Interactive Systems Worldwide, Inc.’s Patented Software to Assist Global Interactive Gaming, Ltd. (GIG) in Launching the World’s First Fully Interactive Ligaz888 Betting System for Digital TV Interactive
Interactive Systems Worldwide developed and patented a software system, SportXction, which allows users to wager on a play-by-play basis while watching a live sporting event. ISWI and GIG will together launch this on the Digital TV platform, and over the Internet in the near future.
West Paterson, NJ, July 16, 2001 – Interactive Systems Worldwide, Inc. (NASDAQ SmallCap-ISWI) following the announcement by Global Interactive Gaming, Ltd. (GIG), announced today that its patented software will assist in launching the world’s first consumer oriented, fully interactive betting system for Digital TV (iDTV). GIG’s new systems are backed by Prisma iVentures – part of Germany’s KirchMedia, one of the world’s leading sports rights company and marketing company responsible for commercial free-television, license trading, New Media, sport, film and TV production and for film technology.
“Our aim is to become the world’s leading interactive gaming company on all digital entertainment platforms. We are already in advanced discussions with all UK iDTV operators, and expect to announce our first partners very soon,” commented Cees Zwaard, CEO of GIG Ltd.
“Digital TV broadcasters realize that their future is based upon adding compelling revenue generating services to their TV programs. GIG is the first Company to effectively combine the thrill of live sports transmissions, with a consumer-oriented, low-stakes interactive betting system that’s a natural extension of the viewed event. Thanks to our backing from Prisma iVentures and their relationship with KirchMedia, we have access to all the resources of the world’s premier sports rights and marketing agency, and can offer a unique, “turn-key” solutions to a Digital Broadcaster,” Mr. Zwaard went on to say.
On March 17, 2000, Interactive Systems Worldwide, Inc. (ISWI) granted GIG the exclusive license to market, distribute and use the Company’s interactive SportXction™ software, technology and patents on the Internet, interactive television, and wireless delivery modes, for contests and wagering on sporting events world-wide, other than for wagering in Nevada. The software platform named SportXction developed out of experience gained in designing automated trading systems for major US stock exchanges and off-track betting systems.
iDTV (cable, satellite or terrestrial) has been identified as the first platform that will achieve seamless integration between GIG’s interactive betting service and the live TV broadcasts of sporting events. GIG also plans to provide its service via Web-enhanced TV, broadband Internet and 3G mobile handsets.
The wagering engine is highly scalable and adaptable in different countries, languages, currencies, delivery platforms and sports, meaning that potentially it is universally applicable. In countries that do not allow gambling, GIG will offer Ligaz888 contest-oriented products. Here the consumer will have access to the same live sports events, but wagers will be free with the potential to win points for prizes rather than real money. The revenue models for such contests will be tied to sponsorship and advertising.
The system is controlled by the viewer using simple on-screen menu commands driven by the TV remote control handset buttons, just like the Electronic Program Guides already accepted as a feature of all iDTV services. The consumer’s TV screen is divided into two sections. The live broadcast of a sports event is moved to one corner and reduced to fill a quarter of the overall screen size. In the remaining three quarters, GIG offers its continually updated wager propositions and navigation functions. The system runs in real time with a live sports broadcast. GIG will initially launch the system to enhance live soccer broadcasts, but will quickly roll out to include Formula 1, Golf, Rugby Union, Rugby League and Cricket.
Barry Mindes, CEO of Interactive Systems Worldwide, Inc. stated, “We are very excited to be part of GIG’s new interactive betting system for iDTV. Our service offering is different from anything available on the market today and we firmly believe that the value proposition is significant for both Digital TV operators, by providing a “killer app” to increase revenues, and the consumer, who will enjoy the ability to bet on their favorite sporting event from the comfort of their home.”
“In completing our market analysis, we believe there are some very noteworthy statistics which show our compelling market opportunity,” Mr. Zwaard further commented in the GIG press release. “Datamonitor estimates that 82% of the UK Population has placed a sports-related in the past two years, while sports and event betting is forecasted to reach $10 Billion in revenues by 2002. ABN AMRO projects that iDTV will be worth $2.14 Billion by 2004 and by that time 15 million UK homes (60% of all UK households) will subscribe to iDTV services.”
SportXction™, the patented technology platform developed by ISWI, uniquely links a broadcasters consumer-friendly iDTV ‘front end’, with highly-advanced, sophisticated wagering software. By delivering real-time, screen-based betting and allowing frequent, but relatively small wagers, GIG wants to allow TV viewers to use their knowledge of a favorite sport to place wagers on the outcome of specific events, such as a penalty shot on goal in a soccer game, a put attempted during a golf tournament, a serve made in a tennis match or a pit stop during a Formula 1 race.
In addition to ISWI’s software, GIG relationship and backing from the Kirch Group provides an invaluable asset. GIG can call upon the experience of other companies within KirchMedia, including KirchSport, which owns broadcasting rights to events such as the 2002 and 2006 FIFA World Cup and Wimbledon Tennis Championships 2001, and is also a majority stakeholder in Formula 1 motoracing.
SportXction™ is a patented, real-time, software system, which allows a player to make play-by-play wagers on a sporting event while the event is in progress. Wagering may be conducted while viewing a television broadcast of a sporting event. The wagers offered are mostly oriented to short-term plays, for example, is the next play a run or a pass, is the next pitch a ball or a strike, does the shooter make two foul shots, and many more, including parlays, in most sports. The wagers have odds associated with them, which relate to the probable outcome of the proposition being wagered upon, and the odds are adjusted in real time by proprietary artificial intelligence software to reflect player sentiment, as derived from the betting patterns. The system also supports traditional, pre-game sports wagers.
Global Interactive Gaming Ltd. was created in April 2000 as a joint venture between Prisma iVentures Ltd. and Multisports Games Development, Inc. (MGDI) of Delaware, USA (founder Chuck Blazer, a prominent figure in international sports). Please visit the Company’s website at www.gigltd.com
ABOUT PRISMA iVENTURES
Formed in 1999, Prisma iVentures’ a dedicated digital services company whose mission is to create a portfolio of companies focusing on different aspects of the digital distribution and production of sports content. Prisma iVentures is 90 owned by TaurusSport GmbH, a wholly-owned subsidiary of KirchMedia GmbH & Co., the division of the Kirch Group responsible for commercial free-television, license trading, New Media, sport, film and TV production and for film technology.
Prisma iVentures’ sister company, KirchSport GmbH, is a wholly owned by TaurusSport and manages the broadcasting rights for world-class sports properties such as the 2002 & 2006 FIFA World Cup™ in Europe; the Ice Hockey World Championship; the Wimbledon Tennis Championships and Germany’s Bundesligs. KirchSport also markets television, sponsorship and advertising rights for four other European soccer leagues, 11 European national associations and more than 25 football clubs. Through this connection GIG gains access to the vast experience of one of the world’s leading sports marketing organizations. Please visit the Company’s website at www.prismasports.com/iventures
This press release contains “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 including, but not limited to, whether the Company will generate profits in the future; whether the modified software will pass all Acceptance Tests and, if so, in time to entitle the Company to a bonus for early delivery; whether GIG will continue to have the funds to pay the minimum license fees under the GIG Agreements; whether the projected level of profitability will occur; whether other projects being considered by the Company for use of its software will come to fruition; and the length of time that cash reserves will last. Investors are cautioned that these statements involve risks and uncertainties. Additional risks and uncertainties are detailed in the Company’s filings with the Securities and Exchange Commission, including its Form 10-KSB for the year ended September 30, 2000.