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Bally’s to outsource tech stack


Land-based and online gaming operator Bally’s Corporation has announced sports betting supplier Kambi and PAM platform solution provider White Hat Gaming will power its sports betting services.

The deal, which consists of both online and land-based offerings, will see the providers supply the technological capabilities for sports betting to the business, as well as support the relaunch of Bally’s online sports betting platform Bally Bet.

The operator said that it expects Bally Bet to roll out across seven states and at four retail gaming locations by the end of 2023. The company further hinted that this may represent only the first stage of a global expansion.

Variable cost structure model

Through these partnerships, Bally’s said it wants to leverage Kambi and White Hat’s “proven” technology integration, licensing across regulated jurisdictions, end-to-end as well as the companies’ track record of executing “quick launches”.

The business said that another factor in why it has chosen to go down this route is that these partnerships will mean that the fixed cost structure of Bally’s previous in-house system would become a variable structure that will generate “significant cost savings and reduce risk”.

Bally’s said that these benefits, in addition to enhancing Bally’s retail and online sportsbooks, will better position the company to deliver near and long-term results to investors.

Bally’s chief executive Robeson Reeves said the business was “very excited” to have entered into the agreements with the two suppliers.

“Kambi provides an award-winning sportsbook that delivers unrivaled sports betting entertainment,” said Reeves. “By incorporating that with White Hat’s PAM platform solution, as well as our geographic reach, customer base, and marketing prowess, Bally’s will be optimally positioned to achieve significant scale and capture substantial market share in the global gaming market.

“This, in turn, will support our vision of becoming the premier, full-service, vertically integrated casinos and resorts, online sports betting, and igaming company.”

Access to Kambi source code

Under the terms of the Kambi deal, Bally’s will integrate Kambi’s suite of omnichannel product, trading capabilities, content solutions and “model driven approach” to liability management to deliver its sports betting services.

Bally’s also said that it maintains the option, pending the achieving of “certain material performance metrics”, to acquire a licence to a limited part of the Kambi’s onine and retail source code.

If Bally’s decided to exercise the option and pay an agreed sum, the two businesses would enter into a separate long-term outsourcing agreement in relation to Kambi’s range of modularized services.

“We are pleased to enter into this long-term partnership with Bally’s to enable the enhancement and expansion of its online and retail sports betting platform and services,” said Kambi chief executive and co-founder Kristian Nylén.

“Kambi is the proven global leader in sportsbook provision and I believe this powerful collaboration with Bally’s will deliver its customers the next generation betting entertainment they demand.”

Through the agreement, Bally’s will be supplied with its PAM platform solution. The system includes multiple features including a cashier, RGS integrations, managed services and a traveling wallet that has been built for “agility and flexibility” in regulated US markets.

White Hat’s PAM platform will also provide the operator with sports betting and casino content via a mixture of direct supplier and aggregator integrations through its casino module.

“We are excited to partner with an innovative gaming company such as Bally’s, whose vision for growth and diversification complements that of White Hat,” said White Hat CEO Phil Gelvan.

“We are confident that our core technology, including our best-in-class PAM solution, plus our managed service offering, will not only enhance the Bally’s experience and player engagement, but also support its expansion strategy.”

Outsourcing the company’s technology stack

The business said that the partnerships represent just the latest step in Bally’s long-term growth and development strategy. The operator emphasized that the deal comes “hot on the heels” of the business’s restructuring of its North American business segment.

In November 2020, Bally’s purchased sports betting platform provider Bet.Works for $125m. The acquisition saw the company’s technology stack support the operator’s online gaming services.

In November 2022, then CEO Lee Fenton said the company would be “evaluating” its money-losing US online business as the company focuses on a strict path to profitability.