Renowned game provider Pragmatic Play has confirmed its full withdrawal from the U.S. lottery market, stating that its products will no longer appear on any U.S. lottery platforms. A company spokesperson indicated that this decision was based on "regulatory dynamics and the evolving legislative environment."
It is reported that Pragmatic Play will cease to provide licenses to lottery operators in states that are not yet restricted. The spokesperson emphasized that the company will continue to adhere to the highest compliance standards and maintain transparent communication with regulatory authorities, while also continuing to evaluate new licensing opportunities to align with its long-term business goals.
The U.S. lottery model has long been controversial. For example, in California, Attorney General Rob Bonta has pushed for Bill AB 831, which aims to completely ban lottery activities, arguing that gambling in the state is limited to tribal lands. Similar regulatory pressures have previously emerged in New Jersey, causing divisions among tribal stakeholders.
Meanwhile, legal risks are escalating. Last week, Los Angeles City Attorney Hydee Feldstein Soto filed a civil lawsuit against operator Stake.us, accusing it of violating California's unfair competition and false advertising laws. Several suppliers to Stake were also named in the lawsuit, although Pragmatic Play was not involved, the case highlights the complexity and uncertainty of the U.S. lottery market.
It is noteworthy that Pragmatic Play has been offering online slot products in some parts of Canada, but has never directly engaged in iGaming business in the U.S. Whether it will enter the U.S. market through other verticals in the future remains uncertain. Industry insiders speculate that the withdrawal from the lottery market may be a prelude to the company reevaluating its North American strategy, and its subsequent deployment will depend on the further evolution of the licensing environment and business needs.
