Yeah, I thought this was obvious. All prize games have a certain payout and often set up in such way that their appears to be skill. There is to a degree but really it is all percentage based. That is how arcades make money. Not to mention, most of the winnable prizes are cheap. I was actually once thinking of owning an arcade business.
In my area it is regulated by the gaming commission as a pseudo-gambling device.
95% of gamers don't know they are noobs, the 5% who do won't be noobs for long
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