The Star Suffers Technical Glitch, Powers Down Slots and Electronic Table Games
Star Entertainment confirmed Monday that a planned upgrade of its three casino floors in Australia to enable cashless gaming caused a technical malfunction, resulting in slot machines and electronic table games being turned off. There is no word about when the games might be powered back on.
Star Entertainment owns and operates The Star Gold Coast, The Star Sydney, and Treasury Brisbane. The latter will close in the coming months when the all-new Star Brisbane opens on the banks of the Brisbane River.
To maintain our commitment to safer gambling procedures and providing the highest standards to our members and guests, Electronic Gaming Machines are currently offline,” a company notice on the casinos’ websites read. “We apologize for any inconvenience and will advise once normal operations recommence.”
Star said live dealer table games remain operational, and restaurants and bars are operating normally. Live entertainment also remains as scheduled. Player activity statements are currently unavailable.
The Star Sydney generates the most annual gaming revenue of the three properties. The casino has 1,490 slot machine and electronic table game positions and 140 live dealer table games.
Cyberattack Dismissed
Star told local media that concerns that a cyberattack was the reason for the operational disruption were without merit.
The Star’s systems have been disrupted due to system performance issues identified in post-upgrade testing, which resulted in the decision to switch off all Electronic Gaming Machines and Electronic Table Games in each of The Star’s three properties,” the company explained.
Star slots, or pokies as they’re commonly called Down Under, were turned off around 10:00 pm local time on Saturday, July 13. Star officials said the decision to disable electronic gaming was to “ensure compliance with relevant regulations and to maintain the company’s commitment to safer gambling procedures.”
The incident comes at a bad time. In the coming weeks, a government inquiry in New South Wales is expected to present its findings into whether Star remains suitable to hold a casino license for The Star Sydney. In May, the inquiry suggested that a finding of unsuitability is likely.
Star believes it should be found suitable after severing ties with its former CEO and Chair David Foster who was accused of “going to war” with the NSW Independent Casino Commission and Nicholas Weeks, who was appointed to oversee The Star Sydney’s operations on the commission’s behalf amid the inquiry.
Stock Decline
Amid its state inquiries, as Queensland in 2022 found Star unsuitable to hold its two casino licenses but allowed the company to retain the gaming permits with disciplinary action and assurances of regulatory compliance upgrades, shares of The Star Entertainment Group have plummeted. Traded on the Australian Securities Exchange, Star shares have lost over 85% of their value during the past five years.
Star and rival Crown Resorts are Australia’s two largest casino operators and dominate the country’s gaming industry. Australia is home to one of the world’s largest gambling participation rates, with about three in four adults gambling at some point each year.
The Australian Government’s Institute of Family Studies says nearly four in 10 adults gamble weekly, and nearly half of that demographic face some risk of gambling harm.
The technical issue at Star Entertainment's casinos, affecting slots and electronic table games, has also led to temporary unavailability of player activity statements. Despite speculations of a cyberattack, Star has dismissed these concerns, attributing the disruption to system performance issues following an upgrade.
The ongoing inquiry in New South Wales to determine if Star is suitable to hold a casino license for The Star Sydney is scheduled to present its findings in the coming weeks.
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