"Not in my house: how Vegas casinos wage a war on cheating"
From The Verge:
“I think most people feel that if you can find a way to beat the
casino, more power to you,” says Arnold Synder, his eyes, those telltale
features, hidden behind a pair of black sunglasses. “This place set up
the rules, they provide the equipment, they provide the dealer, and
they're basically saying, ‘Come in and try to beat us.’”
It's the welcoming whisper, the allure of easy fortune. Folks come in
and wager, hoping they'll be the exception to the rule that the house
always wins. Then there are the savvier players, those who don’t simply
hope, but actively seek an advantage — sometimes by any means necessary.
Probably for as long as there have been wagering games, players have
sought an edge. Depending on the orientation of your moral compass,
sometimes that search tips over into outright cheating. And for as long
as there have been cheats, the house has tried to stop them. Today, when
every smartphone is a computer, camera, and communications device, the
potential for cheating is probably greater than it's ever been. But the
casinos are fighting back with technology of their own.
The rise of blackjack and the counting computer
Arnold Snyder has known plenty of savvy players, even been one himself. A long-time professional gambler, he's the author of The Big Book of Blackjack and publisher of Blackjack Forum Online.
Blackjack’s a particularly interesting game, Snyder says, because for a
long time it wasn’t very popular. At the end of World War II, when the
Nevada casinos (then the only legal gambling joints in the country) were
first building their business, they featured row after row of dice
tables. G.I.’s fighting in the trenches threw craps, because dice were
durable and waterproof. When they returned stateside, they brought their
love of the game back with them. Blackjack, in contrast, was a niche
game.
That all changed in 1962, when Random House published Edward O. Thorp’s Beat The Dealer: A Winning Strategy for the Game of Twenty-One.
While an instructor at M.I.T., Thorp had used the school’s IBM 704
computer and a mathematical formula called the Kelly criterion to
develop his method for counting cards, providing a potential edge over
the house. It wasn’t much — perhaps 1% — but it made blackjack a
potentially lucrative game. Beat the Dealer became an
improbable bestseller, as thousands of gambling naifs imagined
themselves proud owners of a genuine get-rich-quick scheme. Most
overestimated their skill and determination, but flooded the casinos
nonetheless. Suddenly blackjack became big business.
One of those thousands was a Raytheon engineer and devout Baptist from Mountain View, California, named Keith Taft.
"Keith Taft was about 10 steps ahead of everybody back in the ‘70’s and
‘80’s," says Snyder. "He was astonishing. He's a legend."
Taft’s job at Raytheon involved integrated circuits. On a family
vacation in 1969, he happened to play a few hands of blackjack. He won
all three, pocketing $3.50 in profit. Though he’d never used it himself,
he remembered a little bit about Thorpe’s strategy from Beat the Dealer. One of his first thoughts about card counting was: couldn’t a computer do this?
At the time, the word "computer" still conjured up images of men in
white lab coats standing in front of reel-to-reel machines, clipboard in
hand. Intel’s first RAM chip appeared in 1970, followed soon after by
the 4004 and 8008 microprocessors. The first personal computer, the
little-known Kenbak-1, debuted in 1971, retailing for $750. (Forty were
sold.) The hardware that would power Taft’s wearable blackjack computer
had just begun arriving in the marketplace. He’d also moved into R&D
at Fairchild, which gave him the computing power to develop his
software algorithms.
Two years later, he had his blackjack computer, a system he called
"George" — 15 pounds of circuitry and batteries strapped around his
midsection, with wires running down his leg and into his shoe, where he
input card values with a pair of switches strapped to his toes. During
George’s first test run, a casino employee happened to place a hand on
Taft’s back, vindicating the decision to not strap the computer there.
Oh, and there was the battery acid that leaked through his shirt and
scarred his chest.
So began a decade and a half of tinkering. Taft and George did well
enough, despite some initial setbacks, and pretty soon the whole Taft
family was recruited for the project. They eventually teamed up with Ken
Uston, an ex-stockbroker turned blackjacker who imagined a bright
future of computer-enabled play....MUCH MORE