Posts Tagged ‘playtech software’

Playtech Acquires GTS, Expanding into Online Skill Gaming and Sports Betting

Tuesday, December 8th, 2009

GTS Games at Playtech

In what appears to be a strategic move in several directions at once, Playtech Software will be acquiring reputable turnkey skill gaming software provider, Gaming Technology Solutions (GTS). Disclosed in a press release, Playtech will be purchasing all GTS assets for an initial price of €10.8 Million, with an additional consideration of €10.8 Million (€21.6 Million total), pending future incoming revenue generated by GTS’s established skill gaming network.
Playtech’s CEO, Mor Weizer, revealed the deal is a strategic move, stating the agreement with GTS “will enable us to work with a true open platform and integrate new games seamlessly. We have been looking to enhance our open content capabilities, and in effect become an aggregator of quality gaming content.” Furthermore, this particular foray will allow Playtech to quickly expand in newly regulated online betting markets, as well as soon-to-be regulated markets, such as France and Italy, albeit the aforementioned both have a ways to go in implementing effective protocols for regulating online gambling.
But this has always been Playtech’s Mode of Operation, so to speak – tap into burgeoning sectors of the online gambling industry before anybody else. They were able to do it in the mobile gaming sector (along with Microgaming), live dealer betting, and they were one of the only non-Asian company’s to get their fingers in the Asian betting market (although China is now looking to be less liberated than originally thought). Weizer reinforced this mission, stating, “The acquisition of GTS brings Playtech nearer to having a full complement of egaming solutions, supplying the major gaming verticals, and lacking only a significant sportsbook offering.”
But the lack of a significant sportsbook offering will soon be a thing of the past. Earlier this year, Playtech acquired the sports technology company, Player2Players, and is currently developing a software platform to market to clients in the not-too-distant future. This is precisely why the GTS acquisition is a strategic move in several directions.
Besides the fact that Playtech is expanding into the skill gaming sector, which offers increasingly popular online tournament style games like Gin Rummy and Backgammon, Playtech will be using the GTS acquisition to woo some of the largest European online sports betting companies who currently use GTS’s skill gaming platform. Having a relationship with operators like Bwin and Unibet, by default, Playtech’s likely strategy will be to expand their relationship with said betting operators by means of the comprehensive betting solutions offered by Playtech, including their mobile online casino games and live dealer gambling.