Gaming Vertical Market Report

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1 Report Highlights Commercial and Tribal Casinos Increasing Security Reliable Coverage and Service Radios in the Casino Environment Top Performance Options Current Environment Legalized gambling is now a larger part of U.S. culture than ever before. With 46 states permitting some form of legalized gambling, suppliers in all but a handful of regions across the country cannot ignore this strong and steadily growing industry. The two generally recognized segments to casino operations are commercial/ racetrack casinos ( racinos ) and tribal/indian casinos. Both are governed by a distinctly different set of regulations and operating principals; however, they have similar needs to provide a high level of security on their gaming floors and keep all their employees connected, even though they may be spread throughout a large facility or campus. Industry Numbers In 2010, commercial casinos recorded $34.6 billion in gross revenue, an improvement over the past two years. Meanwhile, more than 340,000 people were employed in the commercial gaming industry and have received $13.3 billion in wages, benefits and tips earned 1 In 2005, 29 racetrack casinos operated in nine states generated more than $3.1 billion in gross gaming revenue, a 9 percent increase over Indiana opened two racinos in 2008, expanding the number of racetrack casino operations to 45 within 12 states 240 gaming tribes controlling 460 gaming operations earned $26,502,533 in revenue for the 2010 fiscal year 3 In the span of 22 years, the casino workforce increased more 70% 4 1 American Gaming Association. State of the States: The AGA Survey of Casino Entertainment. Washington, D.C., American Gaming Association. State of the States: The AGA Survey of Casino Entertainment. Washington, D.C., National Indian Gaming Commission. National Indian Gaming Commission Tribal Gaming Revenues (in thousands) by Region Fiscal Year 2010 and Washington, D.C. 4 Ibid. 800.USA.ICOM 1

2 Market Challenges As casinos bring on a greater number of mobile workers to accommodate more gamblers and as the size and stature of their facilities grow larger, they will have an increasingly difficult time communicating with and directing their staff in an efficient manner. With a rise in revenues, casinos must also consider increasing perils to their profitability. Perhaps the greatest threats to profits are fraud and theft, aimed both at facilities themselves as well as their patrons. Casinos tend to have a broader set of security issues than many other settings, according to Amy Strickhouser in her 2004 paper The Unique Challenges of Casino Security, written for the International Foundation for Protection Officers. Casinos are entertainment centers, hotels, restaurants and posses substantial amounts of cash. Dealer Opportunities Two-way radios have long been used in casinos to facilitate critical communications, meaning that penetration of wireless devices will often be relatively high among established operations. Nevertheless, casinos offer an exceptional opportunity for radio manufacturers and dealers who take the right approach. F3161/F4161 Series Portable radio used for Ho-Chunk Gaming - Wisconsin Dells Ho-Chunk Gaming - Wisconsin Dells, for example, needed a cost-effective two-way radio solution that provided clear communication across its 95,000-square-foot facility. Brad Pointon of Pointon Communications installed Icom s IDAS TM featured products: the F4161DS portable radio, the F6061D mobile radio and the FR6000 repeater. Needing to replace an aging 10-channel trunked radio system, Ho-Chunk decided to go with the Icom system, and has been satisfied ever since, says Pointon. Icom s presented Ho-Chunk Gaming with an IDAS solution, comprising ten repeaters and approximately 800 radios and speaker microphones. Icom and Pointon Communications worked diligently with Ho-Chunk Gaming - Wisconsin Dells to resolve the casino s ongoing coverage issue. Both Icom and Pointon Communications have provided outstanding service. To see both the manufacturer and the dealer show a genuine concern is refreshing and very much appreciated, says Loretta LoMastro, Assistant Security Director. Casino operators who already have an effective wireless strategy will nonetheless require additional equipment to keep up with the demands presented by more employees, larger facilities and more diverse security threats. In addition, dealers who are fortunate to get in at the ground level with a new casino or one 800.USA.ICOM 2

3 upgrading its wireless solutions can leverage their expertise from implementations within similar industries such as hospitality or conventions. Wireless Communications Comparison Commercial Cellular Services Low cost of entry, but high recurring monthly fees per subscriber becomes a financial strain far beyond expectations Notoriously unreliable when it comes to uncontrollable environmental forces such as a sever storm, earthquake or other major disaster Difficult to restrict cell phone use and potential opportunities for cheating in spaces such sporting book and card table areas Professional Two-Way Radio Start up costs for professional systems may initially be higher, though there are no monthly service charges or long-term contracts involved Can be designed to run on secondary power Even if no electricity is available-primary or secondary-pmr can provide two-way communications using talk around (radio-to-radio) frequencies Network reliability and increased control over communications with owned and dedicated frequencies F3021/4021 Series Full keypad and large alphanumeric display; perfect for casino security staff. User Requirements Portable UHF radio systems are generally the solution choice within the casino market. With a relatively small area to cover and RF penetration through floors and walls required, the MHz UHF band does a splendid job of meeting casino operators needs. And while some casinos may deploy mobile radios for facility vehicles or airport limousines, for example, handheld units are ideal for a casino s ambulatory staff. The specific type of radio a casino will adapt for their needs largely depends on the functions they serve. The more obvious functions that are well suited to two-way radio include: Security According to Strickhouser s report on casino security, it s critical for security officers to maintain a high profile throughout the casino to better assist customers and employees. This visibility also helps to deter potential criminal activity. Thus, security personnel must be equipped with top-notch two-way radios, such as the 800.USA.ICOM 3

4 F3161/F4161 Series Maximum channel efficiency and increased communications capacity. Icom F3021/F4021 Series, incorporating advanced features like full keypad and display. Security personnel may even require a high level of encryption to ensure their conversations remain private. Secure Communications Prevents Collusion and Theft At any given time, large amounts of cash float around a casino s floor. In order to protect these interests from outside and even internal threats, the gaming industry has a unique requirement to ensure its two-way communications remains secure. Icom provides users with various options to protect wireless conversations. For instance, many radios feature stun/ kill functions that will disable a lost or stolen radio over the air. And the power-on password feature prevents unauthorized users from turning on a radio. Since conventional radio is particularly vulnerable to eavesdropping, many gaming operators will deploy a trunked solution, rendering conventional radio scanners useless. In addition, casino operators who implement khz narrowband technology early on, such as the Icom F3161D/F4161D, can take advantage of the inherent security digital communications offers. F3101D/F4101D Series This reliable IDAS TM portable is compact, lightweight and nonslip. Perfect for casino housekeeping, maintenance workers. Maintenance These mobile workers often require a highly rugged device that provides advanced features enabling them to preprogram several channels representing the various user groups throughout the facility. Selective and group call features are important so that maintenance workers are not flooded with unimportant conversations. Some maintenance operations, such as those who primarily work outdoors, may desire waterproof radios for additional durability and resistance to the elements. Management Managers are often away from their desk or office in a supervisory role or directly responding to patron issues may also desire a full-featured radio that enables them to quickly identify and call a particular user. A two-way device can make a powerful impression on a visitor who needs a problem resolved quickly. Many casinos offer a number of diverse amenities and services, including hotel rooms, restaurants, and banquet and convention facilities, which greatly expands their requirement for two-way radio: Housekeeping Typically a basic radio without a display or keypad is a good bet; however, they do benefit from advanced features such as group and selective call to keep their 800.USA.ICOM 4

5 function distinct from others on the property. One critical requirement is that their radio is durable. Ho-Chunk decided to go with the Icom system and has been satisfied ever since. - Bruce Pointon of Pointon Communications Restaurant/Banquet/Convention This group of users also requires a radio that is simple to operate without a lot of buttons and features. They too may have a requirement to access additional channels to locate other casino operations staff such as maintenance and security to report a problem. Operational Support With a diverse array of responsibilities, these operations personnel such as janitors, swimming pool attendants, and grounds crew will also generally benefit from equipment that is easy to use, but they may have additional needs based on their responsibilities; some will require easy-to-operate, ruggedized devices while others would benefit from radios featuring full keypads and displays. System Coverage Catering to an expanding clientele, casino facilities often consist of multiple floors for gaming, bingo halls, restaurants and bars, shopping centers and show venues. Hotel rooms, recreational facilities, garages and off-site parking structures also accommodate casino patrons. The ability of the radio system to react to all corners of the operation is key for either conventional or trunked system. The Icom Solution A digital trunking system would be best to meet the needs of a casino, although smaller operations may get by with digital conventional. Larger casinos, especially ones with several locations, would benefit from MultiTrunk (multi-site trunking). F5061D/F6061D Series Installed at Ho-Chunk s 95,000 square-foot facility. Provides analog conventional, basic LTR or digital conventional. The detachable front panel provides flexible casino installation. MultiTrunk is a scalable solution, enabling 1 channel to 30 channels per site, up to 16 sites. No dedicated control channel is required, allowing availability for voice and data communication on all channels. Casinos can implement Icom s F3161/ F4161D Series portables, F5061D/F6061D Series mobiles and the FR5000 Series repeater for a complete MultiTrunk system. Top Performance The F3101D/F4101D Series is IDAS TM conventional and IDAS single-site trunking. This digital/analog transceiver works in mixed mode operation, has built-in 2-tone, 5-tone, CTCSS and DTCS and MDC PTT ID and MDC emergency call. Non-slip, compact and lightweight construction allows for ease of use, even when wearing gloves. 800.USA.ICOM 5

6 The F3161/F4161 Series is high-end functionality: enhanced audio and attractive form factor in a world-class professional radio. Made for maximum channel efficiency and increased communication capacity, the F3161/ F4161 operates in conventional and basic LTR trunking mode, and with the option of 6.25kHz digital narrow mode communication. The D version of this series has digital LTR, IDAS TM trunking and multi-site trunking ideal for larger casinos. F5121D/F6121D Series Easily programmable and customized to meet casinos mobile communication needs. The F5121D/F6121D Series is IDAS conventional and IDAS single-site trunking. Myriad advantages make this an ideal radio for casino operations of any size. Operate in digital/analog mixed mode and call and identify individual or group users. The IDAS trunking system is a distributed system with no dedicated control channel, so more voice traffic channels and data communication are available for increased system capacity. The F5061/F6061 Series professional is a high-end mobile provides analog conventional, basic LTR or digital conventional. The mobile has a front mounted speaker with clear and loud audio. Improved scanning functions include talk back and nuisance delete and advanced automatic number identification (ANI) and emergency call features are available with built-in MDC signaling. The detachable front panel allows flexible installation (requires separation kit). The F5061D/F6061D series has digital with LTR, IDAS trunking and multi-site trunking. Repeater The FR5000 Series is the ideal solution for extending radio coverage throughout a casino s facility. Two products in one, the FR5000 UHF repeater serves as a high-power base station and repeater. Equipped with a built-in power supply, the FR5000 Series boast 32 channels, 5-tone relay function and DTMF remote capability, which allows operators to control the unit over the air or via a phone line. This base station/repeater has been uniquely designed to accommodate both a duplexer and isolator. Optional 32 and 1020 scrambling codes are available. For larger casinos, the FR5000 Series is compatible with MultiTrunk. FR5000 Series Two products in one: base station and repeater Icom America Inc. The Icom logo is a registered trademark of Icom Inc. IDAS is a trademark of Icom Inc. All other trademarks remain the property of their respective owners. All information and specifications subject to change without notice or obligation USA.ICOM 6

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