Episode 2: Shifting away from legacy technology
With episode two we are continuing with the series on the topic “The Uberization and Glocalization of iGaming”. Here we focus on the important question that every operator in the iGaming industry should pose himself “Whether to move or not from legacy to third-party technology?”
The pace with which technology is changing and evolving has substantially increased in recent years. We are witnessing a rapid mobile and internet penetration on a global scale, which leads to businesses moving toward implementing advanced technology solutions with flexibility and scalability at their core.
And with the iGaming industry in no way secluded to this constant technological evolution, operators are at a crossroads of whether to continue pursuing legacy solutions or rely on the advanced third-party solutions that are shaping up the modern market.
Legacy technology considered a fallback
- Inability to take advantage of the new technology introduced
- High cost involved in developing the technology
- The problematics of finding the right people to develop this in-house technology
- Higher risk rate
Operators who at the root of their operations have legacy technology are now facing obstructions and limitations in terms of flexibility and scalability which are in accordance with today’s technological advances.
But the bigger hazard here is that if they chose to hold onto legacy solutions, they will certainly have to make a considerable investment which can result in facing a financial encumbrance and still not achieving the desired success. Additionally, when a business in under regulatory compliance requirements, which is the case in the iGaming scenario, the cost for maintaining outdated legacy technology can provoke a serious fallout.
Another major constraint for these operators who, although proficient in gambling terms, lack the proper technological background is the emerging need to acquire personnel with the required technical knowledge and expertise, which is no easy feat in itself with the industry characterized by a “talent poaching” between operators themselves.
Thus legacy technology can cause limitations to the potential success of the business, and the immediate future requires taking the important decision of embracing a more agile and feasible approach through third-party technology.
Third party technology seen as a step forward
- Cost reduction in terms of tech development
- Shorten the time-to-market
- Technology developed by IT visionaries
- Continuous technological updates
- Focused Strategy
- Risk Mitigation
By adopting third-party technology operators are in a position to take advantage of the deep technological know-how of IT visionaries that puts them in the advantaged position of having a product and/or service at their disposal that is always at the forefront. This is especially important for small operators who would be able to gain access to the most advanced technology on the market no matter the size of their operations or market targeted.
In the end, the elements which drive the market are rapidly changing and keeping legacy technology can increase costs and decrease the chances for success. A more flexible and scalable platform in contrast with a platform based on an outdated legacy technology can ensure brand uniqueness and ultimate player experience.
To learn more, download the latest industry report “Uberizing iGaming with a glocal approach” and wait for the third episode which will focus on the local and global approach.