SBC News Voice of the Sports Betting Industry
Stockholm-listed Gaming Innovation Group (GiG) has has halted investments in developing its proprietary ‘GiG Games’ studio, with immediate effect.
The closure of the studio has been undertaken in order for GiG to reduce operational expenditures, whilst further returning the group to the core focuses of developing technology platforms and further igaming provisions.
In its statement, GiG details that the closure of its Games division will save the company approximately €250,000 per month in cash savings, once its full effects are realised.
Updating the market, Richard Brown, acting Chief Executive Officer of GiG, commented: “The decision to halt in-house content production is a strategic choice to facilitate full focus and resources on becoming the platform of choice for the iGaming industry.
“This forms part of recent strategic initiatives taken to reduce non-marketing related OPEX, together with our commitment to execution and bottom-line earnings. I would like to thank everyone who has been involved in building our own games for their contribution and dedication to the Company.”
The GiG Games vertical was founded in 2017 and led by Mathias Larsson as the division’s Managing Director. GiG Games had been established with the aim of developing unique IP gaming content to support the expansion of GiG’s network services for both industry B2C and B2B disciplines.
GiG maintains that it will continue to offer casino games to internal and external operators from third party providers.
Closing its statement, GiG informs that 25-people employed by GiG Games have received redundancy packages as a consequence of the closure. At present, the games studio will be provisionally maintained until the end of year trading.
