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Jan
26th

Playtech Eyes US Gaming Market

Playtech is a gaming software company founded in 1999. Since then Playtech has become a leading supplier of software to internet bingo and gambling sites. Playtech’s products include internet bingo, poker, sports betting and scratch off games. Playtech also offers mobile gaming, live dealer poker games and arcade games. After the passage of the Unlawful Internet Gambling Enforcement Act in 2006 Playtech’s stock suffered a one day fall of 40%. Since then Playtech has recovered its losses and then some. Sometimes history moves in strange ways and recently it was revealed that Playtech is actively seeking partners in the United States.

According to Reuters Playtech is holding talks with several potential American business partners. A recent Justice Department ruling has cleared the way for states to offer internet gambling to residents. Playtech anticipates the reopening of the lucrative American internet gaming market. What does this mean for American internet bingo players? Since the DOJ said that only sports betting is illegal states will be able to offer internet bingo games along with poker and other casino games. Playtech software powers several top internet bingo sites in the UK.  Playtech also operated their own internet bingo network and offers 75 and 90 ball bingo along with other bingo variants.

Playtech CEO Mor Weizer told Reuters “We have lots of potential customers that approached us or that we approached that would like to have us as their suppliers of online gaming products when the market opens up. There is a lot of work being done behind the scenes in various states by various local authorities. We have people on the ground now in the U.S. working with us in order to monitor all these processes.” Playtech said it sees increasing opportunities as more countries liberalize their internet gambling policies. Recently the company announced it was restructuring its deal with Scientific Games to provide internet poker in the state of California.

Playtech has also announced a series of strategic partnerships that will allow the company to enter new markets. Playtech purchased a 49.99% stake in a joint venture with Gauselmann which is the parent company of German gaming manufacturer Merkur. The company is betting that German regulations regarding sports betting will be eased. Playtech has also entered into a 50/50 agreement with South African casino operator Peermont and plans to offer sports betting in the African nation. In addition to Playtech several companies have expressed interest in the lucrative American internet gaming market. Despite the law the American online bingo market is still the largest followed by the UK. Internet bingo players in the United States may be able to play high quality games legally by the end of the year.