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1 0 Tarsin Mobile Inc.
2
3 Mobile gambling is legal in the UK 10 years experience in developing and marketing mobile games Over 2.5 million mobile players in UK alone Strong relationships with mobile network operators Legal solutions for all territories Licensed in the UK and recognized for approach to compliance and customer service 2
4 3 Why Offer a Mobile Lottery?
5 Market Research Figure 1: Would Play Lottery via Mobile Device by Age Group Gen Y (Age 18-29) 31% Gen X (Age 30-44) 18% Baby Boomers (Age 45+) 7% 0% 10% 20% 30% 40% % of U.S. Lottery Player respondents that probably or definitely would play Source: InfoTek Research, June
6 Market Research Figure 2: Would Play Game on Mobile Phone for Cash Prices Lotto / Mega Millions / Powerball 27% Scratch-off / Pull-tab 23% Video Lottery Sports-based Lottery Keno 16% 15% 19% 0% 10% 20% 30% % of U.S. Lottery Player respondents that probably or definitely would play (n=250) Source: InfoTek Research, June
7 Market Research Figure 3: Would Play Lottery via Mobile Device by Handset Type Smartphone 28% Mobile Phone w/ Internet 18% Mobile Phone w/o Internet 11% 0% 10% 20% 30% % of U.S. Lottery Player respondents that probably or definitely would play (n=250) Source: InfoTek Research, June
8 Benefits of a mobile lottery for the Player Playing on mobile devices is more convenient Games are easy to understand More accessible than computer More entertaining and engaging Can easily monitor spending 7
9 Benefits of a mobile lottery for the Operator Obtain new customers (Gen X, Gen Y) Increase frequency of play for existing customers Better control and information than a traditional lottery Effectively develop long term relationships with your players Environmentally friendly solution More Smartphones = better user experience = more play 8
10 Technology Solution and Game Content 9
11 The Tarsin Mobile platform is like an iceberg, encompassing the full spectrum of requirements and mechanisms for delivering to mobile. Product Definition Business/Release Model CMS Billing Application Provisioning Brands and Languages Device Management New Device Release Support Application Revision (Up\Down) Pre-production and Production Release Hosting Solutions Mobile Data Privacy Reporting Mobile Advertising Support Application Design and Release support 1st and 2nd Line Technical Support Services Industry Support and Business Needs Our end-to-end solution takes the how out of the mobile planning. Focus on the vision and business model of your mobile strategy 10
12 The Tarsin Mobile platform is like an iceberg, encompassing the full spectrum of requirements and mechanisms for delivering to mobile. Product Definition Business/Release Model CMS Billing Application Provisioning Brands and Languages Device Management New Device Release Support Application Revision (Up\Down) Pre-production and Production Release Hosting Solutions Mobile Data Privacy Reporting Mobile Advertising Support Application Design and Release support 1st and 2nd Line Technical Support Services Industry Support and Business Needs Our end-to-end solution takes the how out of the mobile planning. Focus on the vision and business model of your mobile strategy
13 Marketing Competitions Wagering Text for updates and news alerts Voting polls Text to studio $$ Tournaments Second chance offers Interactive SMS competitions $$$ Random draw games Virtual scratch cards Slot style games $$$$ Build Your Player Database 12
14 Manages Mobile SMS Competitions, Marketing Campaigns, & Game Apps The Dashboard Software is web based and runs through the browser High volume capacity Provides a full audit trail Game analytics and CRM tools Ability to run service at various charge rates All data can be exported for further analysis 13
15 Games can replicate existing lottery games or be completely new We recommend new instant games Scratch cards, instant draw, board games, interactive games Math models can be configured to suit regulatory requirements Using the Capsa platform from Tarsin, we have the technology to accommodate all popular handsets Once the mobile lottery application has been downloaded, new games can be delivered automatically ( pushed ) 14
16 Registration and Verification Customers complete personal information to step through the registration process Registration can be performed online or on the mobile device Once complete, an automated age verification (AV) procedure commences IGT s call centre staff manually age checks any players who fail the automated AV procedure, within a 72-hour grace period Open to players age 19+ Customers set their own PIN code during the registration process Customers set a maximum daily deposit limit, which is fully configurable 15
17 Starting the Game Player opens the application on their mobile phone Loading screens can be fully customized Customers will first access the main menu and support features Player must enter 4 digit PIN to access any game 16
18 Scratch Card Example Once PIN number has been verified, player will have access to several different games In this example, player selects scratch card from the menu A scratch card provides an instant win, easy to understand mechanic Customer selects square and then hits Scratch and an animated reveal of the virtual foil shows symbol If player matches three symbols they win Ability to offer a range of scratch cards at different price points 17
19 Instant Lottery Draw Player selects Lotteries from the menu Player can further select from various draw games available Player selects their own numbers or can opt for auto-generated numbers (lucky dip) Like a traditional lottery, the balls spin to reveal the numbers to be matched * A lottery draw can be configured as an instant win or for a ticket for a specified future draw 18
20 19 Mobile Lottery Distribution and Marketing
21 Ways in which consumers will discover mobile lottery On the Mobile Phone On the Web Home Website - Playsphere.ca, 3 rd party website, or app store App Stores - Apple App Store or Blackberry App World Third Party Websites - GetJar, Handango Text Message - invitation sent to mobile device Message Direct Mail, Print Ads, Billboards, and Posters Newspapers, sporting events, lottery tickets Text LOTTO to to play Atlantic Mobile Lottery Radio Announcer, Text RADIO to to play Atlantic Mobile Lottery Television Commercials, News, Game Shows Blackberry commercials featuring mobile lottery app 20
22 Channel Type Name Desktop Mobile Delivery Methods Billing Method Description Carriers - On Deck Rogers x x WAP Download PSMS Positioning within the WAP portals for Telus x WAP Download Micro Billing the top carriers. Bell Mobility x WAP Download PSMS Carriers - Off Deck Rogers SMS > WAP Download PSMS Work with OpenMarket, Ericsson and Telus SMS > WAP Download Micro Billing other aggregators to ensure carrier support of short code programs. Bell Mobility SMS > WAP Download PSMS Carriers - App Stores Telus Portal x SMS > WAP Download Micro Billing Positioning within the App Stores Rogers x SMS > WAP Download PSMS being created by the top carriers. AT&T Apps x SMS > WAP Download PSMS Manufacturer Portals Apple App Store x x itunes App Store itunes Positioning within the App Stores BlackBerry App World x x BlackBerry App World PSMS being created by the handset manufacturers. Nokia Ovi x x SMS > WAP Download PSMS Palm App Catalog x Palm App Catalog PSMS OS Portals Windows Marketplace x Windows Marketplace PSMS Positioning within the App Stores being created by the OS providers. Android Market x Android Market PSMS 3rd Party Distributors Handango x WAP/PC Download Credit Card Make the application available in the top 3 rd party mobile download portals. GetJar X X WAP Download PSMS Mobango x SMS > WAP Download n/a 21
23 Rogers Telus Bell Mobility OS Stores Manufacturer Stores Carriers Stores 3rd Party Stores Android Market Windows Marketplace Android Market Windows Marketplace Android Market Windows Marketplace itunes App Store BlackBerry App World itunes App Store BlackBerry App World Ovi Store itunes App Store BlackBerry App World Palm Catalog Rogers Shop* Rogers Apps & Addons Tools & Apps* Get Apps** Handango GetJar Handango GetJar Handango GetJar Android Android Market Handango GetJar Windows Windows Marketplace Handango GetJar RIM BlackBerry App World Media Mall* AT&T Apps T-Mobile Web2Go Handango GetJar iphone itunes App Store Handango** GetJar** Palm Palm Catalog Handango Nokia Ovi Store Media Mall* AT&T Apps T-Mobile Web2Go Handango GetJar Handango GetJar AT&T Sprint T-Mobile Verizon AT&T Sprint T-Mobile Verizon 22 * WAP Portal ** Redirects to itunes App Store
24 Total Subscribers in Canada as of June ,448,802 Of these subscribers, market share by carrier is as follows: Bell Wireless & Affiliates 30% MTS Mobility 2% Rogers Wireless 37% SaskTel Mobility 2% TELUS Mobility 29% Source: Canadian Wireless Telecommunications Association (CWTA). 23
25 Total Subscribers in Canada as of June ,448,802 Of these subscribers, market share by handset is as follows: RIM (Blackberry) iphone/ipod Touch Nokia Sony LG Other Source: Canadian Wireless Telecommunications Association (CWTA). 24
26 Mobile Lottery System Controls and Cash Management 25
27 How do you confirm the age of the player? Age checking is done at the time of registration (24 hour process) Service provider will analyze public records (voter registration, property records, etc...) How do you ensure the player is located within our jurisdiction? Location tracking initiated at the start of each game session Service provider will triangulate location using cell phone towers (within 100 meters) Can an unregistered user place wagers if a phone is lost or stolen? Players must enter their secret pin number prior to each game session Registered users can only use their pin on one phone Game will automatically shut down after 30 seconds if there is no activity from user User can notify customer support to close account 26
28 How do you prevent tampering (hacking) with the system? Game outcomes are centrally determined from a remote server We use secured encryption to transfer data between the handset and the servers Can we limit the wagering activity of the player? You can configure the settings for available wagers ($0.25, $1.00, $2.00, etc...) You can set what maximum amount the user can transfer into an account By individual transaction By day, week, or month Can the player view their wagering activity? Players can view on their device a historical list of all fund transfers into and out of their account They can also see a list of each wager placed and the outcome of each individual game played 27
29 28
30 A mobile lottery minimizes fraud and problem gambling We know who you are We know where you are We know how old you are We know what you are playing We know how you are playing We know how much you have won or lost 29
31 Proposed Terms And Timeline for Implementation 30
32 L2M Mobile Lottery Services include 3 Mobile games at launch, 1 new games per quarter thereafter Includes licensed and proprietary titles A variety of game types Management of all mobile distribution channels Includes payments to carriers, handset manufacturers, and app stores System setup and integration as agreed upon 24/7 system monitoring and technical support resolution Access to game assets for marketing purposes 31
33 1. Formalize Implementation and Operations Plan (5 weeks) 2. Finalize Agreement (concurrent with #1) (5 weeks) 3. Implementation of Technology (5 months) 4. Review Program Performance (3 months after go live) 32
34 L2M Content Compliance Technology Experience 33
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