NYX Gaming Makes Major Deal With Big Name Operators
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For an online gambling software company in today's European market, the key is to get into as many individual markets as possible. However, it's easier said than done because of the way the market is segregated. Each country has their own market with their own licensing process, and not all markets are equally-profitable investments. NYX Gaming is a good example of a company that's been working to expand in Europe, and a recent deal they've made shows that they're making some serious ground.
Details of the Deal
The new deal that NYX Gaming has made is with the SKS365 Group and planetwin365 in Italy. These are some of the biggest operators in the country, and NYX will be providing them with casino and poker content for at least five years starting in the last quarter of 2015. This was achieved partially because NYX purchased eGaming Consulting, a company that provided planetwin365 with software previously. This type of strategic acquisition is one of the main tools for companies like NYX to gain a foothold in segregated European markets.
Online Poker Ecology
What's critical to realize about this deal is how much it does for planetwin365 and the SKS365 Group when it comes to online poker. Having access to large player pools is one of the key factors in an online poker room's success, and that's not just because more players mean more revenues. The point is that online poker has a certain ecology about how the tables are formed, how games are maintained and so on. What this means is that, for all intents and purposes, having 5,000 players is much more than five times as profitable than having 1,000 players, to give an example.
By increasing the reach of their online poker operations, this is going to be a major win-win type of situation for everyone involved. What's more is that it's a big win for Italian online poker players, who have strugged in recent years after the segregated player pools stifled their options. Overall, it's a big deal for NYX Gaming, a company that's been showing impressive and strategic growth in the past year, and it's a big deal for Italian online poker fans.