Playtech and Scientific Games strike deal

UK gaming software provider Playtech has taken a significant step into the global lottery market by signing a deal with the US-based gaming services provider Scientific Games.  Playtech and New York-based Scientific Games will jointly develop and market internet and land based gambling products and services to gambling operators in the US and overseas.  The deal will see Playtech's business-to-business internet software and content combine with Scientific Games' government-compliant gambling equipment and instant tickets.  Via an exclusive joint venture, Sciplay, the two companies will provide a complete suite of internet games including casino and poker, to be complemented by other services such as hosting and payment processing.  The deal will give London-based Playtech, which provides software to the online gambling industry, a firm foothold in the state lottery market, as well as a boost to its Videobet fixed-odds betting machine business.  As governments begin legislating online gambling markets, state lottery operators are beginning to provide online poker, bingo and casino and other internet gaming options in order to remain competitive.  Scientific GamesÔÇÖ state lottery customers include the UKÔÇÖs Camelot, the Chinese government and states across South America, the Far East and Asia. It also supplies lottery systems in 31 US jurisdictions.  Playtech will also work with Scientific Games to supply video betting terminals, which will see 13,500 of PlaytechÔÇÖs Videobet terminals installed in UK betting shops.  Mor Weizer, CEO of Playtech and Mike Chambrello, CEO of Scientific Games together commented: "This is an important step for both companies. We have highly complementary skill-sets allied with a global reach and this partnership provides the opportunity to leverage off this combined know-how to maximum effect.  ÔÇ£This is an ideal partnership in many ways. Customers will benefit from best of breed content, sophisticated player management systems, and long-standing industry experience in providing highly secure, regulated, compliance-oriented services.ÔÇØ  They concluded: ÔÇ£The related gaming terminal partnership brings the potential for operators to enjoy a technology platform that is seamless, integrated and adaptable both to multiple delivery channels and cross-promotional opportunities."  The companies said the partnership won't significantly affect Scientific Games' 2010 earnings but will add slightly to Playtech's this year.  Scientific Games has customers in over 50 countries worldwide.