AGA
Unregulated ‘Skill’ Machines are Games of Chance, Say Two-Thirds of Americans Familiar with Them
New AGA data shows majority of Americans concerned about dangers of ‘skill’ games
Among Americans familiar with unregulated ‘skill’ machines, a decisive majority recognize that these devices are games of chance, not skill, according to new American Gaming Association (AGA) data. Two-thirds (65%) of those who are familiar with ‘skill’ games say that they are no different from slot machines where wins are based on random chance and that even a skilled player cannot reliably influence the outcome.
“Unregulated machine manufacturers have built their businesses by duping consumers and small businesses while avoiding taxes, oversight and consumer protections,” the President and Chief Executive Officer for the AGA, Bill Miller, said. “These results are further evidence that Americans see these machines as a threat that should be eliminated, not regulated.”
‘Skill’ machines are often found in convenience stores, bars, strip malls and other community establishments, operating outside of the regulated gaming marketplace. Previous AGA research estimates that 580,651 unregulated gambling machines exist in the United States, constituting 40% of all gambling machines nationwide.
The survey also reveals those familiar with ‘skill’ games overwhelmingly view the machines as negative influences in their communities:
- 71% say ‘skill’ machines lack the player protections that are available to players in casinos.
- 64% agree ‘skill’ machines are too easily accessible to children.
- 56% say ‘skill’ games increase the risk of crime and endanger employees and customers of businesses where devices are located.
Upon learning that ‘skill’ machines are taxed at a far lower rate and lack the same regulatory oversight as casino slot machines, two-thirds of Americans familiar with ‘skill’ games (64%) express concern about the presence of such devices in their communities.
“Keeping America’s gaming industry strong, safe and responsible can only be done through the robust infrastructure of the well-established legal market, not by rewarding bad actors with half-measures that fail to address the dangers of unregulated gambling,” Miller said.
The new AGA data comes as the AGA and other industry stakeholders testify today during a Pennsylvania Senate Democratic Policy Committee hearing on the presence of ‘skill’ games in the state, hosted by Chairwoman of the Senate Democratic Policy Committee, Senator Katie Muth. The hearing will be held at 11am ET at the Radnor Township Municipal building in Wayne, PA (301 Iven Ave., Wayne, PA 19087) and can be streamed online.
Background
- While most Americans see ‘skill’ games as similar to traditional casino slots, AGA findings show for every dollar bet by consumers, regulated machines in Nevada keep 7.2 cents on average, while unregulated machines keep 25 cents.
- Americans wager $109 billion each year with unregulated ‘skill’ machines according to AGA estimates, at an annual cost of $8.7 billion in state taxes and $27 billion in legal gaming revenue.
- In 2022, the legal gaming industry generated a record $13.49 billion in direct gaming tax revenue paid to state and local governments, not including billions more paid in income, sales and other taxes.
- Policymakers, regulators, consumers and gaming industry stakeholders and allies can find resources to join the fight against illegal gambling at StopIllegalGambling .org.
Methodology
Kantar, on behalf of the AGA, conducted an online survey from August 11 to 18, 2023, among a nationally representative sample of 2,002 American voters aged 21 and over. The margin of error is +/- 2% and greater among subgroups.
Today, DraftKings Incorporated (DraftKings) (Nasdaq: DKNG) announced plans to launch its top-rated online sportsbook in North Carolina on March 11, 2024. This announcement is the culmination of DraftKings’ continued work with stakeholders and regulators across North Carolina to offer fans a responsible form of sports betting. Earlier this year, DraftKings and NASCAR agreed to terms on a written designation agreement, paving the way for the digital sports entertainment and gaming company to operate in the state. Once live in North Carolina, the DraftKings Sportsbook will be available in 27 United States states, in addition to Ontario, Canada.
North Carolina is known for its strong sports culture, housing the majority of the NASCAR industry, professional teams in the NFL, NBA and NHL as well as several universities competing at the Division-I level. Starting from March 11, DraftKings will provide eligible fans in the state several new and responsible ways to get in on the action. DraftKings’ online sportsbook provides a wide variety of betting markets and key offerings such as same-game parlays, in-game betting, special odds boosts and more on a safe, regulated platform with various customer protections in place such as deposit and time limits, access to responsible gaming resource materials, cool off and self-exclusion features along with DraftKings’ all new My Stat Sheet, an innovative responsible gaming feature that shows customers exactly how much time they’ve spent on DraftKings and the total amount of deposits they’ve placed on the platform.
“With the NCAA Tournament right around the corner and the NASCAR season in full throttle, we are thrilled to be launching our top-rated sportsbook app in North Carolina,” the President for DraftKings North America, Matt Kalish, said. “‘The Tar Heel State’ is home to a passionate fanbase and some of the most iconic college basketball programs of all time, making this an exciting time to introduce legalized online sports betting. We’re proud to be working alongside NASCAR as our market access partner and look forward to enhancing the fan experience across North Carolina with a fun, safe and seamless sports betting product.”
To celebrate the launch of legalized mobile sports betting going live in North Carolina, DraftKings, in collaboration with NASCAR, is teaming up with Carolina Panthers legend Greg Olsen for a ceremonial first bet on March 11, 2024. The event will take place at the NASCAR Hall of Fame in Charlotte and feature remarks from Olsen as well as DraftKings Chief Commercial Officer Jeremy Elbaum and North Carolina State Representative Zack Hawkins.
In addition to hosting the ceremonial first bet in North Carolina on March 11, DraftKings is also recognizing Problem Gambling Awareness Month (PGAM) in March, led by the National Council on Problem Gambling (NCPG) to increase public awareness of problem gaming and the availability of prevention, treatment and recovery services. DraftKings works closely with the NCPG to highlight the company’s responsible gaming initiatives and resources such as cool offs, limitations, key partnerships and mental health services.
Both active members of the American Gaming Association (AGA), DraftKings and NASCAR are committed to promoting the AGA’s Have A Game Plan: Bet Responsibly public service campaign, which educates customers on responsible gaming best practices such as establishing and adhering to a budget and only engaging with legal, regulated operators. DraftKings is committed to creating inclusive and responsible pathways for people to build, create, imagine and innovate through the DraftKings SERVES program.
Eligible customers in North Carolina can access the latest betting markets and more by downloading the DraftKings Sportsbook app available via iOS and Android. DraftKings is committed to providing customers with resources to help bet responsibly. Customers can review DraftKings’ responsible gaming tools here. For additional problem gaming support or services, North Carolina customers can call 1-800-GAMBLER.
AGA
AGA to Host State of the Industry Presentation, Release Report on Record-Breaking 2023 Commercial Gaming Revenue
The American Gaming Association (AGA) will hold its annual State of the Industry presentation with AGA President and CEO Bill Miller on Tuesday, February 20 at 11:30 AM ET/8:30 AM PT.
During the presentation, the AGA will release full-year 2023 commercial gaming revenue numbers, discuss gaming’s third consecutive record-setting revenue year, provide analysis on the current gaming landscape, and preview AGA priorities for 2024.
Media are invited to a press call immediately following the presentation for Q&A.
What: AGA State of the Industry: Gaming’s Look Ahead & 2023 Commercial Gaming Revenue Tracker Release
Who: AGA President and CEO Bill Miller and Vice President, Research David Forman
When: Tuesday, February 20, 2024 at 11:30 AM ET/8:30 AM PT
Where: WEBINAR REGISTRATION | PRESS CALL REGISTRATION
AGA
*MEDIA ADVISORY* AGA to Host State of the Industry Presentation, Release Report on Record-Breaking 2023 Commercial Gaming Revenue
The American Gaming Association (AGA) will hold its annual State of the Industry presentation with AGA President and CEO Bill Miller on Tuesday, February 20 at 11:30 AM ET/8:30 AM PT.
During the presentation, the AGA will release full-year 2023 commercial gaming revenue numbers, discuss gaming’s third consecutive record-setting revenue year, provide analysis on the current gaming landscape, and preview AGA priorities for 2024.
Media are invited to a press call immediately following the presentation for Q&A.
What: AGA State of the Industry: Gaming’s Look Ahead & 2023 Commercial Gaming Revenue Tracker Release
Who: AGA President and CEO Bill Miller and Vice President, Research David Forman
When: Tuesday, February 20, 2024 at 11:30 AM ET/8:30 AM PT
Where: WEBINAR REGISTRATION | PRESS CALL REGISTRATION
For questions about this event or AGA’s Commercial Gaming Revenue Tracker, contact [email protected].
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