The 888.com, one of the U.K.’s second-largest online casino company, that soared high to 14%. The company’s Dragonfish business-to-business unit will provide poker and casino services to Harrah’s in “a multimillion dollar” deal, 888 Chief Executive Office Gigi Levy said.
The deal that they have signed is to provide online services to a unit of Harrah’s group, thus it could be the way of a potential re-admission into the US market.
“Harrah's leasing of online software from 888 subsidiary Dragonfish shows an acceptance by Vegas gaming operators that buying software may be a better route than developing their own product.” said Jerry Boyle, a Las Vegas gambling observer.
“It’s going to be the big U.S. players that take advantage of the situation,” he said. “The easy entry for us, being that all these companies require infrastructure and services, is on the Business-to-Business side.” Gigi Levy said.
As Harrah’s, one of the powerful casino company in the world, has been lobbying the US Congress to consent to already licensed gambling operators in the US to take online stakes from US residents. 888 have seen this as an opportunity to come into possession of an earlier foothold in the US market if online gambling is legalized in the States.
The 888 will offer support services in gaming and payment software for Harrah’s World Series of Poker and Caesars Casino brands their support services in gaming and payment software within the UK. 888 are also deliberating about business contracts with other US companies, and they are not in the casino industry. They are also looking to make an acquisition for the business unit in the near future.
It was surprising that Harrah’s preferred to partner with 888 that has so far declined to seek a settlement with the Department of Justice over its operations in the U.S.
888 is also discussing additional business contracts with a “few other U.S. companies and not just in the field of casinos,” Levy said.
He also count upon making an acquisition for the business unit “in the coming quarter.”
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