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Binary world  A weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

 

 

Zynga loses more execs, gains lottery partnership with Scientific Games
Social game developer and online poker hopeful Zynga made waves last month with its hiring of former 888.com exec Maytal Ginzburg, but more top execs continue to flee Zynga’s floundering ship.

Social casino game market worth $1.6bn, doubled since 2010
Yesterday, analyst firm SuperData released a report stating that the worldwide social casino game market will be worth $1.6bn in 2012, and projects it to grow to $2.4bn by 2015. This shows that not only is there a sizable market for casino games in the social space, but that it should continue to grow rapidly as more players look online to play casino-style games.

Proposed US online poker legislation revealed
In the United States, a summary of The Internet Gambling Prohibition, Poker Consumer Protection and Strengthening UIGEA Act of 2012 legislation has been released outlining what future federal online gaming regulation could look like.

NYPD Releases Guidelines for Social Media Use in Investigations: Report
The NYPD has released a memo that lays out rules for using social media during investigations, but critics say the new guidelines raise questions about privacy issues, according to a report.

Friendster Founder Jonathan Abrams Launches Nuzzel: A Fast, Simple, Social News Reader
Jonathan Abrams, whose resume as a founder or co-founder includes the Founders Den startup workspace, event service Socializr, social bookmarking service HotLinks, and Friendster  is launching his latest startup today: Nuzzel, a site for browsing the news that your friends have shared on social networks.

Game on: new technology just the ticket
The internet is changing everything, including the wait in line to buy tickets.

 

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Binary world  A weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

Police Embrace Social Media as Crime-Fighting Tool
We leave small clues about our lives all over the internet like fingerprints.

LinkedIn’s Profit Growth Leaves Social Media Peers Trailing Behind
The past two days have been exciting for social media investors. On Wednesday, Yelp roared 22% higher, befuddling shorts expecting the expiration of its lock up would send shares lower. And, on Thursday, music purveyor Pandora jumped 14% following its earnings release.

Party conventions get social, with major social media ramp-up
Democrats and Republicans, for all their differences, are joining in the same revolution this political season.

Badgeville and Acquia Partner to Deliver First Gamification Platform Capability for Thousands of Drupal Communities
Badgeville provides first gamification platform solution to be layered on top of Drupal, driving better user engagement and a stronger community.

Internet Poker: Federal standards would benefit Nevada
Michael Gaughan’s South Point Poker made history last week, becoming the first U.S. casino to be licensed to operate in an in-state, real-money poker website.

Wolfram Alpha Launches Personal Analytics Reports For Facebook
Wolfram Alpha, the “computational knowledge engine” that quietly handles a large number of queries from Apple’s Siri, launched a new feature today that allows you to quickly get an overview of all your data on Facebook. The new report, says Wolfram CEO Stephen Wolfram, expands Wolfram Alpha’s “powers of analysis to give you all sorts of personal analytics.” The company plans to expand these reports with new features over time, but they already give you a pretty deep look at your Facebook habits.

Plank in GOP platform urges ‘prohibition’ of Web gaming
A plank in the Republican platform, approved earlier this week at the party’s national convention in Tampa, Fla., calls for a “prohibition” on Internet gaming and reversing December’s re-evaluation of the Federal Wire Act.

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Binary world  A weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

 

 

 

Bait and Switch? @TextInstagram Transfers Followers to Personal Account
The creator of viral parody Twitter handle @TextInstagram is in hot water after he transformed the account into a personal account, @JoshHelfferich. 

Twitter Tweaks Developers With Tough Rules
Twitter introduced new rules for developers who create applications that rely on Twitter data, provoking disappointment and condemnation among those who write code.

OnLive assets sold to new company, service will continue
Cloud gaming pioneer OnLive has confirmed that its assets have been sold to a newly-formed company with “substantial backing.” OnLive will continue to operate its gaming and desktop streaming services and supports its current partnerships, the company said in a statement.

California Social Media Privacy Bill Would Put New Restrictions On Employers
Employers are tricky: many increasingly require applicants to turn over their social media passwords so they can take a look at interviewees’ profiles. Earlier this week, the state of California took moves to outlaw this practice when the state senate unanimously voted for a bill banning employers from demanding access to the social media profiles of both job applicants and current employees as well as barring retaliation if such requests are denied.

Kixeye Poaches CityVille GM Patmore From Zynga to be VP of Product
Zynga’s tanking stock price is everyone else’s gain. Kixeye, the iconoclastic, midcore Facebook gaming company, just hired away the general manager of CityVille, Alan Patmore, to be its vice president of product. It’s a score for the company at a time when the entire social gaming industry is in flux.

Applifier’s Everyplay, Which Lets Mobile Gamers Share Glory, Attracts Interest From 100 Developers
Applifier, a Helsinki and San Francisco-based mobile-social gaming network, added a lot more richness to its user experience this week with Everyplay, a way for gamers to share and replay their greatest moments. Everyplay lets gamers share their favorite titles by recording and replaying sessions of games — like a time they might have gotten a high score.

 

 

 

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This week, a federal judge ruled that poker is more a game of skill than chance. The decision is a victory for poker advocates who are pushing to legalize internet poker in the U.S. The judge relied extensively on the findings of a defense expert who analyzed online poker games.

The ruling overturned the July conviction of a man charged with conspiring to operate an illegal underground poker club, a business featuring Texas Hold’em games. “Because the poker played on the defendant’s premises is not predominately a game of chance, it is not gambling” as defined in the federal law, the judge wrote in a lengthy decision that traced the history of poker and federal laws to combat illegal gambling.

To help our client understand some of these and other complex legal issues relating to gambling and social games, Pillsbury’s Social Media, Entertainment & Technology Team recently finalized a white paper on legal issues with Gamblification. To request a copy, please click here.

 

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Binary worldA weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

 

 

Amazon Enters Social Gaming Market
Amazon is entering the social gaming market just as two companies that pioneered the space, Facebook and Zynga, are struggling to figure out better ways to make money.

Gaming Industry Haunted by Safety Concerns
It’s never been a better time to be a game developer. It’s also never been more complicated. When building games, founders must keep young players safe – and stay within the law.

Zynga Builds Lobbying Presence on Gambling
Zynga Inc. has begun investigating in state and federal lobbying efforts around gambling with real money, even as the social gaming firm predicts the U.S. will not be an initial market for the potentially lucrative new line of business.

$1 Million Each Year for All, as Long as Tribe’s Luck Holds
The financial success of the 480 members of the Shakopee Tribe – whose ancestors 150 years ago were hunted down, slaughtered, and eventually exiled from Minnesota – derives from their flourishing casino and resort operation, which on weekends swells the population of their tiny reservation to the size of a city.

Online Gambling: What’s the rush?
Internet betting may be the future, but that doesn’t mean Maryland legislators should rush into legalizing it.

Bingo! Facebook Gambles On Games Using Real Money, Not Credits, To Engage Users
For the last three quarters, Facebook has been struggling to move the needle on its payments business, but today a new game has launched that could provide a clue to how that could change that in the future: the social network has, for the first time, allowed a gaming app on its platform that allows users to play with real money — not Facebook Credits. Called Bingo & Slots Friendzy, the app is an extension of the Jackpotjoy.com franchise from Gamesys, and will be available in the UK only, and only to users over the age of 18.

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Binary world  A weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

 

 

 

Will States’ Fight Against Sports Betting Ban Pay Off?
Two states, New Jersey and California, are competing in a growing-stakes battle of states’ rights. The issue is the two-decade-old federal ban on sports betting. It has taken nearly 20 years, but finally there is some hope that things are about to change.

First real-money gambling app arrives on Facebook
Facebook has entered the world of online gambling after the first real-money bingo and slots app was launched on the site today. The Jackpotjoy Bingo and Slots Friendzy app has been created by developer Gamesys and is open to players in the UK over the age of 18.

NCAA To Hand Over Classified Docs In Player Antitrust Suit
A California federal judge on Monday ordered the National Collegiate Athletic Association to produce its media and licensing revenue reports in multidistrict litigation that alleged the organization and Electronic Arts Inc. violated antitrust laws by profiting from player likenesses.

The rise of the corporate app store
Businesses are taking to apps with their own stores.

Amazon Takes Aim at Zynga With Social Gaming Salvo
Amazon is joining Zynga in the social-gaming business, and just like the battered Internet game pioneer, it’s turning to Facebook to play host to its first entry.

Facebook Ventures into Online Gambling
Facebook is venturing into the world of online gambling with the launch of its first application where punters can stake real money.

NCAA, Pro Leagues Sue NJ Officials To Block Sports Betting
Professional and collegiate sports organizations including the National Football League and the NCAA sued New Jersey officials in federal court on Tuesday to block the state from allowing sports wagering at its casinos and racetracks.

 

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Following the DOJ decision reversing its position on the scope of the Wire Act, some states have moved forward with legislation to permit certain forms of intrastate gambling. New Jersey, along with Nevada, have been among the first movers. A recent lawsuit challenges a NJ law that permits wagering at casinos and racetracks on the results of certain collegiate and professional sports or athletic events (the “Sports Gambling Law“).

The complaint was filed on behalf of the NCAA, NBA, NFL, NHL and MLB, alleging that the Sports Gambling Law is illegal under the Professional and Amateur Sports Protection Act, which prohibits certain sports betting, subject to certain exceptions which the Plaintiff alleges do not apply.

This lawsuit is not surprising. Governor Christie anticipated it and acknowledge its likelihood on a May 24, 2012 news conference. We will follow the case and post updates as events unfold.

 

 

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Binary world  A weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

 

 

 

PokerStars Pays $731M, Acquires Full Tilt In DOJ Settlement
PokerStars will pay a total of $731 million and absorb fellow online gaming site Full Tilt Poker in order to settle the government’s wide-ranging fraud allegations against the poker site, the company said on Tuesday.

FSU focuses on social media, university updates its policies
Florida State administrators want to make sure their student-athletes understand the importance of protecting their brand and the university’s image each time they click into a social-networking page.

UK to Start Legally Enforcing Video Game Ratings
Europe’s PEGI rating system this week became the single system for video game ratings in the United Kingdom. The change means customers shopping for video games in the UK will no longer see the government’s BBFC ratings on titles. Instead, all games will carry a PEGI (Pan-European Game Information) rating designed to help consumers make informed decisions about which games they’re buying.

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Binary world A weekly wrap up of interesting news about virtual worlds, virtual goods and other social media.

 

 

Twitter Drops LinkedIn Partnership

LinkedIn announced via a blog post on Friday that Twitter would no longer be partnering with the business-networking site to sync updates from one site to the other. This ends a partnership that began in 2009. LinkedIn users can still create updates on the site and click a button to share to Twitter as well, but the reverse is no longer possible.

Two Major Gaming Deals Just Went Down

Two pretty major announcements hit the gaming press Friday. And they have the potential to pretty much completely change the gaming industry. First off, Vivendi is selling off its majority stake in Activision Blizzard. It’s unlikely they’re going to find anybody to just buy the whole thing: AB is valued at $13 billion, and there’s a very, very short list of companies who could afford it and who would be interested.

What Sony’s $380M purchase of Gaikai means for future gaming hardware

Sony Computer Entertainment has been known for its iconic PlayStation hardware, including the PS3 console the PlayStation Portable, now called Vita. But does its future lie in proprietary hardware, or in a delivery platform that brings PlayStation games to any connected device? That’s one possible implication of a $380 million acquisition of Gaikai, a Silicon Valley provider of gaming delivered through the cloud.

Health-care apps for smartphones pit FDA against tech industry

Three tries. More than two years. And roughly $150,000. That’s what it took for MIM Software to get the Food and Drug Administration’s clearance for a smartphone application that physicians can use to view MRIs and other medical images.

Xbox Class Sues Microsoft For Blocking Online Access

A California Xbox video game system owner filed a class action in Washington federal court on Friday accusingMicrosoft Corp. of breaching contracts with consumers by blocking access to its Xbox Live online service without issuing refunds for their subscriptions, purchases and credits.

Usher Wants a Virtual You to Dance at His Concert

Pop star Usher is looking for new backup dancers — virtual ones — for his upcoming London concert, which will be live-streamed June 11 from Hammersmith Apollo. Starting Friday, fans can create digital avatars of themselves to win the chance of becoming a choreographed dance square during Usher’s performance of “Scream.” American Express teases the interactive element in the above video, shared first with Mashable.

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MC900250090.jpgA federal court recently found copyright infringement based on a developers copying of aspects of the popular Tetris game, even though the code itself was not copied. This ruling confirms that IP can be used to effectively prevent certain cloning practices that are prevalent with online games. While this case focused on copyright infringement, a passing note by the court highlights how patents can be instrumental to a comprehensive IP strategy as well.

In this case, Tetris sued Xio Interactive Inc. over its game Mino. Mino is a falling block game which incorporates game-play rules similar to Tetris, as well as utilizing a similar playing area and geometric block combinations. In its opinion, the court stated that game developers are free to use others’ ideas, but not the expression of those ideas. The court noted that the idea-expression dichotomy in the video game world is “simple to state- copyright will not protect an idea, only its expression – but difficult to apply, especially in the context of computer programs.”

The court summarized the law by stating generally that game mechanics and rules are not entitled to copyright protection, but courts have found expressive elements copyrightable, including game labels, design of game boards, playing cards and graphical works. Significantly however, the court noted that game mechanics and other functional game features can be patented.

The court determined that Xio did more than just incorporate Tetris‘ underlying rules in Mino. In looking at the similarity of the look and feel of the two games, the court stated that “[t]here is such similarity between the visual expression of Tetris and Mino that it is akin to literal copying” regardless of the fact that Xio did not actually copy the underlying Tetris code.

If you are a game developer and want to maximize your ability to shut down clones, it is critical to have a comprehensive IP strategy that incorporates both patents and copyrights. If you rely just on copyright, a more skillful game cloner can change the expressive elements enough to avoid copyright infringement. But if you patent core mechanics of your novel game, you can prevent others from copying that functionality regardless of how different they make the expressive elements.