Evolution rings changes as NetEnt Live is shut down
Operator clients experience downtime on NetEnt Live titles as closure of Malta-based studio leads to mass redundancies
Evolution has wasted no time in asserting its authority over NetEnt, having shed hundreds of jobs amid a total reorganisation of the business it acquired for £1.6bn.
Evolution took charge of NetEnt on Tuesday and immediately ignited a wholesale programme of office closures and personnel changes that could see more than 300 NetEnt employees made redundant.
EGR understands NetEnt’s table games development office in Krakow has been shut down, while the supplier’s Stockholm office has been halved in size and could close permanently next year.
All NetEnt roles in Gibraltar are also at risk.
The highest number of redundancies have come in NetEnt’s Malta office following the closure of the NetEnt Live live casino studio in Qormi, a matter of weeks after NetEnt launched its first-ever Baccarat live casino game.
Access to NetEnt Live was cut off at 10am on Tuesday morning.
Several NetEnt Live operator clients including Mr Green and 888 experienced downtime on NetEnt-branded titles and table games throughout the day.
According to Evolution, the restructuring measures – which extend to slot game development and business support – are expected to generate annual cost savings of €30m (£27m).
One NetEnt employee revealed the redundancies had been announced in a “cold and efficient” manner just 10 minutes into Evolution’s first presentation following the combination of the companies.
Evolution confirmed NetEnt Live had been shut down because it was unprofitable.
The live casino giant said: “Following the closure of Evolution’s acquisition of NetEnt, the process of closing the NetEnt offer for live casino services has been initiated. This includes its operations in the Qormi studio.
“As we are discontinuing the product line, the people working directly with this product are at risk of redundancy. The formal processes have been initiated in Malta.”
According to Times of Malta, a special government helpline has been set up to help the staff whose jobs have been cut weeks before Christmas.
Evolution has confirmed that NetEnt CEO Therese Hillman will leave the company after Q1 2021 after overseeing the transition of the business.
The Evolution portfolio now consists of four brands: Evolution, NetEnt, Red Tiger and Ezugi.
Evolution reported a 100% profit increase in Q3 as revenue jumped 48% to €140m.