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Readiness of Gambling Industry Operators for the Fourth Industrial Revolution

Mr. Pramodh Munbodh, Legal and Compliance Director of umAfrika Gaming Technologies, discusses the readiness of gambling operators to research and empower their employees regarding the requirements of the Fourth Industrial Revolution at the GRAF Conference 2019.

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Readiness of Gambling Industry Operators for the Fourth Industrial Revolution

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  1. Readiness of the Gambling Industry Operators to Research and Empower Its Employees Regarding the Fourth Industrial Revolution Requirements Presenter: Mr. Pramodh Munbodh Company: umAfrika Gaming Technologies (Pty) Ltd Designation: Legal and Compliance Director GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  2. INTRODUCTION • SAGMA was formed in 1999 to represent the economic, regulatory and technological interests of licensed gaming machine manufacturers in South Africa. • Current membership includes major suppliers such as Atomic Gaming, IGT, Gamesmart, Aruze Gaming, umAfrika Gaming Technologies, Scientific Games and DRGT Africa. • Supply gaming machines to the casino, street and other terrestrial gaming markets in jurisdictions in Africa where gaming is legalized and regulated. • Members are classified as “Multi-Jurisdictional Licensees”. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  3. WHAT IS THE FOURTH INDUSTRIAL REVOLUTION? • Prior to 2016, it was observed that that a technological revolution was underway that was blurring the lines between the physical, digital and biological. • The phrase Fourth Industrial Revolution was first introduced by Klaus Schwab, the executive chairman of the World Economic Forum, in a 2015 article in Foreign Affairs magazine. • "Mastering the Fourth Industrial Revolution" was the theme of the World Economic Forum Annual Meeting 2016 in Davos-Klosters, Switzerland. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  4. WHAT IS THE FOURTH INDUSTRIAL REVOLUTION? GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  5. WHAT IS THE FOURTH INDUSTRIAL REVOLUTION? GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  6. WHAT IS THE FOURTH INDUSTRIAL REVOLUTION? GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  7. HOW WILL 4IR AFFECT THE GAMING INDUSTRY? • Gaming operations (front-end) • Gaming regulation (back-end) • Manufacturer efficiency NOTE: ALL DISCUSSIONS ARE LIMITED TO LAND-BASED (TERRESTRIAL) GAMING OPERATIONS AS THAT IS THE MARKET THE SAGMA MANUFACTURERS MARKET AND SELL INTO AT PRESENT. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  8. GAMING OPERATIONS (LAND-BASED) 1. Wireless Gaming Devices Player utilizes a wireless device (tablet, mobile phone) to play a game on a licensed slot machine via a wireless connection. All random number generation (RNG) events, game outcomes, meter information, game related information, and all cash transactions are maintained in the licensed (controlled) gaming machine and not the wireless game player. Benefit • The wireless device may be used anywhere within the legal areas of the casino and it has the capability of identifying who is using it. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  9. GAMING OPERATIONS (LAND-BASED) 2. Seamless Gameplay A terrestrial operator can offer the same game for play via its licensed land-based, mobile and online platforms. Benefit • Players can switch between devices on the fly. • Biometric data used to login to these platforms can be used to prevent gambling addiction and assist players to gamble responsibly. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  10. GAMING OPERATIONS (LAND-BASED) 3. Data Analytics Terrestrial operators use sophisticated data analysis tools (SAS, Qlikview, Excel, Apache Spark) to analyse data from advanced slots management systems. Benefit • Optimising game floor layout based on denomination, game type. • Understanding game play behaviours and player behaviours (marketing; cross-product sales). GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  11. GAMING OPERATIONS (LAND-BASED) 4. Artificial Intelligence 4.1 Operators are deploying cameras, facial recognition technology and digitally enabled poker chips to risk profile players. the new technology uses algorithms that process the way customers behave at the betting table to determine their appetite for risk. 4.2 Used to detect cheaters and control access to gaming venues. (All subject to compliance with data privacy laws) GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  12. GAMING OPERATIONS (LAND-BASED) 5. VR/AR Gaming Already here in the non-gambling sphere. Being used by some casinos (The Venetian and The Orleans in Las Vegas) to attract Millennials to casinos. Win credits to play on slot machines. Benefit • Attract Millennials and next-generation gamers to try entertaining gambling games. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  13. GAMING OPERATIONS (LAND-BASED) 6. Cloud-Based Gaming Game software sits on a server instead of in a slot machine. Slot machine communicates with server and player can play any game available on the server. Benefit • Operators can change games faster with less hassle as opposed to current slot machine technology. • More entertainment options available to players. Current forms: server-based gaming and downloadable gaming GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  14. GAMBLING REGULATION 1. Streamlining Administration 1.1 Online licensing application and processing portals. 1.2 Data is kept on cloud servers instead of paper. 1.3 Routine applications can be automated especially w.r.t license renewals. 1.4 Systems can “remember” an applicant and pre-populate online forms. 1.5 AI engines can hold information automatically instead of a person doing it manually. Cut the red tape and reduce compliance costs and barriers to entry into an economy. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  15. MANUFACTURER EFFICIENCY 1. Hardware and Software Development 1.1 GDK utilize automation coding to automate certain parts of the game development. 1.2 3D printing utilized to print components for use in gaming hardware or prototype new cabinet designs. 1.3 The math calculations for complex games are made easier through AI engines. 1.4 Emulators automate testing of games and hardware, saving hundreds of man-hours. GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  16. REFERENCES • https://www.ggrasia.com/half-of-macau-casino-ops-testing-face-recognition-tech-dicj/ • https://www.latimes.com/business/la-fi-china-casino-surveillance-20190628-story.html • https://agbrief.com/headline/three-casinos-trial-facial-recognition-systems/ • https://agbrief.com/headline/macau-restricts-use-of-ai-tools-bloomberg/ • https://ggbmagazine.com/article/virtual-virtues/ • https://www.youtube.com/watch?v=AXhtXZX0NAE – Actual robot security guards at Pechanga Casino. • https://ggbmagazine.com/article/out-of-the-box-2/ • https://augustafreepress.com/casinos-and-the-4th-revolution/ • http://www.erm-crm.org/2019/04/11/the-internet-of-things-and-the-impact-it-has-on-the-gaming-industry/ • https://www.reviewjournal.com/business/casinos-gaming/slot-machines-looking-for-attention-with-advanced-technology-1671776/ • https://www.youtube.com/watch?v=v9rZOa3CUC8 - What is the Fourth Industrial Revolution? | CNBC Explains GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  17. CONCLUSION • Are Gambling Industry Operators Ready to Research and Empower Its Employees Regarding the Fourth Industrial Revolution Requirements? • YES! • The main question now is: • Are Regulators Ready to Embrace 4IR? • Watch This Space! GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  18. Presenter: Mr. Pramodh Munbodh Company: umAfrika Gaming Technologies (Pty) Ltd Designation: Legal and Compliance Director E-mail: pramodh.munbodh@umAfrika.co.za Mobile: 083 301 5875 LinkedIn: https://www.linkedin.com/in/pramodh-munbodh-87338b68/ Penultimate GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

  19. May the FOURTH (Industrial Revolution) Be With You! Final GRAF Conference 2019 – “Fourth Industrial Revolution and its Impact on Gaming in Africa”

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