"Online Gaming Service Company sees it's Profits Jump a Million Dollars in One year"

The software developer CryptaLogic, a developer of software used for Internet gambling, has recently seen its earnings jump $1 million from $3.8 million last year, to $4.8 million in 2005. In considering this substantial improvement in profits, CryptaLogic sights the company’s intense focus and involvement in the online gaming industry and in particular, online poker markets. First quarter earnings, ending on March 31 st, came to 34 cents a share. This may be compared with earnings of 28 cents a share during the same period last year.

CryptaLogic, is based in Toronto Canada, none has developed games designed for wireless technologies as well. They have decided however, to play it safe for the moment and so they are continuing to center their efforts on previously recognized Internet gambling markets. Louis Ross, CryptaLogic’s CEO, explains this approach by indicating that the company has developed four games that are adopted to wireless technologies. Nevertheless they are not convinced that the economic model warrants the capital expenditure.” He also states that when considering wireless, they have to take into consideration several intermediaries who, Ross says, would want their part of the pie. Therefore Ross says that in light of the challenges connected to the present technology, the user or player experience and given the revenue model, – CryptaLogic is not sure that it is the right time for them to proceed in the direction of developing software applications for wireless technologies.

Just like many other companies that are involved in the Internet gambling industry, CryptaLogic, is buoyed by the British government’s passage of a law designed to restrict Internet gambling. Ross sees this as a sign of the growing acceptance of the online gaming industry and an indication that it is a long-term phenomenon.