Inside Bragg Gaming’s High-Stakes Week

Bragg Gaming Group charged into the first week of 2026 intent on a strategic reset that combines near-term cost discipline with an aggressive push towards AI. And that was early in the week; by Friday, it had announced a new PAM deal with Entain that sent the stock up more than 15%.

The Toronto-based iGaming content and platform supplier said Thursday that it would reduce headcount numbers by around 12% globally and expected to see savings of more than $5 million annually from both staff reduction and the cutting of lease expenses.

Management made it clear that the cuts aren’t a pullback from growth but a recalibration as it begins to look towards a more heavily AI-dependent future. Though certainly, rising regulatory costs and higher gaming taxes in many jurisdictions, along with intensifying competition amongst suppliers of its size, probably forced Bragg’s hand a bit sooner than it might have liked.

Bragg intends to continue to expand its footprint across the US, Europe, and Latin America, markets that still offer scale but that will demand heavier operational and compliance support. It believes that by resizing now, it can retain profitability as it invests in a much more automated and technology-driven operating model. CEO Matevz Mazij has been clear on his belief in AI-enhanced products and workflows moving forward.

AI-Centric

On Monday, the company kicked off its momentous week with an announcement that it would partner with Golden Whale Productions, a specialist in iGaming data science and machine learning. This collab is built around Bragg's concept of an “AI brain”—an intelligence agent that will sit across not only its Player Account Management (PAM) but also content distribution and even engagement tools.

Tying together the predictive models that Golden Whale has brought to market, Bragg hopes to automate and optimize for jobs that once required large amounts of manual input. One example is the ability to forecast player revenue over periods from one month to one year and the capability of triggering personalized retention or reactivation offers in real time. The hope here isn’t just lower overhead but also decreases in bonus spending, all with better operational results.

Bragg’s aggressive timeline of being an “AI-first” company by 2027 may have also triggered its busy week. Its stated goal of 90% of new product launches incorporating at least some AI features and more than 75% of internal workflow supported by AI means it has little time to waste.

Balance

While it is certainly time-constrained if it wishes to hit its ambitious goal, the company has proven with its Friday Entain deal that it will continue to service and expand key commercial relationships during this process.

The deal in the Netherlands will see Bragg provide its PAM, content aggregator, and sportsbook piece to Entain’s BetCity.nl. While the deal is only a 90-day transitional contract while Entain evaluates its options, it shows that Bragg is still out there positioning itself as a valuable technology partner that can support major operators, even if it’s for a shorter duration time frame.

Bragg has also continued to strengthen its distribution model with its two key components: the Powered by Bragg studio as well as its Hub Platform. It continues to provide a route to market for third-party studios while rapidly growing its own in-house brand. This means addressable revenue without higher costs, and it fits neatly with its AI-focused approach in the medium term.

Near Term

While the company has plans for the long term and projects in place for the medium term, in the very near term, it has said that it will shortly provide much more detail on its newest operating model and its 2026 strategy, as well as unaudited 2025 results, in the coming weeks. Investors will be watching the next couple of quarters closely for signs that the Golden Whale integration is going smoothly and that the AI focus is beginning to show in margins without degrading service.

Obviously, the stakes here are significant. Should it execute, Bragg emerges as a much more efficient supplier, one that leverages automation and AI to allow online casinos to build deeper operator relationships with their guests, and lets them stand out in a more and more crowded iGaming ecosystem. But if integration falters or the dreaded regulatory friction raises its head, well, that hoped-for path to margin recovery might be more elusive. In any case, Bragg has made it very clear this week that it has started down this path; it will be interesting to see where it leads.