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The Gambling Battle for Governor of Kentucky

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In November 2023, Kentucky held its gubernatorial election, which pinned Andy Beshear, the Incumbent Democratic governor, against Daniel Cameron, the Republican state attorney general. The race was won by Beshear, who attained re-election by winning 52.53% of the vote, in an election that saw the best performance by a Democrat since 2011 and the worst by a Republican. However, it wasn’t the race that generated nationwide media attention as much as the monetary contributions both parties received to back specific interests. Notably, heavy gambling interests put big money on the election.

According to the available data, in 2023, Kentucky’s horse race tracks gave sizeable funds to the Democratic Governors Association (DGA), which forked over around $19 million to back Andy Beshear’s win. Per uncovered IRS reports, the DGA received $50,000 from Revolutionary Racing Kentucky, $200,000 from Kentucky Downs, and a quarter of a million dollars from Churchill Downs in the latter half of 2023. That said, Daniel Cameron’s campaign also got a gambling fund boost, as it was revealed that the Republican candidate obtained $362,000 in contributions through the Republican Governors Association (RGA) from Georgia-based gaming machine manufacturer Pace-O-Matic in 2023 to fuel Cameron’s $12 million bid for governor.

Thankfully, both the RGA and DGA must disclose their expenses and donors to the IRS, which supplies the public with much-needed transparency regarding whose interests governor candidates will seek to look out for. Aside from gambling entities, both Cameron and Beshear noted backing from energy, health, and financial companies. Nonetheless, the gambling total came to somewhere in the neighborhood of $30 million, an impressive sum.

Differing Gambling Interests in Kentucky

As noted above, Kentucky horse race tracks supported Beshear’s second term by providing considerable donations to his campaign. That happened primarily because Beshear legalized sports betting in the state. The bill he passed allowed tracks to open retail lounges that accept wagers on sporting events. Thus, in September 2023, the Governor was the first to place a bet on an athletic competition in Kentucky. He laid a $20 parlay on two home-state college teams at the Churchill Downs track, citing this is the type of entertainment Kentuckians have been looking for for years. He added that allowing this activity will only boost local tourism and make people stay in Kentucky and not flee for Vegas once the NCAA March Madness tournament rolls around.

It should be said that once, the state’s multiple tracks, Cumberland Run, Ellis Park Racing & Gaming, Red Mile Racing & Gaming, Turfway Park Racing & Gaming, Oak Grove Racing & Gaming, Churchill Downs, and Sandy’s Racing & Gaming, established their brick-and-mortar sportsbooks, they also began exploring possibilities branching off into other types of gambling.

So, on one side, the Democrats got chiefly backed by the tracks in Kentucky. And the Republicans got aid from Pace-O-Matic, a company whose twenty-five hundred Burning Barrel games got shut down in June 2023, on the claim that they violated Kentucky law, which does not allow games of chance, even though Pace-O-Matic classifies them as ones of skill, citing that their nature does not cause any conflict with the state’s legislature.

Still, the manufacturer’s machines, widely available across the commonwealth at gas stations and bars, got disabled. That occurred by the rule of law from Governor Beshear, who signed the bill that banned them, proclaiming they feature no regulation, bring in zero in taxation, and only exist to take away hard-earned dollars from Kentuckians. However, venue owners throughout the state have rebelled against the move, stating that these machines help keep them in business, as the money they receive from hosting them is enough to cover their utility bills.

Hence, from everything explained above, it is clear that Beshear is interested in keeping his supporters happy by eliminating their gambling competitors, who looked to back someone else to take his place and change the laws to their benefit.

The Online Casino Situation in Kentucky

While Internet sports wagering is booming in the US, the same cannot be said of interactive gaming, as only seven US states have chosen to permit such gambling sites. Kentucky is not among them, as KY online casinos cannot be run from within the state’s borders. That said, for years, residents have been able to use internationally-regulated platforms based in foreign lands for game-of-chance fun.

Proposed lawsuits filed in Kentucky’s Eastern District in August of 2023 have raised eyebrows regarding whether this entertainment form is still available to Kentucky’s citizens due to a Lawrenceburg resident, Billi Jo Woods, suing Bovada and Bodog (Morris Mohawk Gaming Group), reputable offshore operators for violating state gambling law.

In the proposed suit, Woods alleged she had lost substantial amounts of money gambling at Bovada/Bodog-operated hubs and is calling about a 19th-century law that declares that Kentuckians can file legal actions against operators who they believe have unlawfully taken funds from them. The grounds for Woods’ suit is that the Morris Mohawk Gaming Group offers online casino gaming to the state’s citizens despite the state not legalizing this activity. Few believe this action will produce meaningful results for Woods, as loads of Kentuckians still use offshore platforms to satisfy their gaming needs.

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WA.Technology Announces Membership with AIEJA in Mexico

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WA.Technology has successfully become an official member of AIEJA, the esteemed Mexican Association for Permit Holders, Operators, and Suppliers of the Entertainment and Gambling Industry.

Axel Antillon, Regional Director of LATAM for WA.Technology, expressed his enthusiasm for this new partnership, stating, “Joining AIEJA not only strengthens our foothold in the Mexican market but also aligns us with the top industry leaders dedicated to promoting transparency and innovation. This membership is a testament to our commitment to delivering secure, high-quality gaming experiences.”

AIEJA plays a crucial role as a civil association aimed at fostering a collaborative environment where members can enhance their dialogue capabilities. This association is instrumental in highlighting the entertainment and gaming sectors’ economic, tax, and social contributions to Mexico.

The association’s collective efforts are focused on advocating for responsible practices within the industry, pushing for legislative reforms concerning the General Law of Gaming and Lotteries, safeguarding against potential unfair practices, and endorsing equitable labour conditions for both direct and indirect employment opportunities created by the sector.

WA.Technology’s deepening commitment to the Mexican iGaming market is reflected in its decision to join AIEJA. This membership assures operators of robust support in their market entry decisions, offering them a secure, efficient, and compliant integration into the Mexican market. Membership also verifies that WA.Technology adheres to all necessary security measures, cyber protection, and development protocols, ensuring their products meet the highest quality standards.

As a key supplier in the region, WA.Technology reinforces investor confidence and consumer trust by aligning with local regulations, best practices, and control measures.

 

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XSOLLA RELEASES QUARTERLY ​ INSIGHTS REPORT ON THE FUTURE OF GAMING AND GAME DEVELOPMENT: A PRELIMINARY ANALYSIS OF SPRING 2024 METRICS AND UPCOMING TRENDS

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Key trends include the fast-growing mobile gaming segment, the impact of recent regulations, the integration of blockchain and AI, and the investments in equity and inclusion across the gaming industry.

Xsolla, a global video game commerce company, published the Spring 2024 edition of “The Xsolla Report: The State of Play” today. Launched on the heels of the Game Developers Conference (GDC) 2024, this extensive report provides invaluable insights into the emerging trends and pivotal shifts impacting the gaming industry in the short and long term. ​ It sets the stage to significantly shape the future of mobile gaming, deepen academic connections within the gaming ecosystem, and redefine investment patterns.

In an era where mobile gaming commanded a 49% share of the global market in 2023, this edition of “The State of Play” sheds light on the evolving landscape of mobile gaming. The report navigates through the advancements in global compliance and regulation, including the Digital Markets Act in Europe’s new player engagement strategies, offering a glimpse into the potential future of mobile gaming monetization and distribution. It discusses the impact of cross-platform play and the importance of innovative monetization models, providing actionable insights for developers and industry stakeholders.

“The State of Play” emphasizes the importance of academia in the growth and diversification of the gaming industry. It explores how educational programs and initiatives develop talent and promote diversity and inclusivity within the gaming community. This edition underlines the symbiotic relationship between the gaming industry and academic institutions, highlighting programs that significantly impact students and the industry.

Berkley Egenes, Chief Marketing and Growth Officer at Xsolla, comments: “As we introduce the latest edition of ‘The State of Play,’ we’re not merely sharing industry insights but advocating for a transformative vision: Equal Access for Everyone. This initiative goes beyond our commitment to innovation and growth within the gaming industry. It’s about breaking down barriers to ensure that every developer, regardless of company size, has the opportunity to showcase their creativity and reach a global audience. Our focus is on providing platforms and tools that foster creative opportunities, international exposure, and the development of unique projects, ensuring that the future of gaming is accessible to all. We aim to empower every player and developer worldwide, ensuring the gaming landscape is as diverse and dynamic as its community.”

The report offers an in-depth analysis of the gaming industry’s current investment climate, including funding trends, mergers, and acquisitions. It outlines the shifts in investment patterns, from the heights of the pandemic-induced boom to a more measured approach in 2024. “The State of Play” provides a roadmap for navigating the industry’s financial aspects, offering insights into strategic investment opportunities and forecasting future trends.

Featuring expert commentary from industry voices like:

  • Mukul Aurora, Co-founder of Appsoleut Games;
  • Mariusz Gasiewski, CEO of Mobile Gaming and Apps Lead at Google;
  • Karla Reyes, Founder and Studio Director,

Anima Interactive, the Xsolla Report: The State of Play is now available for complimentary download. To secure your copy and gain invaluable insights into the gaming industry, visit our website.

 

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TIPICO CROWNED 2024 SBC RISING STAR OF THE YEAR

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Tipico, a leading sports betting and iGaming operator, has been named the 2024 SBC Rising Star of the Year. The honor was announced and presented to Tipico at the fourth annual SBC Awards North America, held at the Hilton Midtown in New York City on May 9, 2024.

Tipico was selected for its pace of growth and innovation, differentiating with proprietary technology built entirely in-house to personalize the online sports betting experience. Since January 2023, the brand has increased app processing speeds by 56% and increased app withdrawal speeds by 733%.

Since its US market entry in 2020, Tipico has leveraged its operational advantages to launch several new product features, promotions, and strategic partnerships across its operating states. Additionally, the company recently revamped its New Jersey-based proprietary casino platform to complement its sportsbook offerings with a focus on customer retention and cross-promotion.

“I am so proud to see Tipico recognized at one of the industry’s most prestigious events,” said Adrian Vella, Tipico US CEO. “Our team’s collective vision since we entered the US market four years ago was to disrupt the online gambling landscape with tech-powered, customer-first solutions. We’ve grown into a resilient organization with passionate colleagues, and so many of them helped us reach this milestone. With this achievement, we’re reminded of the remarkable journey we’ve undertaken together.”

The SBC Rising Star of the Year award is judged based on rigorous criteria, including operational efficiency, market growth, innovative marketing strategies, the introduction of unique features, commitment to responsible gambling, and customer satisfaction.

Tipico has also been recognized by Eilers and Krejcik Gaming (EKG) for its sportsbook and casino platform operations. Tipico Sportsbook ranked fourth in the nation in In-Play Betting in EKG’s July 2023 Product Analysis Report. Additionally, EKG tested and ranked Tipico Casino as the top casino app in the nation in September 2023, recognized for its clean, intuitive, and fast UX.

For more information on Tipico, please visit the website.

 

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