|By Marketwired .||
|November 26, 2012 08:30 AM EST||
TORONTO, ONTARIO -- (Marketwire) -- 11/26/12 -- TransGaming Inc. (TSX VENTURE:TNG), would like to address the concerns evident in the marketplace regarding the current state of the business. The company's management, board, and employees are all committed and focused on ensuring the ongoing growth of TransGaming. We recognize and hear the questions and concerns raised by our shareholders regarding our cash flow and we have taken steps to restructure the company towards achieving an even more streamlined organization, with a reduced cost base. A number of alternatives remain under consideration, but for now we believe these steps will allow us to reach our goal of break-even by Q3 or Q4 of this fiscal year.
The business itself has demonstrated ongoing strength with a compounded annual growth rate in revenue in excess of 30% in the past 5 years. Even our detractors have cited significant revenue growth projections for this current fiscal year (2013), which we are on target to achieve.
As part of the effort to streamline the company, we have recently completed a major internal restructuring that has now organized the business into two P&L verticals: i) The Graphics & Portability Group (GPG) which handles all of our licensing of core IP related to Cider and SwiftShader; ii) The Digital Media Group (DMG) which handles all of our in-home content and digital distribution. We have integrated our acquired iTV business unit and our GameTree TV business unit together into a single unified division to leverage common resources and talent pool. Both groups operate as their own P&Ls and are being measured against internal budgets and forecasts. Additionally, over the last 2-3 quarters, we have implemented a 30% reduction in headcount to reduce expenses along with other cost constraining measures.
We have strong growth prospects ahead of us, which are outlined below.
For our Graphics and Portability Group:
-- This business segment has not received attention from shareholders but continues to grow and generates high margin revenues. -- We are working on a number of new Mac titles, on an ongoing basis, and these titles are generating both upfront revenues as well as back-end revenue shares. -- Our MMO games are performing well and gaining traction. The recently announced Guild Wars 2 online game is exceeding user targets and will drive revenues in the coming quarters. -- We have a long-term business relationship with companies like EA and Disney that bring a continual flow of new titles. -- We have major licensing negotiations underway for our core IP with both Cider and SwiftShader that we expect to close within Q3. -- Overall, we expect our GPG group to generate strong revenues in FY2013 and to be profitable as a business unit.
For our Digital Media Group:
-- We recognize that GameTree TV deployments have taken considerably longer then originally anticipated. The slower pace arises from the current economic slowdown being experienced globally that has caused major operators to become more conservative with their CapEx spending. That said, TransGaming continues to negotiate new agreements and has seen the level of activity increase. -- Our SelecTV deployment is moving forward positively, albeit behind schedule. The initial deployment plan was with a series of hotels in Asia. However, SelecTV now has major hotels within the Toronto and the broader Canadian market and both parties deemed it to be more effective and efficient to begin deployments in TransGaming's home territory instead of Asia. More information about the specific hotels will be released early in the new year. -- We are in active negotiations on the commercial agreement with a major European service provider. We expect to execute an agreement early in 2013 and commence integration with a new operator towards launch with H1 calendar 2013. -- We are actively working with the East Asian operator deployment (announced June, 2012) and expect them to be ready to launch within the second quarter of calendar 2013. -- Our Asian partner relationship is now entering the negotiation stage of full commercial terms. We are actively reviewing business terms and legals and expect to execute a definitive agreement early in the new calendar year. -- We are imminently releasing a major update to Free which includes a complete overhaul on the GameTree TV client and transitions the service to a subscription only model at EUR4,99. This will improve the overall ARPU for the GameTree TV service and this updated client will be deployed on all upcoming new service providers. -- We released a major update with DISH Network in October that has been received very well and will provide increased revenues with higher ARPU. -- Overall, and to reiterate, the GameTree TV business has taken longer to materialize then projected. However, TransGaming today has 5 service providers that we are actively working with or striving to launch by Q2 of calendar 2013. We are also front-loading our payment schedule with new launches so that the service providers cover development and integration fees. Between existing customers and new agreements being signed, TransGaming has the largest Connected TV distribution footprint in the world.
Finally, to strengthen the balance sheet, TransGaming is working with our investment bankers and financial institutions to evaluate a range of options that will provide the markets with the comfort that the company's current liquidity risk will be reduced.
We delivered a record FY13 Q1 and we expect continued strength in Q2, and the following quarters, towards a fiscal year that will be marked by the greatest year-over-year growth to-date. Therefore, we remain bullish about the company's future prospects.
About TransGaming Inc.
TransGaming Inc. (TSX VENTURE:TNG) is the global leader in the multiplatform deployment of interactive entertainment. TransGaming works with the industry's leading developers and publishers to enable and distribute games for Smart TVs, next-generation set-top boxes, Mac computers, and Linux/CE platforms. TransGaming is headquartered in Toronto, Canada.
This news release contains forward-looking statements. Actual events or results may differ materially from those described in the forward-looking statements due to a number of risks and uncertainties, including changes in financial and product market conditions. Forward-looking statements are based on management's estimates, beliefs, and opinions. The Company assumes no obligation to update forward-looking statements, other than as may be required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Chief Financial Officer
A critical component of any IoT project is what to do with all the data being generated. This data needs to be captured, processed, structured, and stored in a way to facilitate different kinds of queries. Traditional data warehouse and analytical systems are mature technologies that can be used to handle certain kinds of queries, but they are not always well suited to many problems, particularly when there is a need for real-time insights.
Jul. 27, 2016 04:30 PM EDT Reads: 1,845
Big Data, cloud, analytics, contextual information, wearable tech, sensors, mobility, and WebRTC: together, these advances have created a perfect storm of technologies that are disrupting and transforming classic communications models and ecosystems. In his session at @ThingsExpo, Erik Perotti, Senior Manager of New Ventures on Plantronics’ Innovation team, provided an overview of this technological shift, including associated business and consumer communications impacts, and opportunities it ...
Jul. 27, 2016 04:30 PM EDT Reads: 148
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
Jul. 27, 2016 04:15 PM EDT Reads: 1,093
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
Jul. 27, 2016 04:00 PM EDT Reads: 1,733
Is your aging software platform suffering from technical debt while the market changes and demands new solutions at a faster clip? It’s a bold move, but you might consider walking away from your core platform and starting fresh. ReadyTalk did exactly that. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, will discuss why and how ReadyTalk diverted from healthy revenue and over a decade of audio conferencing product development to start an innovati...
Jul. 27, 2016 04:00 PM EDT Reads: 1,046
WebRTC is bringing significant change to the communications landscape that will bridge the worlds of web and telephony, making the Internet the new standard for communications. Cloud9 took the road less traveled and used WebRTC to create a downloadable enterprise-grade communications platform that is changing the communication dynamic in the financial sector. In his session at @ThingsExpo, Leo Papadopoulos, CTO of Cloud9, discussed the importance of WebRTC and how it enables companies to focus...
Jul. 27, 2016 03:30 PM EDT Reads: 960
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
Jul. 27, 2016 11:00 AM EDT Reads: 706
SYS-CON Events announced today that LeaseWeb USA, a cloud Infrastructure-as-a-Service (IaaS) provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LeaseWeb is one of the world's largest hosting brands. The company helps customers define, develop and deploy IT infrastructure tailored to their exact business needs, by combining various kinds cloud solutions.
Jul. 27, 2016 10:30 AM EDT Reads: 1,224
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, discussed how leveraging the Industrial Internet a...
Jul. 27, 2016 09:45 AM EDT Reads: 457
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
Jul. 27, 2016 09:30 AM EDT Reads: 2,075
SYS-CON Events announced today that Venafi, the Immune System for the Internet™ and the leading provider of Next Generation Trust Protection, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Venafi is the Immune System for the Internet™ that protects the foundation of all cybersecurity – cryptographic keys and digital certificates – so they can’t be misused by bad guys in attacks...
Jul. 27, 2016 09:15 AM EDT Reads: 1,367
The best-practices for building IoT applications with Go Code that attendees can use to build their own IoT applications. In his session at @ThingsExpo, Indraneel Mitra, Senior Solutions Architect & Technology Evangelist at Cognizant, provided valuable information and resources for both novice and experienced developers on how to get started with IoT and Golang in a day. He also provided information on how to use Intel Arduino Kit, Go Robotics API and AWS IoT stack to build an application tha...
Jul. 27, 2016 09:15 AM EDT Reads: 1,164
Amazon has gradually rolled out parts of its IoT offerings in the last year, but these are just the tip of the iceberg. In addition to optimizing their back-end AWS offerings, Amazon is laying the ground work to be a major force in IoT – especially in the connected home and office. Amazon is extending its reach by building on its dominant Cloud IoT platform, its Dash Button strategy, recently announced Replenishment Services, the Echo/Alexa voice recognition control platform, the 6-7 strategic...
Jul. 27, 2016 09:00 AM EDT Reads: 468
IoT generates lots of temporal data. But how do you unlock its value? You need to discover patterns that are repeatable in vast quantities of data, understand their meaning, and implement scalable monitoring across multiple data streams in order to monetize the discoveries and insights. Motif discovery and deep learning platforms are emerging to visualize sensor data, to search for patterns and to build application that can monitor real time streams efficiently. In his session at @ThingsExpo, ...
Jul. 27, 2016 08:45 AM EDT Reads: 1,075
For basic one-to-one voice or video calling solutions, WebRTC has proven to be a very powerful technology. Although WebRTC’s core functionality is to provide secure, real-time p2p media streaming, leveraging native platform features and server-side components brings up new communication capabilities for web and native mobile applications, allowing for advanced multi-user use cases such as video broadcasting, conferencing, and media recording.
Jul. 27, 2016 08:45 AM EDT Reads: 944
Verizon Communications Inc. (NYSE, Nasdaq: VZ) and Yahoo! Inc. (Nasdaq: YHOO) have entered into a definitive agreement under which Verizon will acquire Yahoo's operating business for approximately $4.83 billion in cash, subject to customary closing adjustments. Yahoo informs, connects and entertains a global audience of more than 1 billion monthly active users** -- including 600 million monthly active mobile users*** through its search, communications and digital content products. Yahoo also co...
Jul. 27, 2016 08:00 AM EDT Reads: 607
There will be new vendors providing applications, middleware, and connected devices to support the thriving IoT ecosystem. This essentially means that electronic device manufacturers will also be in the software business. Many will be new to building embedded software or robust software. This creates an increased importance on software quality, particularly within the Industrial Internet of Things where business-critical applications are becoming dependent on products controlled by software. Qua...
Jul. 27, 2016 06:30 AM EDT Reads: 1,494
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
Jul. 27, 2016 04:45 AM EDT Reads: 2,294
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
Jul. 27, 2016 04:30 AM EDT Reads: 2,517
Large scale deployments present unique planning challenges, system commissioning hurdles between IT and OT and demand careful system hand-off orchestration. In his session at @ThingsExpo, Jeff Smith, Senior Director and a founding member of Incenergy, will discuss some of the key tactics to ensure delivery success based on his experience of the last two years deploying Industrial IoT systems across four continents.
Jul. 27, 2016 04:00 AM EDT Reads: 1,576