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Pragmatic Play and Evolution Gaming abandon US sweepstakes casino market

A seismic shift hits US sweepstakes casinos as two giants pull out. Will operators survive the regulatory crackdown without their top content providers?

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2 min read
The image shows the entrance to a casino with a sign that reads "Casino" at the top of the image....
The image shows the entrance to a casino with a sign that reads "Casino" at the top of the image. There are a few people standing in front of the entrance, and the ceiling is adorned with lights. The floor is visible at the bottom of the picture, and there is a watermark in the bottom right corner.

Pragmatic Play and Evolution Gaming abandon US sweepstakes casino market

Pragmatic Play has announced it will exit the US sweepstakes casinos market, marking another major shift in the sector. The company confirmed the decision in a letter to partners, citing increasing state scrutiny and new legislation targeting the sweepstakes model.

The move comes as several US states tighten their stance on sweepstakes casinos. California's Anti-Sweepstakes Bill AB 831 has been a central example, introducing stricter rules against the model. These legal shifts have placed mounting pressure on suppliers, leaving companies with fewer options to operate compliantly.

Pragmatic Play stated that as of September 8, its content will no longer be available for sweepstakes gaming in any US state. The restriction in California, however, has already taken effect. The company assured partners that account management teams will assist in making the withdrawal as smooth as possible.

Industry analysts note that Pragmatic Play's exit reflects growing regulatory uncertainty around sweepstakes casinos. In recent months, operators and suppliers alike have been forced to rethink strategies as lawmakers question the model's legality.

Pragmatic Play US Sweepstakes Gaming Exit: Industry Impact and Market Reactions

Pragmatic Play leaving the sweepstakes market is not an isolated case. Evolution Gaming, another leading content supplier, has also bowed out of the sweepstakes gaming market in the US. Both exits highlight the seriousness of the legal challenges facing the sector.

With two of the largest providers stepping back, sweepstakes casinos in the US face a reduced content offering. This may affect player engagement and the overall competitiveness of operators relying on these games.

For the US gaming industry, the trend signals a wider retreat by international suppliers. While traditional online casinos operate in regulated states, the sweepstakes model has occupied a legally gray space. Now, with bills like AB 831 gaining traction, the market is narrowing rapidly.

Stakeholders believe other suppliers could follow, leaving operators to either pivot strategies or seek new partners. The ongoing changes underline how swiftly state-level legislation can reshape the gaming landscape.

Pragmatic Play's exit marks a turning point, as major providers retreat from sweepstakes casinos under increasing US regulatory pressure.

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