Pragmatic Play is pulling out of the US sweepstakes market completely. The Malta-based game supplier told Gaming America it won’t license content to sweepstake operators anymore.
This decision leaves Pragmatic Play inactive in the US for now. They might come back through regulated iGaming markets later, but that’s just speculation.
The company isn’t shutting down completely, though. They’re still expanding in Latin America and just partnered with TQJ to put their slots, live casino and virtual sports on the Bet do Milhão platform.
Why Regulatory Heat Forced This Move
California’s legal battle is making things messy for sweepstakes operators. Last week, someone filed a civil suit against Stake.us and several game suppliers.
Pragmatic Play wasn’t named in that lawsuit. But they still decided to get out before things got worse.
The company blamed “regulatory developments and evolving legislation” for their exit. They said they want to maintain “the highest standards of compliance.”
Bill AB 831 could ban sweepstakes in California entirely. That’s got the whole industry nervous.
What Pragmatic Play Is Actually Doing
The supplier is cutting ties with all US sweepstake operators in unregulated states. No more game licensing deals.
They’re keeping their existing licenses in other markets, though. A company spokesperson said they’ll “continue to explore obtaining new licenses” that fit their business goals.
This isn’t a permanent goodbye to America. Pragmatic Play might return through proper regulated channels if those markets open up.
But for now? They’re done with the gray-market sweepstakes business.
How This Changes the Sweepstakes Landscape
Losing a major supplier like Pragmatic Play hurts sweepstakes operators. Their games were popular with players.
Other suppliers are probably watching this closely. If more companies follow Pragmatic Play’s lead, the whole sweepstakes model could collapse.
California remains the biggest battleground right now. The state’s decision will likely influence what happens nationally.
Tribal communities are split on the issue too. Some worry that smaller tribes with less established gaming operations could suffer if sweepstakes get banned.
The timing suggests Pragmatic Play sees the writing on the wall. They’d rather exit cleanly than deal with potential legal problems later.
This move also shows how quickly the regulatory landscape can shift. What looked like a safe bet just months ago now seems too risky for major suppliers.
