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System outages cost Tabcorp AU$10m in EBITDA

Tabcorp's customer services suffered from issues with its system and was offline over the weekend, costing the operator millions in lost wagering turnover.

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The impacted systems were TAB, Keno and Gaming Services and reportedly, the outage started at around 11:30 am AEDT on Saturday 7 November. Lost wagering turnover is estimated to have impacted EBITDA by less than AU$10m (US$7m). 

According to the released statement, the company did a preliminary assessment and found that “a smoke and likely fire incident at a third-party managed data centre in Sydney resulted in extensive damage to Tabcorp’s servers and associated infrastructure.” There is no evidence of a cybersecurity breach or any issues with customer data. 

NEXTDC, one of the facility operators for Tabcorp, confirmed it wasn’t an issue on their end. The spokesperson commented to iTnews: "We have had zero service interruptions at any of our data centres. All facilities have maintained 100 percent uptime." 

Tabcorp Managing Director and CEO David Attenborough said: “The outage was unacceptable. Tabcorp remains deeply sorry for this and acknowledges the significant disruption caused to our customers, the racing industry and venue partners.”

He assured the company deployed all available resources to restore the gambling entertainment experience for both customers and Tabcorp partners. 

As of now, the service has largely been restored. The focus is to ensure the systems returned to optimal service levels in the coming days. 

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