Things like BetFair let you place bets both sides (unlike some shops like Ladbrokes where you are betting against them). This allows you to track the current betting prices and create situations where no matter the outcome you can make money.
There are a few places on the net explaining this in more detail.
As a programmer working in games. I am afraid that what you say about getting into being hard without connections just isn't true. It is something I see written about a lot. The truth is that if you are a good programmer, comfortable working in C++ and can work in a team you will have no problem getting a job in games, connections or not. In fact, that is how most people I know in games got into games, myself included.
There are problems of exploitation of the workers but this isnt through people scared of getting work, I think everyone with a few years in the games industry knows they have the skills that would help them get another programming job without too much hassle. The problem is that people are passionate and that is being exploited in some places. The trick is find the good games companies and stand your ground on salary and working hours, admittedly this is probably easier in the UK than the US.