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The primary business of the parent company Mega Internet Tournaments LLC is conducting
Games of Skill on the Internet in which participants pay fees
to play the games with prize awards for winners. Mega is a
pioneer in this arena and has the benefit of patent protection
in important areas. Before entering and exposing the world
to the possibilities of market size and income range, the founder
of MEGA filed for patents, both U.S. and in 24 countries Internationally
that protects key aspects and operational functions of cheat-proofing
and offering Playoff Tournaments. The U.S. Patent has been
granted and two of the International patents have been
granted. The Republic of South Africa and the Australian Government patents have been issued.
The income through the website Mega Dollar Games, (MEGA) is derived from
Tournament Fees charged to play games in which winners receive
cash prizes or other awards. Like a country club conducting
a golf tournament, MIT collects the entry fees, conducts the
tournaments, keeps the scores and awards prizes to the appropriate
winners. In basic terms, the company retains an average of
10% - 15% over prize amounts. The majority of prize amounts won by
players is not cashed out, but instead used to play additional
games. Profitability in this business is quite high. It is
feasible that return on investment will exceed 100% per year.
Unlike more common games of chance, such as Casino Games currently
available on the Internet, playing “Games of Skill Tournaments” is
not gambling under the new or previous Federal Gambling regulations. Games of chance and sport betting offered by Internet sites located on Caribbean
Islands and other locations outside of the U.S. are in violation
of Federal laws. Federal legislation (H.R. 4954) has now been passed (October 2006) this legislation places serious penalties on these outlaw internet sites.
The legislation does not affect Games of Skill Tournaments.
Games of Skill Tournaments include, but are not limited to:
Golf Tournaments, Fishing Tournaments, Bowling Tournaments,
Bridge and other Card Tournaments, Chess Tournaments, etc.
The primary distinction between Games of Skill and gambling
(or Games of Chance) is that games of skill are those in which:
knowledge or skill rather than chance is the predominant factor
in the separation of winning participants from non-winning
participants in the event. The Internet is an ideal game playing
media. It permits instantaneous visual interaction between
the host and individual players across the country or around
the world. The virtual reality aspect of game playing on the
Internet, through the use of a computer monitor “puts
the player in a room, or at a table or on a golf course, etc.” Playing
games is the second most popular user activity on the Internet;
surpassed only by Emails.
Today, in the U.S. alone, there are over sixty million (60,000,000)
active Internet game players with 3,000,000-4,000,000 playing
each day. It is projected that by the end of 2006 there will be over eighty
million (80,000,000) active Internet game players. With virtually
no advertising, MEGA currently has over 20,000 registered players. Many of
these players return several times a week and dozens of times
a month.
Unique Business Facts
The uniqueness of MEGA Business is predicated on these business
facts:
It is non-labor intensive.
There is no inventory risk
Its growth is based on Intellectual properties and marketing expertise.
Players pay to play the games over and over again.
There is no credit risk; entry fees are paid before games begin.
It can host thousands of players with no expensive brick-and-mortar location(s).
The majority of all prize money won is re-invested by players in playing additional
games.
It has unique patent protection for skill game tournaments, U.S. Pat. No. 6,174,237
Issued patents are in place in South Africa and Australia and Pending Patents
in 22 other countries.
Patent Summary
Claim 1. A method of playing a game of skill tournament having
a qualifying round and a playoff round, and played over an
interactive computer system, said interactive computer system
having a host computer system, a plurality of terminals computers
and compatible software, said method comprising the following
steps:
a. playing a game of skill in a qualifying round between a
single player and the host computer;
b. evaluating the results of said qualifying round to determine
if said player qualifies to be classified within a specific
performance level from a plurality of performance levels ranging
from a low performance level to a high performance level;
c. evaluating the results of said qualifying round to determine
if said player qualifies to be classified within a qualifying
performance level taken from said plurality of performance
levels;
d. distributing to said player a performance level award, said
performance level award being dependent upon the specific performance
level obtained;
e. playing said game of skill in a playoff round between said
player and the host computer simultaneously along with other
players, where in each has been classified with a qualifying
performance level;
f. evaluating the results of said playoff round to determine
a tournament winner and subsequent ranking of players; and
g. distributing tournament awards to tournament participants.
International Patent
The International version of the Patent filed in 24 countries
contains all of the U.S. Claims, plus it is broadened by
several claims. Its claims apply to skill games and to games
of chance tournaments. The Republic of South Africa has granted
a patent for this broadened version. The Austrailian government has granted the same patent as the U.S. Government.
For Additional Information Email: john@megainternettournaments.com
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