The UK Gambling Commission (UKGC) recently raised questions about the legitimacy of some of Bet-at-home’s operations, leading the gaming operator to call it quits on the UK market. That was the latest blow the company suffered, and it is now handing out pink slips as it tries to stabilize its operations.
The Bet-at-home-branded stadium at Sport Zentrum in Austria. The gaming operator continues to reduce its footprint following a series of setbacks. (Image: Sport Zentrum)
Bet-at-home, which was founded in Austria, is planning further staff cuts in the country as part of outsourcing technology components. In addition to its troubles in the UK, it has had difficulty in its home country, as well, leaving the market last October because it didn’t have a license there.
The company announced on Wednesday that it expects to lay off 45 people, 43 of them at the office in the city of Linz. The company has stated that it has a total of 168 employees, 146 of whom are active in Austria.
Downsizing Amid Upturn
There are concerns that the world is entering, or has entered, a recession and many gaming operators are feeling a pinch. However, most are finding ways to push forward and grow their businesses.
Bet-at-home isn’t as lucky. Last year, it eliminated 65 jobs in Austria, where Bet-at-Home is struggling with falling results and legal hurdles. There, it now only offers sports betting. In addition, it also exited the Swiss market.
The latest cuts primarily affect the IT division. However, Bet-at-home says it is confident they won’t have to spend much time looking for new work.
The company, which now calls Düsseldorf, Germany home, wants to outsource the development and operation of the payments platform and customers, as well as the online sports betting product. In addition, it wants to use outsourcing to focus on marketing and customer relationship management in the future.
In terms of trading, the company expects positive effects from the restructuring. This year, the result will not yet be visible on the balance sheet. However, the Board of Directors expects an annual improvement in group EBIT (earnings before interest and taxes) from €6 million to €8 million (US$6.13 million to $8.17 million) beginning next year.
EveryMatrix to Boost Bet-at-home
In order to put it on track, Bet-at-home has turned to EveryMatrix. The iGaming technology company will provide the operator with a turnkey gaming solution that will replace its current proprietary platform.
EveryMatrix will deliver a platform that includes sports betting and casino gaming, player and payment management and affiliate software. The agreement covers all of Bet-at-home’s active jurisdictions, including Austria and Germany. However, the operator didn’t specify how quickly it would complete the transition and didn’t specify when it would begin.
The partnership also gives EveryMatrix more customers for its OddsMatrix Data Service. As the sports betting industry evolves, bettors want more information more quickly.
OddsMatrix offers sports data feeds and APIs that deliver real-time odds, scores and settlements. As a result, bettors receive virtually instantaneous updates wherever they are.
Bet-at-home needs to save money wherever it can. It still faces a lawsuit from former customers in Austria that want their money back. They sued the company after its departure, arguing that its illegal status in the country gives them the right to seek reimbursement for their losses. That amount, according to Bet-at-home, is around €11 million (US$11.22 million).
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