Many have compared the inner workings of business
as a type of food chain or Darwinian hierarchy. Well, this story of success has
certainly done nothing to disprove such theories. A small video lottery company,
Spielo, has scored the enviable contract of replacing a minimum of 50% of the
Swedish lottery, Svenska Spel's, lottery terminals, which will bring in over
sixteen million Euros to the company over a five year period. This advantageous
deal was not just simply good luck for the lottery company, as the laws of
business were well at hand.
Spielo is a subsidiary of video gaming technology
company, GTech Corp., who has also entered into a five year contract with the
Swedish casino and lottery company, Svenska Spel. The contract entails that
GTech will provide content for an entirely new server-based gaming system, which
will eventually include up to 2,650 interactive video terminals, much like the
video machines found at online casinos. This even more advantageous contract
will bring in 21 Million Euros in exchange for the game software and the
hardware in the terminals themselves.
The chain does not end here, however. GTech is also
a subsidiary of the Italian owned lottery company known as Lottomatica.
Lottomatica's focus is well complimented by GTech's growing casino software
expertise. The Italian Lottery operator has been a leader in the industry for
dozens of years, and continues to evolve forward thinking innovations and
business practices that are encompassed by its well equipped subsidiaries.
There is no doubt this double contract with the
Svenska Spel will continue to spell Lottomatica's global casino gaming and
lottery presence, as well as its financial prowess with €1.7 Billion in revenues
this year alone. Of course, the buck does not stop there, for Lottomatica is
merely a subsidiary to the one-hundred year old media, publishing and financial
powerhouse, De Agostini.