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Scientific Games and Allwyn Move Bold Plans Forward for UK National Lottery

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Company’s Key Milestones on Schedule and New, Modern UK Technology Facility Officially Operating

Scientific Games marks the official transfer of the UK National Lottery’s fourth license on February 1. Through close collaboration with partner Allwyn UK, Scientific Games has delivered strategically planned milestones to support Allwyn’s plans to grow The National Lottery responsibly and minimize environmental impact.

Positive momentum is underway with the opening of Scientific Games’ high-tech, 92,000-square-foot state-of-the-art scratchcard logistics facility in Warrington, UK to serve The National Lottery retailers. The facility features the company’s patented SciTrak technology, which includes predictive ordering and sorting systems that drive scratchcard supply-chain efficiencies and sales performance. The on time opening of the new facility brings new jobs to the industrial city approximately 20 miles southwest of Manchester.

The logistics facility is the first of many scheduled deliverables from Scientific Games that are planned as part of the company’s partnership with Allwyn. Allwyn’s transformation program includes, in time, the conversion of The National Lottery’s technology to Scientific Games’ advanced SYMPHONY enterprise gaming system and more than 40,000 retailer terminals. Additionally, through the partnership, Scientific Games will provide a new digital platform, and high-performance instant win games created by UK-based SG Studios as well as partner studios around the world via the SG Content Hub and Partner Program.

“We commend Allwyn on its vision for growing The National Lottery and substantially increasing returns to National Lottery-funded projects as a result. We’ve long-awaited this moment, made possible through a close, working partnership. Together, we’ve proven our ability to navigate challenges necessary to begin delivering sustainable and responsible growth to the UK National Lottery on time and across channels,” said Michael Conforti, President of International and Strategic Accounts for Scientific Games. “With more technology and products being deployed over the course of the license, this is going to be a very exciting time for The National Lottery, its retailers, players and beneficiaries.”

On February 1, as the exclusive scratchcard provider to The National Lottery, Scientific Games commences its world-renowned Scientific Games Enhanced Partnership program with portfolio planning advanced logistics and distribution of current scratch games alongside all-new, data-driven scratch games created and produced by the company. The scratchcards are produced at the company’s Leeds, UK facility, one of five production facilities for the world’s largest lottery games company.

“Our ambition is to offer more games, attract more players, inject more entertainment, create more winners and raise even more money for National Lottery-funded projects. Powering that ambition is a significant investment in our technology and operations as we modernize to secure The National Lottery’s future sustainability,” said Andria Vidler, CEO for Allwyn UK.

In addition to applying 50 years of best practices to game design and performance, Scientific Games is one of the first lottery companies to be globally certified to the Responsible Gaming Supplier framework established by the World Lottery Association. The socially conscious company has delivered on its promise of an environmentally focused facility in Warrington featuring solar and battery power, radiant heating system, all-electric lift equipment and energy- efficient lighting. Operations within the building employ energy-efficient and minimum waste-to-landfill recycling processes certified by Forest Steward Council standards. Scientific Games’ UK field service vehicles are all electric and the company uses an internationally recognized sustainable courier for deliveries to The National Lottery retailers.

With products that generate 70% of global instant game retail sales, Scientific Games is the world’s largest instant games creator, producer and services provider, serving 130 lotteries in 50 countries, including 19 of the Top 20 instant game lotteries (La Fleur’s 2023 World Lottery Almanac).

SciTrak™ and SG Content Hub™ are trademarks of Scientific Games. © 2024 Scientific Games, LLC. All Rights Reserved.

Compliance Updates

Pace-O-Matic Wins Landmark Texas Court Case: A Victory for Small Business Owners and Community Organizations

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Pace-O-Matic, the industry leader in skill-based games, today announced a significant legal victory in Texas, affirming the legality of its skill-based games. This ruling, issued Tuesday evening by State District Judge Laurine Blake, emphasized that such games are not considered gambling under Texas law. The ruling represents a triumph for small business owners, bar owners, and fraternal organizations who rely on these games to attract customers and support their businesses.

Michael Barley, Chief Public Affairs Officer at Pace-O-Matic, stated, “This ruling is a monumental victory for the small businesses and community organizations that have been able to thrive thanks to skill-based gaming. Our commitment to providing legal, enjoyable, and skill-based gaming options has once again been validated by the courts.”

This legal win underscores Pace-O-Matic’s dedication to fostering a responsible gaming environment while supporting local economies and community groups.

For more information visit Pace-O-Matic

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Gambling in the USA

AGA to Host State of the Industry Presentation, Release Report on Record-Breaking 2023 Commercial Gaming Revenue

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The American Gaming Association (AGA) will hold its annual State of the Industry presentation with AGA President and CEO Bill Miller today, February 20 at 11:30 AM ET/8:30 AM PT.

During the presentation, the AGA will release full-year 2023 commercial gaming revenue numbers, discuss gaming’s third consecutive record-setting revenue year, provide analysis on the current gaming landscape, and preview AGA priorities for 2024.

Media are invited to a press call immediately following the presentation for Q&A.

What: AGA State of the Industry: Gaming’s Look Ahead & 2023 Commercial Gaming Revenue Tracker Release

Who: AGA President and CEO Bill Miller and Vice President, Research David Forman

When: Today, February 20, 2024 at 11:30 AM ET/8:30 AM PT

Where: WEBINAR REGISTRATION | PRESS CALL REGISTRATION

For questions about this event or AGA’s Commercial Gaming Revenue Tracker, contact [email protected].

 

Background

AGA’s Commercial Gaming Revenue Tracker provides state-by-state and cumulative insight into the U.S. commercial gaming industry’s financial performance based on state revenue reports. This issue highlights full-year 2023 figures and Q4 2023 results. Tribal gaming revenue is released annually by the National Indian Gaming Commission.

35 states and the District of Columbia featured operational commercial gaming markets in 2023, including casino gaming, sports betting and iGaming.

AGA’s State of Play Map charts gaming’s economic impact, industry regulations and casino locations on a state-by-state basis for both the commercial and tribal gaming sectors.

 

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Gambling in the USA

2023 Commercial Gaming Revenue Reaches $66.5B, Marking Third-Straight Year of Record Revenue

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Industry Contributes All-Time High $14.4B in State and Local Gaming Taxes.

U.S. commercial gaming revenue reached an annual record of $66.5 billion in 2023, according to the American Gaming Association’s (AGA) Commercial Gaming Revenue Tracker. The total surpasses 2022’s previous high of $60.5 billion by 10 percent, marking the industry’s third-straight record revenue year.

The year was punctuated by all-time high quarterly revenue of $17.4 billion in Q4 2023, anchored by $6.2 billion in revenue in December, the highest grossing month in industry history.

“From the traditional casino experience to online options, American adults’ demand for gaming is at an all-time high,” said AGA President and CEO Bill Miller. “Sustaining our momentum will take unified industry efforts around combating pernicious illegal operators and growing responsible gambling efforts in tandem with the growth of the legal market—both of which the AGA is committed to lead on throughout 2024.”

The commercial gaming industry continues to evolve, with online gaming making up nearly one-quarter (24.7%) of nationwide commercial gaming revenue in 2023, a new annual high. Looking at each sector:

Traditional Gaming: Brick-and-mortar casino slots and table games grossed a record $49.4 billion in 2023, up 3.3 percent over 2022. On a state level, 19 out of 27 traditional gaming markets saw record annual revenue.
Sports Betting: In 2023, sports betting achieved new records for handle ($119.8B) and sportsbook revenue ($10.9B), up 27.8 and 44.5 percent respectively. This growth was largely fueled by continued maturation across most existing markets as well as several new markets, particularly in Massachusetts and Ohio.

iGaming: 2023 online casino revenue grew 22.9 percent year-over-year to $6.2 billion in the six states with full-scale legal iGaming.

In 2023, 12 of the top 20 commercial casino gaming markets reported revenue growth compared to the previous year, with the top market—the Las Vegas Strip—seeing the strongest year-over-year gains. New Jersey maintained its spot as the second-highest grossing market, while Chicagoland (third) flipped rankings with the Baltimore-Washington, D.C. market (fourth) and Mississippi Gulf Coast (fifth) rounded out the top five.

The commercial gaming industry also contributed more to state and local governments’ coffers than ever in 2023. Throughout the year, commercial gaming operators paid an estimated $14.4 billion in direct gaming revenue taxes, an increase of 9.7 percent year-over-year. The industry also contributes billions of additional tax dollars to states each year in the form of income, sales, payroll and various other corporate taxes.

“Gaming’s success translates directly to the success of the states, cities and towns in which we operate,” continued Miller. “We are proud to be in 47 U.S. jurisdictions, acting as economic drivers, creating jobs and providing the funding that makes critical public education programs, infrastructure projects, problem gambling resources and more possible.”

Miller will make additional remarks on full-year 2023 commercial gaming revenue figures and preview AGA’s priorities for the year ahead in AGA’s annual State of the Industry webinar on Feb. 20 at 11:30 AM ET/8:30 AM PT.

For additional information about (AGA) Commercial Gaming Revenue Tracker visit americangaming.org

For registration visit bigmarker.com

 

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