGAYAN CHIEF MOVES TO REASSURE LICENSEES - Apparently $4 million is going into improvements of the Authority’s data centre in the Freeport at Cagayan, whilst another $3 million has been earmarked for an upgrade to data infrastructure located outside the Freeport.

New Massachusetts Online Gambling Bill - It seems that every two years (give or take a few months) Massachusetts state Senator Bruce Tarr flights an online gambling legalization bill in the state Senate.

Las Vegas Sands Fined for foreign bribery allegations - #lasvegassands Las Vegas Sands, the land casino company owned by multi-billionaire US mogul Sheldon Adelson, has again had to cough up a stiff penalty for non-compliance with the law.

Libratus AI Program Destroying Human Poker Opponents - #Libratus With 40,340 hands played (about a third of the 120,000 planned) Dong Kim is down $29,506, whilst Jimmy Chou ($113,7728), Daniel McAuley ($141,877) and Jason Les ($186,489) are all carrying losses.

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