Earnings for CryptoLogic, a software developer for Internet gambling, jumped one million dollars, from 3.8 million dollars a year earlier, to 4.8 million dollars in 2005. CryptoLogic attributes its success to its strong focus on the online casino and online poker markets. Earnings for the first quarter, which ended March 31 st, amounted to 34 cents a share compared to 28 cents a share last year during the same time period.

CryptoLogic, a company based in Toronto, has developed games for wireless technologies too, but are playing it safe for now and continuing to focus their efforts on already established Internet gambling markets. In explaining this approach, Lewis Rose, CEO of CryptoLogic, said “We have developed four games for wireless ourselves, but we are not convinced that the economic model justifies the capital expenditure.” He further added, “ As far as wireless is concerned, there are a number of intermediaries who would want their slice of the pie. And so our view, at this point – given the take-up, given the technology challenges, given the user or player experience and given the revenue model – we’re not convinced that right now is the time for us.”

CryptoLogic, like many other companies involved in the Internet gambling industry, is encouraged by the British government’s decision to enact a law that would regulate Internet gambling. Rose believes that Britain’s decision is a sign of the “growing acceptance that this industry (online gaming) is here to stay”.