It seems the decision by International Game Technology (IGT) to build a full scale replica of the Starship Enterprise in order to promote their new slot may have backfired slightly. That’s if you look at the figures they have released for the first quarter of the fiscal year.
In the figures up to 31st December 2010, total revenues decreased 10% to $465m compared with the same period the year before and in addition, total-operating expenses increased $3 million to $155 million – which may have absorbed the hit on the enterprise.
CEO Patti Hart commented: “Our first quarter results are reflective of our focus on improving our profitability and processes. While consistent top-line growth remains challenging, our internal cost cutting and operational improvement strategies are solidly taking hold.
“Based on early customer feedback, we are confident that our recently released games are gaining momentum. We look forward to better demonstrating our top-line focused initiatives in the second half of this year and beyond.”
More interestingly was the news reported by Blackjackchamp.com that CEO Hart has suggested that the company may soon be making moves into the mobile gaming industry.
According to Blackjack Champ, IGT views the phenomenal growth of the mobile smartphone technology not as a threat but an opportunity to embrace the future. While the slots, poker games and other devices that occupy the floors of traditional casinos require warehouses, onsite maintenance and inventory, the same games on a mobile phone requires none of those variable and fixed costs.
They already have a deal in place with WagerWorks and it certainly wouldn’t be surprising were they to decide that mobile is the next route for their company to explore.