A new type of Internet betting site is being built and when it finally launches this summer the Argentina National Lottery will offer a unique jackpot lottery/sportsbetting game. The site will target residents of Argentina using software and enabling technology provided by Virtgame.com. Participation by American players will be refused.
Customers who visit the yet unnamed site can bet on various teams to win, lose or tie for 20 different soccer games or car races. The punter must correctly predict the finish of at least 17 of 20 contests to win the lottery jackpot. As the level of correct picks rises, so too does the amount of award increase. If no one wins the jackpot for a particular week, the prize money is tacked onto the following week's prize as part of a progressive lottery game.
The Spanish lottery-style betting site is being developed as part of an agreement between Virtgame.com and LCIN LLC, a subsidiary of Grupo Codere. Grupo Codere is one of the largest gaming companies in Spain, with land-based gaming holdings throughout Europe and Latin America. The deal is especially unique, according to Virtgame spokesman Bruce Merati, because the company is acting as an application service provider for Codere. Instead of the usual software package deal, he said, "we have an agreement to receive a fixed amount of money per month based upon the number of users. Virtgame is not participating in net win, which makes us unique in the industry. As far as I'm aware, no other company is serving as an application service provider for the online gaming industry."
Plus, since Virtgame discontinued its own online gaming operations, it doesn't compete with its customers, while acting as an ASP gives the company an advantage. "This way we're independent and not competing with our own clients." Merati added. "But, we have experience in running an online casino and sportsbook" giving them an edge in providing their customers with valuable advice and services.
In the days since it first opened, Virtgame has transformed into an ASP. The company originally worked as a software provider, similar to Boss Media or Cryptologic, yet decided that its path to future success lay elsewhere. Now the company is known for developing its eBorderControl technology that limits e-commerce to one jurisdiction or restricts access of users from a specific jurisdiction. At the same time, it has built its own comprehensive and scalable Internet lottery, casino and sports wagering software and applications that are customizable for private label use. Now, Virtgame is focused on working with land-based casinos and government-run operations to develop an online gaming site, Merati concluded.