In two months, the Toto - the Israel Sports Betting Board will have a wireless platform, making it possible to place bets on both the Toto and Winner (football pool) brands via wireless telephony company Cellcom. Cellcom's content company, Logia, signed an agreement with Council for the Regularization of Gambling in Sport, after technical problems were solved. Israel's other wireless operators will presumably rush to join in, once Cellcom launches the new service.
Meanwhile, Toto staff are energetically moving forward on gambling on horses, a new matter that will require legislation. Gambling on horses is an old dream of gamblers and gambling managers in Israel. For Toto, it will be another important product that will broaden the games it offers, giving it an edge over Mifal Hapayis National Lottery on one hand, and illegal gambling on the other. Toto says a decision was recently taken to make legislation on horse gambling a priority, with the agreement of the ministers of finance, education, and agriculture. The legislation will be submitted as a government bill.
Toto posted a record NIS 895 million revenue in 2004, 31% more than in 2003. Toto's Winner brand had NIS 589 million revenue, 66% of total revenue, and the older Toto had NIS 306 million revenue. Toto's Internet site, launched four months ago, had NIS 2 million revenue.
Most of the change was in the last six months, during which Toto's revenue rose by 6%, or NIS 17 million, and Winner's revenue rose by 49%, or NIS 193 million.
Now, however, the new toy will be wireless. Toto CEO Shaul Schneider predicts that gambling revenue via wireless will reach 3-5% of total annual revenue, and will not come at the expense of other platforms. "We have no doubt that revenue from wireless will not come at the expense of Internet or kiosks. Wireless will provide further access for customers who don’t want to go to a Toto station, and have an available device."
Published by Globes [online], Israel business news - www.globes.co.il - on January 13, 2005