State of Play: Ace Casino is making a strategic comeback in Alabama, Georgia, Maryland, and Tennessee as California prepares to ban sweepstakes-style casino gaming.
This move underscores the industry’s need to adapt and explore new revenue streams as significant regulatory changes emerge.
Ace Casino’s return to Alabama, Georgia, Maryland, and Tennessee marks an important shift for the sweepstakes casino sector in the US. After previously withdrawing from these four markets, the operator’s re-entry comes ahead of California’s ban on most sweepstakes casinos, which takes effect on January 1. Following Gov. Gavin Newsom’s signing of the bill, many are left wondering what’s next for the sweepstakes casino industry. For those within the industry and those outside it.
This ban is projected to result in a nearly 20% reduction in the market’s revenue, prompting operators to reassess their strategies and the states where they offer their sites. This will be an ongoing assessment, as well as bracing for other states to take similar action on the controversial sweepstakes and social casino industry in this country.
New opportunities for sweepstakes casino players
Ace’s removal of these states from its exclusion list between spring and late September indicates a trend where companies are re-examining their positions to minimize losses from California’s exit.
The re-opening brings about several opportunities for US players, especially as the combined populations of the four states where Ace Casino is returning total approximately 29.9 million people. While these states offer a smaller market compared to California, where the total population and revenues are obviously unmatched, they provide a chance for operators to recover some lost ground.
However, states like Alabama present considerable challenges for sites like Ace due to strict anti-gambling laws, while Tennessee, Georgia, and Maryland have variable regulatory landscapes. Recent legal decisions, such as a dismissed lawsuit in Georgia, could further embolden operators; yet, risks remain, particularly related to enforcement in states with evolving gambling regulations.
Pushing sweeps casino boundaries
Looking ahead, players at sweeps casinos can expect continued expansion efforts from Ace Casino and similar operators as they navigate the post-California landscape.
The industry may see further, and similar, entries into markets previously abandoned, relying on the hope that class actions and regulatory challenges will not be as severe as they had anticipated.
For now, operators are adjusting to a climate where the willingness to push legal boundaries could reshape the future of sweepstakes casino gaming in the US.
Based on reporting by World Casino Directory.