Online gambling company Playtech recently signed a deal with NASDAQ listed Scientific Games Corporation. This is a move that is part of the company’s preparation to re-enter the US online gaming market when it becomes regulated.
Playtech left the US market when the UIGEA regulation was passed in 2006, however it still remains one of the leading software providers in the world and their reinsertion into the US market could mean tough competition for already established gaming sites. Scientific Games has been working for government sponsored gaming operations by providing them with turnkey solutions and added value for almost 40 years.
The deal signed by the companues is composed of twomain statements:
- The first is the formation of a 50:50 joint venture called Sciplay, which will focus on the B2G online gaming market on a global basis. One of the most important target markets for Sciplay will be the US state lotteries. Sciplay will deliver to government customers a complete range of online gaming products like instant games, casino, poker, bingo, sports and skill games on a single platform. Sciplay will also offer marketing, advertising, promotional, operational and customer support services that will include hosting, payment processing, content management, customer relationship marketing and affiliate management. The solutions offered by Sciplay will totally comply with the regulatory requirements and will contain responsible gaming safeguards. Playtech and Scientific Games have appointed Richard M. Weil as managing director of Sciplay. Weil had earlier served as Vice President of International Sales for Scientific Games and had then joined Fun Technologies as President.*
- The second part states that Playtechâ€™s Videobet will develop gaming terminal software for Scientific Games and its subsidiary The Global Draw. One of the specific assignments in this regard is the up gradation of the existing 13,500 fixed odds betting terminals (FOBT) of The Global Draw in the United Kingdom to the Videobet platform. This part of the agreement also covers joint marketing opportunities globally for video lottery terminals (VLT) and FOBT and the development of next generation regulatory reporting and management systems for gaming terminals. Once these agreements are given effect Videobet will become the leading technology supplier to the United Kingdom online gaming sector.
We will keep you updated whether if this is to come into effect soon or not.