Play Meter

Issue: 1984 February 01 - Vol 10 Num 3

UP FRONT
FROM THE BATTLEFRONT ...
AGMA vs. AOE/PLA YMETER UPDATE
If you are behind in your reading-or perhaps
you've been reading the wrong magazine-you
might be wondering what's happened lately in the
conflict between the Amusement Game
Manufacturers Association (AGMA) and Play Meter' s
Amusement O perators Expo (AOE) . This editorial
should bring you up to date .
News stories have appeared about Play Meter
dropping the suit against sponsors of ASI. That is a
fact. Howeve·r, reasons why the suit was dropped and
the current status of the suit have not been fully
explained.
Following the AMOA Show, we received word
from its attorneys that AGMA was keenly interested in
discussing a compromise settlement outside of the
courtroom-but only if our suit was dropped .
Cautious, but hoping for the best, we agreed to
voluntarily withdraw the suit " without prejudice,"
meaning we could reinstate the suit at a later date
should it become necessary.
Even before AGMA and AOE sponsors reached
the bargaining table, AGMA issued a press release in
which AGMA officers claimed the withdrawal of our
suit vindicated AGMA of the charges brought against
them in the lawsuit.
We objected to the contents of that press release
and the president of AGMA assured us that he wou ld
make every effort to retract the press release.
This was not done and the press release appeared
in print in other industry publications and one
publication , in particular, even did so without
contacting Play Meter for confirmation or comments .
When the meeting took place no one from Play
Meter, nor any of its representatives, was allowed to
participate. Play Meter then agreed that co-sponsor,
Conference Management Corporation , would
bargain for a compromise with AGMA.
According to David Cheifetz, president of
Conference Management Corporation , at the
conclusion of the meeting, AGMA and the
Conference Management Corporation
respresentative shook hands on a tentative
agreement subject to approval of the board members
of AGMA and AVMDA.
According to Cheifetz, a counter offer,
presented after the board of directors met December
12, " bore absolutely no relationship to the tentative
agreement originally negotiated and it was a clear
indication of an obvious lack of good faith
negotiating on the part of AGMA and AVMDA."
Of course, Conference Management
Corporation refused the AGMA offer. Angry that
such an unprofessional attempt had been disguised
by an offer to bargain in good faith , Conference
Management officials vowed to join Play Meter in
fighting AGMA with renewed vigor.
In the spirit of eliminating the confusion of
competitive spring shows, Play Meter has done
everything in its power to reach a fair compromise
with AGMA. Despite those efforts, the war between
the two factions is escalating. A large number of
AGMA members have already dropped their
advertising in Play Meter which only serves to make
our anti-trust suit even stronger.
It is the intention of this editorial to announce to
the industry' s operators that Play Meter is reinstating
its lawsuit against AGMA, in an attempt to enjoin its
members from staging Amusement Showcase
International (ASI). We also intend to fight AGMA by
putting on the best AOE show the industry has yet
seen . The extensive AOE exhibitor list and largest
seminar program ever is proof that many want to be
where the operators will be.
We w ill fight AGMA on every front because we
know that an attack against Play Meter and AOE '84 is
also an attack on the vitality and stability of the
nation 's operators as a whole. We will fight by
standing firmly behind our commitment to betterthe
industry by informing and educating operators and
by promoting the respect and good name this
indus try deserves.
When I was a young boy, my father told me never to
back down from a fight, and to fight for what I believe
in , but always to do everything -possible to avoid a
fight. To this day, I have never started a fight , though I
have ended quite a few . I am confident, with the help
of our readers, we will stand together victorious .
Maybe just once, the good guys will finish first!
- - -------
Ralph C. Lally
Editor and Publisher
AOE operator attendance
has increased dramatically
ontrary to what some manu-
facturers and distriburors
believe, the operator is not the
backbone of the coin-op amusement
industry. He is the industry. Manu-
facturers, distributors, even trade
publications flourish or fail accord-
ing to how they serve the operator.
The ope rator has to bear the brunt
of overproduction, wildly fluctuated
prices on equipment, faulty product,
public antagonism, and hostile legis-
lation. Truly, operators are the
industry experts.
That's why the Amusement
Operarors Expo (AOE ) was not
called the Amusement Manufac-
turers Expo or the Play Meter Expo.
From its inception, it has been a
show that responded to operators'
needs and relied so heavily on opera-
tor support and participation.
C
Manufacturer support, on the
other hand, has been inconsistent.
In 1981 , after a lackluster attendance
at the first AOE, manufacturers
were quick to desert the show. Major
manufacturers-including the likes
of Bally, Stern, Taira, Williams, and
Centuri-did not exhibit the second
year, although they supported the
show initially. And other manufac-
turers, most notably Atari, didn 't
think an operatOr-oriented show in
the springtime was worth support-
ing. But they were all wrong, as is
evidenced by their later support.
Attendance increased by 58 per-
cent the year the manufacturers
pulled our. So, by the third year, all
PlAY METER. February 1, 1984
the second-year exhibition dropouts
were back o n the AOE bandw agon.
And even Atar i in 1983 finally came
on board.
Operator attendance at the AOE
h as increased dramatic ally and
steadily. Las t year the show boas ted
of 8,245 confirmed attendees, as
compared ro a mere 909 in 1980.
Strangely, booth sales for AOE '83
were at 500 ; that 's a g reat change
from the 87 boo ths in 1981 when
many of the maj or m anufacturers
agreed th at a springtime se minar-
expo progr am geared to the opera-
tor just wouldn't fly.
Manufacturers' show
Now the m a nuf ac turers are
staging their ow n show and , accord-
ing ro a lawsuit filed by AOE show
organizers ( Play M et er magazine
and Conference Management Corp.),
are actively boyco rring the AOE.
But D avid Pierson, Play M et er
advertising director and a n AOE
seminar committeeman, has this to
say about the conflict: " If ever the
manufacturers wanted to find out
for themselves if it is they and not
the operators th at are the industry,
then they couldn' t have picked a
better fighting ground . Despite the
fact that the m anufacturers will
probably have to contend with a
serious antitrust lawsuit , the AOE
welcomes the competition. A show
for manufacturers, by manufac -
turers , and of m anufacturers is not
going tO be supported by o perators,
especially in today's market.
" If the manufacturers' association
believes that by setting up a three-
day flea market of coin-operated
equipment and by offering a side-
show of manufacturer and distribu-
tOr-run seminars it can attract large
numbers of operators, it is in for a
surpnse.
"First of all, operators are not in
the mood tO attend an exposition
geared to help m a nufacturers
further exploit and victimize opera-
tors. And manufacturers are hardly
in the position they were in two
years ago when they could dictate tO
the operators. Today we have a
buyers' market not a sellers' market
where the only thing that matters is
avai lability. And the ma nufacturers'
arrogance during this video boom is
what has created the overwhelming
ope rator animosity tOward manu-
facturers ."
Manufacturers' power
Two years ago manufacturers
announced they would boycott the
AMOA Show if it were held in Las
Vegas. The manufacturers' power
plan prevai led because the AMOA
Show was moved ro New Orleans.
Due to this event and the acknowl-
edged animosity between the
AMOA and manufacturers ( Play
M et er, July 1, 1983, p. 10), will the
manufacturers attempt to sponsor a
second show in the fall and retract
support from the AMOA Show?
Will the manufacturers say this
industry is only big enough for one
show?

7

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