BUILDING BRIDGES Gaming in the new ERA and the importance of GSA

THE WORLD IS CHANGING AROUND US  The Internet – its size doubles every 5.32 years Oct 2012: 620,480,777 domains Total users: 2,267,233,000 Global penetration: 34% Latin America growth: 1,310% ( ) 43% pop US growth: 153% ( ) 79% pop Speed of adoption is significantly faster as population gets more tech savvy

THE WORLD IS CHANGING AROUND US  Online revolution has changed customer behavior  Ebay is the world’s largest garage sale online  Expedia the world’s largest travel agency online  Amazon the world’s largest department store online  Pokerstar the world’s largest poker room online  Mobile devices: 49% of time spend on gaming applications and 30% on social networking applications

WHO ARE WE?  An International Trade Association  Formed in May 1998  Currently 64 members (operators, vendors, test labs)  44% US, 20% CA, 13%, EU, 10% AS  56% Vendors, 25% operators, 19% others  We are an association that enables collaboration between:  The Industry Domain (Suppliers / Operators / Test Labs)  The Policy Domain (Governmental Agencies and Regulators)  Create information standards (G2S, S2S, …)

PLATINUM MEMBERS

GOLD MEMBERS SILVER MEMBERS BRONZE MEMBERS AFFILIATES / ADVISORS

BOARD REPRESENTATION  Alberta Gaming and Liquor  Aristocrat  Bally  IGT  Isle of Capri  Manitoba  Ontario Lottery and Gaming  Oregon Lottery  Penn National Gaming  Spielo  WMS Gaming

GSA’S ROLE IN BRICK & MORTAR CASINO INDUSTRY  Focused on brick and mortar as there was a need  Established committees to support the industry  Gained track record for the successful creation of standards  Successful due to participation from both industry and policy domain

EVOLUTION OF DATA COMMUNICATION  Multiple protocols in the market: SAS, SS, BESS, ASP, QCOM, X-series, CC – talk, GDAP, SDT, GamPro, DXS, SuperSAS, BOB, and many more…  Our industry is plagued by too many proprietary protocols  You are NOT in control of your business  You are NOT able to innovate and differentiate your product offering  You will PAY more to maintain your current infrastructures  You will LOOSE new players

EVOLUTION OF DATA COMMUNICATION Let’s Talk SAS  SAS was created by IGT early 1980 and for a long time IGT enjoyed a significant market share in the US which lead to the defacto standard  Last functionality enabled by SAS was TITO announced in 1999  GSA took control of SAS in 2004  Helped the industry by ‘cleaning up’ this de-facto industry standard  Developed SAS certification program and toolkit  Industry embraced an ‘end of life’ strategy:  GSA’s SAS version was handed back to IGT end of 2009  Certification by GSA of SAS was terminated end of 2009  Industry adopted G2S as replacement for SAS effective 2010

1982 SAS era 2008 GSA era

EVOLUTION OF DATA COMMUNICATION The Cost Of A New Feature Here’s why Innovation has been slow ____

GSA STANDARDS TODAY  List of GSA protocols  G2S – Game to System (released 2006)  S2S – System to System (released 2004)  GDS – Game Device Standard (released 2004)  GAT – Game Authentication

WHAT DO WE OFFER? Unfettered Data Access

COMMITTEES  Technical Committees (S2S, G2S, TRA, GAT, GDS …)  Architectural Oversight Committee  Operator Advisory Committee  Player User Interface Committee  Regulatory Advisory Committee (formation stage)  Online Gaming Committee (formation stage)  Central Reporting / Monitoring messaging standard  External Interfaces – Geo-location, Player Verification, Payment Processors  Brick & Mortar Interfaces – Player Tracking, Promotions, etc.

GLOBAL ADOPTION (70+ COUNTRIES)

OPERATOR PERSPECTIVE ALBERTA GAMING & LIQUOR

TECHNICAL BARRIERS  Solutions tied to vendor proprietary protocols  SAS protocol no longer supported  Integration capabilities limited and complex  Long time to market for new features and games  Technology obsolesce

ARCHITECTURAL REQUIREMENTS  Maintain ownership and control over Enterprise integration decisions as the Solution Integrator  Maintain ownership and control over key data  Ensure a single view of the player  Analyze and make business decisions from an Enterprise perspective  Improve time to market and operational processes  Minimize the effects of Vendor Lock-in  Minimize the effects of Operator Lock-in

CURRENT ENVIRONMENT  VLT channel was the first to convert to GSA open protocols.  Immediate benefits:  Rich, detailed data captured for analysis  Data available is not dependent on the needs of the host system.  Download & Config from a central platform to change game sets, operating systems, and peripherals  Single, industry standard security implementation  Improved time to market for new EGMs due to simplified integration  Able to deploy an increased variety of platforms and products  GSA protocols are extensible and can be easily evolved to meet business and player needs  Casino & Lottery channels are still using proprietary protocols.  Case Study for the Value of GSA Protocol Implementation

InteroperabilityHigh risk, high cost, high time to market Decreased risk and costs and faster time to market. Increased ability to deploy a variety of platforms. Certified platforms can be deployed with minimal risk & costs PASTTODAYFUTURE Gaming FloorSerial connections leveraging vendor proprietary legacy protocol Migrating to an open standard protocol, high speed enabled floor Open standard extensible protocol, high speed floor Responsiveness to Change LimitedDownload and configuration to EGM’s from s single central system Player initiated download and configuration from a single central system Player EngagementNoneDeveloping standards for PUI Bi-directional communication with players Business IntelligenceAggregate data design to meet the slot host needs Collecting detailed play data Predictive analytics, real time dashboards SecurityVendor proprietary security solution Industry standards security model Single deployment of industry standard security model across channels Gaming Channel Convergence Monolithic siloed gaming solutions Groundwork in place for convergence Single deployment of shared components, single view of the player

BUILDING BRIDGES Supporting the Industry through global collaboration

PROLIFERATION OF ONLINE GAMING INDUSTRY  Online Gaming is proliferating beyond Europe into N. America  There is now focus on the connection between brick & mortar and online systems  Industry collaboration is critically important  GSA has created the Online Gaming Committee  GSA created a trusted environment for the Policy Domain in a framework of collaboration

ECOSYSTEM’s CRITICAL CROSS POINTS  Transparency - Regulatory reporting & monitoring information  Access - Operator data across states and countries  Stability – Consistent connections through standardization

ONLINE GAMING COLLABORATION  Both industry and policy domain will benefit from the work GSA can be doing in these domains.  GSA is not the one telling you what to do, we are here to serve the industry.  We have a successful track record for over 15 years and successfully provided solutions that the industry requested  GSA continues to reach out and build bridges to support the industry

EVOLUTION OF GAMING GSA formation: vendors, operators & test labs GSA as Platform for Global Collaboration Protocol Standards / Interoperability Cross Jurisdictional standard reporting, Consumer protection INDUSTRY DOMAIN POLICY DOMAINMonitoring / Reporting/Transparency Multiple Standards

MACROWIKINOMICS Anthony D Williams Macrowikinomics Mass collaboration – by engaging all stakeholders - is reinventing the way businesses communicate, solve business problems, create value and compete in the new world economy. We are faced with many global threats that undermine global peace and stability:  Cyber attacks  Food security (e.g.: tainted milk)  Toxic toys  Climate change  Water scarcity  Emerging technologies  Infectious diseases… regulatory system that learns and improves

COLLABORATION - INNOVATE OR DIE

1783+ VOLUNTEERS OVER 15 YEARS

UPDATES  Education program  Macau: Bachelor of Science in Computing – Gaming Technology  GSA: one –on - one training  China Lottery Online Co.  European Regulator Briefing in Dec 4 – Brussels  Gaming Industry Collaborative Summit 2014  Time has come for industry collaboration  AGA, NIGA, AGEM, GSA, NASPL, IAGR, NTGCR, NCLGS, GTA, EGA, Expert Group, GREF, ….

What Is The Price Of Freedom?

As Nevada Gaming Commissioner Randolph Townsend stated: “Its not about the green felt anymore, its not about dealing cards anymore, its not even about slot machines anymore – its all about technology” To interest the next generation of casino players, one has to be on the cutting edge of technology. LETS TALK ABOUT TODAY’S BUSINESS REALITY IN THE GAMING…

How Does It Feel To Be Trapped?

How Does It Feel To Be Handcuffed To Your Vendors?

“This Is What I Need To Grow The Business!” CMO to CIO…

“When Can You Make This Happen?” CIO to Vendor…

“These Are My Terms And Conditions.” Vendor to CIO…

“This Is The Best Our Vendor Can Do.” CIO to CMO…

Control your Own Destiny

Do You Want The Freedom To Drive Your Business?

What Is The Price Of Your Freedom?

“Open Standards give you peace of mind”

STANDARDS CERTIFICATION MEMBERSHIP

THANK YOU 15 Years Of Industry Collaboration