Since 2014, Schibsted has injected NOK 2.5 billion into a technology center in London, but the prestigious project has now been shelved.
Schibsted shelves technology center in London
Under the name of Schibsted Products & Technology UK Limited, developers were to build platforms and components for the media and classified companies in Schibsted reported Dagens Næringsliv newspaper.
The project was framed with great optimism during the company’s quarterly presentation for the third quarter of 2016, but under two years later the project will be shelved.
“After driving and testing for a while, we found out that the risk associated with this was too high and that it would be better to go for a sequential model” said Rolv Erik Ryssdal, chief executive officer at a presentation in Stockholm last week.
Converted to Norwegian kroner, Schibsted has injected nearly 2.5 billion through seven capital increases in England.
Now the remains of Schibsted Products & Technology are to be split up.
Some elements will end up in Schibsted ASA, the Nordic businesses under the leadership of Kristin Skogen Lund.