HAS ORBIS CLINCHED THE WILL HILL SPORTSBETTING DEAL?

11 January 2008

Officials refuse to confirm industry rumours


Coming out with its second exclusive but as yet unconfirmed story on industry developments this week (see previous InfoPowa reports) eGaming Review claims that the UK online gambling software company Orbis Openbet is about to clinch a deal to provide a sportsbetting platform to William Hill group Internet operations.

The publication reports that Orbis is rumoured to be lead runner to provide William Hill with its new online sportsbook platform after the UK high-street bookmaking and gaming giant announced it was scrapping its own in-house programme.

Neither Orbis or William Hill sources would confirm the story.

William Hill outsources its poker, casino and bingo technology from companies such as CryptoLogic and Virtue Fusion.

The sportsbetting move is understood to have its roots in an independent review of William Hill's online sportsbook technology carried out late last year, which concluded that the group's NextGen technology program should be dropped in favour of an outsourced and ready-to-go solution. The move was likely to be expensive, with estimates of an exceptional non-cash impairment charge on the program to be abandoned of GBP 22 million, and restructuring costs of around GBP 4 million.

Overall performance at Will Hill has been strong, according to a trading update this week from the company which revealed anticipated earnings before interest, tax and exceptional items to be around GBP 285 million pounds ($558 million) in the year to January 1.

The internet business of the group, which accounted for about 12 percent of total group gross win, continued to disappoint in the face of strong competition and problems with the group’s legacy technology, reports DigitalLook.

Online Casino News courtesy of InfoPowa