[playersare]

CRYP stock dropped 25% after the below announcement. what percentage of Crypto poker players are on the Betfair skin, considering they don't have any signup or reload bonuses?

could be a buying opportunity since poker still only accouts for 30% of crypto's revenue.



Press Release Source: CryptoLogic Inc.

CryptoLogic Announces Betfair is Considering In-House Poker Strategy For 2006
Tuesday August 9, 9:18 am ET

TORONTO--(BUSINESS WIRE)--Aug. 9, 2005-- CryptoLogic Inc. (TSX:CRY - News; NASDAQ:CRYP - News; LSE:CRP - News), a leading software developer to the global Internet gaming market, announced that Betfair, one of the company's poker licensees, has advised CryptoLogic of its long term intent to bring its core products in-house eventually rather than outsourcing third-party technology. Discussions continue between the companies and no definitive decision has been made on the status of Betfair's Internet poker site.

While Betfair has launched a successful, profitable site using CryptoLogic-developed software, Betfair's long term strategy and practices in its core business has been built on technology solutions designed and developed internally. Decisions consistent with this strategy could result in Betfair establishing its own poker room and the termination of its contract with WagerLogic Limited, the licensing subsidiary of CryptoLogic, in early 2006.

WagerLogic's central poker room, shared by all of its poker licensees, is experiencing record growth - 180% over a year ago, well ahead of the industry. CryptoLogic's strategy would be to offset the potential departure of Betfair with continued strong growth from poker, healthy results from its core casino business, and the potential signing of new licensees.

If Betfair were to leave the central poker room, it is not expected to affect CryptoLogic's 2005 results, but could have a material affect on 2006 earnings if this revenue is not replicated with growth from other existing and potential new licensees. While Internet poker is growing and accounts for 30% of CryptoLogic's Q2 2005 revenue, CryptoLogic's core business remains its casino software. This segment continues to deliver excellent performance and is the company's largest cash contributor at approximately 60% of total revenue.

Once a definitive decision has been made, CryptoLogic will update shareholders and provide interim guidance as appropriate. CryptoLogic's earnings guidance for the third quarter of 2005 remains on target.

WagerLogic's central poker room has consistently ranked among the top five poker rooms on the Internet. CryptoLogic's strategy of aggregating its licensees' brands, large player bases and marketing resources, into a common poker room, has translated into one of the fastest-growing poker rooms on the Internet. CryptoLogic will continue to build on this strong market position and capitalize on the growth momentum in Internet poker.