How does CyberArts business model differ from competitors?
Most gaming software developers provide their software for a low initial fee plus an ongoing share of the operator’s top-line revenue. Many charge fees that range from 12 percent to 30 percent of gross revenues and use burdensome contract tie-up provisions as a way to keep clients shackled to their products and services. I cannot think of any other industry that pays a technology supplier a big percentage of gross revenues. CyberArts believes that these high percentage revenue-share models promote poor customer relationships and will be unacceptable to a new generation of large and well-financed players seeking entrance to new government regulated sectors within online gaming. We provide Foundation on a single-license fee plus annual support basis or a reduced-license fee with a manageable single digit revenue share. Thus CyberArts provides not only a more technically advanced software package but does so with economic considerations in mind, ultimately resulting in a clear choice of s