Microgaming To Close Bingo Network
Microgaming has confirmed the closure of its bingo network. The move comes only six months after it announced the closure of its online poker network. Online casino content is now Microgaming’s sole focus.
Bingo used to be a decent money earner for online sites, but revenues have dwindled in recent times. Microgaming boasted of eight sites on its bingo network, including some huge brands. Betsson, Danske Spil, Betway, and British casino 32Red are all part of Microgaming’s bingo network.
“An extensive strategic review” of its products led to Microgaming executives deciding to pull bingo’s plug. A spokesperson for Microgaming said:
“We notified affected operators in January and we have been working with them closely to minimise disruption. For reasons of confidentiality, we cannot confirm the names of those operators nor, as we are working with those customers on the closure plan, exactly when the network will shut down.”
The closure comes only nine months after Leon Thomas joined Microgaming as the managing director of bingo. The eGaming sector holds Thomas in high regard. He gained experience with the likes of bwin, Caesars, Rank, and Tombola. Bingo continued to struggle even with Thomas’ guidance and a closure is the only remaining viable option.
Microgaming Poker Network Closes May 19th
The decision to close its bingo network comes only six months after Microgaming announced the shutdown of its online poker network.
Microgaming’s poker network, now known as the acronym MPN, fully closes on May 19, 2020.
MPN has been in business for 17 years. It was called Prima Poker Network when it launched on March 18, 2003, before rebranding to the Microgaming Poker Network in May 2006.
Spreading stakes as high as $200/$400 led to the network being the home to the biggest online cash games. This was at a time when $25/$50 was almost unheard of. Players including Johnny Lodden and Viktor “Isildur1” Blom cut their teeth at MPN before becoming stars of the game.
News broke of Microgaming closing its poker operations in September 2019. Rumours had circled for a while, but officials of the MPN confirmed them as true. The date of the closure wasn’t set when the official statement came through, much like here with the bingo announcement.
John Coleman, CEO of Microgaming, revealed the reasons for closing the MPN.
“The network model no longer fits with our strategic vision for poker, and this is the right time to announce the closure as we focus on redistributing key resources and personnel across the business. While the network will be closing, this is not the end for poker at Microgaming, which is driven to create the most enjoyable entertainment experiences, leading the way with world-class gaming content. Ultimately, this move will help the business to achieve that vision as we follow a new strategic direction for the vertical, details of which will be revealed in due course.”
May 19, 2020, is the official MPN closure date.
Business To Focus Entirely on Online Casino Products
The decision to close its bingo network is no major surprise to those in the industry. There isn’t one online bingo site in the world that hasn’t see a revenue decline. The same is true for the vast majority of live bingo halls around the world.
Closing bingo and poker allows Microgaming to concentrate on its casino business. Microgaming has its own online casinos and provides software to hundreds more. The company created the first genuine online casino and is a market leader.
Jackpot pokies are Microgaming speciality and they often payout massive amounts. Its pokies paid out more than 1.1 million progressive jackpots in the first six months of 2019. Those jackpots totalled almost €90 million ($149 million).
Microgaming has paid out more than €1.1 billion ($1.82 billion) since its creation. Now it’s concentrating purely on casino products, you can bet your bottom dollar we’ll be seeing many more Microgaming jackpots.