|CYOP Systems International Inc. (NASD OTC: CYOS.OB), a leading provider of online video games, is pleased to announce it will be launching a Poker Software licensing wholly owned subsidiary, Red Felt Software Ltd. based in the United Kingdom.|
The Company has engaged a London firm to form and register the new subsidiary in the United Kingdom. There is new legislation in the UK that is intended to strengthen the regulatory regime with the creation of a powerful new Gambling Commission, which will for the first time control new forms of gambling such as Internet betting. Licensing the poker game through this UK subsidiary will also be part of the business strategy of the Company.
More than 200 online poker sites collectively are generating about $2 billion a year in revenues, equal to 40% of last year's $5 billion in gambling revenues from all of the Las Vegas 'Strip'. An estimated 1.7 million players are active online, meaning they've played in the past six months. And about 150,000 people play on an average day, according to PokerPulse.com, which tracks the online poker market. Americans are thought to account for more than 70% of all players.
The ease of internet wagering has led to the ongoing rise in gambling at a rate of about 30% per year. One might believe that poker has reached a point of saturation, but the Company believes that this is far from correct. While there are a number of existing poker rooms, it is still a very small percentage of the online gambling population that is actively playing online poker. And given that CYOP will be the first to launch online Poker in Asia, the Company feels that it has have an excellent advantage in the marketplace with its product.
Mitch White, CEO of CYOP stated, “We expected to launch our Poker game on May 1, 2005, however, we have made the decision to delay this some to ensure it is 100% market ready with beta testing complete, translation complete and all integration issues resolved prior to a launch, and, marketing on the SINA network. We are extremely pleased and thankful from all the interest expressed in the launch of our poker game, from gaming players, shareholders, and the on line gaming business community. While a delay is regrettable, we believe in the long run there is more value as confidence in product and operations is paramount in the online gaming sector. Being nearly ready is not the same as ready.”
CYOP is a developer and provider of online skill-games, poker and services for the online gaming industry. CrediPlay, CYOP’s licensed application, is an online transaction platform that is based on charging a fee for each game played over the Internet. CYOP’s central games portal, www.skillarcade.com, features virtual games where people play popular skill games against other players and compete in tournaments to win real money prizes.
For more information please visit www.cyopsystems.com.