Lottery Goes Wireless

Lottery Goes Wireless

Diversinet Corp, a leading provider of secured mobile solutions, and Effective Solution Ltd. (ESL), a developer of lottery and pari-mutuel software systems providing cash and account betting through both wired and wireless devices, announced that they have signed an OEM/VAR license agreement to develop and sell a secure mobile lottery solution.

Under the terms of the agreement, Diversinet and ESL will jointly implement Diversinet’s leading wireless security in ESL’s new iLottery System. This will provide ESL with a pre-packaged, totally secure mobile solution that they can offer to organizations that want to include mobile capability in their application.

The iLottery System currently supports Internet-based wagering, fixed point of sales terminals and mobile selling terminals allowing users to play on-line number games and lotteries from a variety of channels. The new mobile system will allow users to securely purchase lottery tickets and place bets from their mobile phone. iLottery is platform independent and runs on a network of PC backends, frontends and communication processors allowing for any size system with unlimited expansion capability both in terms of functionality and capacity.

“Mobile wagering has the promise of being an enormous channel for gaming operators as it allows them to reach users anytime, anywhere,” said Dr. Lee Keng Ho, Chief Executive Officer, Effective Solution Ltd. “But in order to capitalize on this opportunity, operators must extend their applications beyond their closed, private networks to public networks and this demands that strong security be in place.”

The addition of Diversinet’s wireless security software in the iLottery system provides advanced security to safeguard the transaction and ensure user confidence.

“We are very excited about the combination of our security technology and ESL’s mobile gaming application,” said Jim Walters, Vice President, Gaming and Wagering of Diversinet Corp. “Our cooperation gives ESL the ability to offer a complete solution to their customers and us the ability to leverage ESL’s strong channel in the Asian market.”

Target customers of the new system will be National and State lotteries globally, with an initial focus on Effective Solution’s existing customers in markets with high mobile penetration.

According to a July 2002 Datamonitor report, there are currently 157 million wireless gamers worldwide. Datamonitor estimates that figure will treble to reach 500 million by 2006 and generate $17.5 billion in wireless gaming revenues. Asia-Pacific dominates the market with 87% share of mobile gaming revenues, but the analysts predict the medium's popularity will be repeated elsewhere.

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