FANTINI’S FINANCE: Your Show of Shows

If you are going to be in Las Vegas this week for Global Gaming Expo, you’ll have about sports betting, skill gaming, eSports, ETGs, millennials and more. And even if you’re not going to the big show, stay tuned for CEO interviews by Frank Fantini in the weeks to come.

This is the week when the gaming world descends on Las Vegas in the largest industry show of its kind—G2E.

G2E isn’t just the giant exhibit of what’s new and, vendors hope, what’s hot. It’s parties, reunions, side meetings and deals, and, increasingly, it is educational. Seminars and panel discussions and keynoters will appear on every conceivable topic. G2E’s owner, the American Gaming Association, will invest three days on a series envisioning the integrated resort of the future, a very interesting topic far broader than the original intent of the show.

Amid the blur and sound effects of thousands of gaming machines and other devices spinning on demo mode and 30,000 or more attendees rushing past each other, it would be good to try to find some themes.

Last year, a recurring theme was skill-based games, and implicit in that, the concern that players of the 21st century media and entertainment would abandon slot machines.

This year, we think you’ll hear a fair amount about using gaming machines to create entertainment zones, much of it occupying space once filled with rows of slots.

Interblock has been among the earliest and most visible proponents of integrating entertainment and gambling with its Pulse Arena.

Another approach might be called the Dave & Buster’s way. In fact, Dave & Buster’s CEO Stephen King will be giving a keynote address at the invitation of Scientific Games CEO Kevin Sheehan.

As readers know, I have not been a big enthusiast of skill-based games. On one hand, they can’t replicate the peer-to-peer dynamics of non-gambling games given regulatory constraints. And they’re really made for mobile devices, not for sitting in front of a display screen on a public floor. Perhaps most importantly, if a machine is scheduled to pay 90 or 95 percent back to players, there is a built-in contradiction on skill alone – the poorly skilled player will be burned out and the highly skilled player would beat the house, which isn’t going to happen, so there have to be offsets that blur, if not downright stymie, the point of skill.

That doesn’t mean there aren’t novel approaches to skill-based gaming that will succeed, just that it’s not the panacea for attracting new players.

However, having fun will never go out of style, and today’s casinos increasingly are made for fun. The idea of the Dave & Busters approach strikes me as playing to the strengths of both the casino and of game designers.

So there will be a lot to see at G2E, and Fantini Research and Global Gaming Business Magazine will offer you convenient opportunities to see and learn.

I will be conducting CEO One-On-One video interviews all day Monday and Tuesday morning with the leaders of the most significant gaming technology companies. This is a rare and exclusive opportunity to hear from the industry’s leaders themselves as they assess their companies and look out into the future. The videos will be posted under the G2E tab at www.fantiniresearch.com and at www.ggbmagazine.com.

Further, we at Fantini Research will have two camera crews touring the G2E floor on Tuesday and Wednesday capturing demonstrations of the significant new products. They also will be posted at www.fantiniresearch.com.

These videos will be opportunities to see products before you head to the floor or to see them again, and as often as you like. They will be posted for a full year.

It is our intention that these videos help you make the best use of your time at G2E and afterwards in a very convenient, efficient and effective way.

Articles by Author: Frank Fantini

Frank Fantini is principal at Fantini Advisors, investors and consultants with a focus on gaming.