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Online lottery adding more tax revenue than ever to states that allow it


While many US states were disappointed to see their lottery-funded support decrease substantially during lockdown, those that had already legislated to allow the sale of online lottery tickets saw a small windfall, with Spinola Gaming CEO Ade Repcenko urging state legislators in the former category to fast-track the legislative process and let their lottery sector contribute fully to the economic recovery.
States with a legal framework to offer online lottery tickets saw an increase in their lottery-funded support during lockdown, while those that didn’t suffered a “gut punch”.
While the market may begin to normalise as states reopen, a growing number of governors are pausing the process, or reinstating previously lifted restrictions, sounding a warning out to retail operators and the state systems they support. Medical experts warn that as lockdowns ease and flu season returns these numbers could increase further, making renewed lockdowns and stay-at-home orders in parts of the US a possibility over the coming months. The lockdowns and retail establishment closures of the past few months have brought the limitations and flaws of the lottery retail system in some states to light, and with it, the realization of the need to assess current practices and identify new digital approaches that work long-term, and under any circumstance.
As Covid-19 continues to decimate the US economy, and society gets adjusted to a new-normal, the long-term effects on people and businesses are becoming more evident. The pandemic has been somewhat of a rollercoaster for state lotteries, and as states continue to release revenue data, mixed results can be seen over the past few months. Retail-only state lotteries saw a huge drop in revenue, with states such as Delaware reporting a $40 million loss in lottery ticket sales due to casino closures. Massachusetts saw a 53 percent drop in sales over 3 months, resulting in a 5 percent drop in total sales for the fiscal year. Virginia reported a $45 million drop in sales. Maryland reported a sales decline by as much as 30 percent and also had to postpone the launch of new scratch-off games. In Oregon, the lottery revenue drop resulted in a $22 million budget shortfall which forced them to lay off 47 employees and close over a dozen state parks.
Many states are reliant on lottery revenue in order to fill in budget gaps, while other states use the funds to run special education, environment and veteran aid programs.
“We got used to the lottery as a constant companion supporting the system. It was a gut punch to realize we don’t have the time to react.” Chris Havel, spokesman for the Oregon parks and rec department, told the Associated Press.
While lotteries limited by retail-only sales suffered, the online lottery route was one embraced by the states with the legal framework in place to do so. The Georgia Lottery CEO Gretchen Corbin remarked that sales dropped in March as lottery retailers were forced to close and customers were under pandemic lockdown. But their sales rebounded in the final quarter of the fiscal year, which the CEO attributes to their efforts to promote their online lottery offering, bringing revenues up to a record $1.24b profit over the past 12 months. The Pennsylvania Lottery saw sales drop 25 percent in March after about one-third of their lottery retailers were required to close with sales down $60 million when compared to the same period last year. They did however experience a surge in online sales with “players turning to the Lottery’s online games” during the lockdown, as confirmed by their spokesperson Ewa Dworakowski. Their executive director Drew Svitko also confirmed that “lottery is breaking records and has more players than ever before” with their average daily online lottery sales reaching $3 million during the pandemic, boosting their FY20 online lottery sales by about 24 percent ahead of estimate. The New Hampshire Lottery Commission saw online sales of e-instants increase by 92 percent, and draw-based purchases go up 39 percent between March 21 and April 25. “For a non-jackpot run month, and limited advertising, we had some impressive KPIs” said Kelley-Jaye Cleland, director of sales and product development.
Liz Siver, general manager at NeoPollard Interactive, which partners with many US lotteries that sell products online noted that “Across our network, key performance indicators have hit record-breaking levels as lottery players sought online options during this unprecedented time.”
In an interview with Betting USA, Jackpocket, a company which provides similar online lottery services, reported a marked increase in sales with saturation levels reaching record highs, “Jackpocket is actually seeing a significant increase in sales week over week. We’ve already witnessed a 14% increase in this Tuesday’s Mega Millions sales and anticipate this to continue.” said CEO Peter Sullivan.
“The figures from states with ilotteries active during the pandemic is strong evidence that digital is the way forward,” said Ade Repcenko, CEO of digital lottery software provider Spinola Gaming. “Digital transformation and ilottery are set to play a huge part in the US lottery sector over the coming years. It is important to learn from these past few months and prepare lottery businesses for long-term digital success.”
NeoPollard’s Liz Siver shared these thoughts, adding: “The impact of the Covid-19 pandemic resulted in a renewed focus on digital transformation strategies, particularly ilottery. There was no way to predict the current position that lotteries are in today, but this experience solidified the need to advance discussions around ilottery. Covid-19 has guaranteed that every strategic dialogue with a lottery today includes ilottery.”
With digital lottery solutions ready and available from suppliers like Spinola Gaming, the only barrier currently facing the digitization of the lottery industry is a regulative and legislative one, as most states do not have the legal framework in place to allow lotteries to move online. Last year, online lottery legislation was introduced in Connecticut, Hawaii, New Jersey, and Massachusetts – however none of the bills were able to get passed. Repcenko believes that the legislative process should be fast-tracked in order to safeguard lottery operators should society be faced with renewed nationwide lockdowns and restrictions and with it the possibility of state retail lottery ticket sales dropping yet again. “Unless these regulatory changes happen fast, the US market will lag behind the rest of the world, as LATAM, Africa, Asia and Australia all already possess the legal ability to sell online.”
Some states have indeed felt the pressing need to move online and turned to those with active ilottery, such as New Hampshire, for guidance, said Cleland. “We have spoken with some other states regarding how [we] approached our ilottery program. Given that Covid-19 could come back this fall, I imagine many states are determining how they can help their programs become quasi-pandemic proof to ensure they maintain revenues for good causes.”
With time of the essence for operators looking to move online to quickly recover from the impact of Covid-19, holistic lottery solutions like the ones offered by Spinola Gaming provide land-based operators with all the tools needed to make a timely switch to digital, while still maintaining their traditional retail operations through one seamless interface. The software allows operators to monitor all lottery ticket sales and track all online and offline purchases in real-time, complete with a myriad of marketing functions and analytics. While lockdowns across the US have hurt the lottery sector, state’s such as Georgia and Pennsylvania have proven that – with the right digital solution – operators can return to better than normal levels of sales, and bring a much needed boost to the social initiatives they support.
Source: Latest News on European Gaming Media Network
This is a Syndicated News piece. Photo credits or photo sources can be found on the source article: Online lottery adding more tax revenue than ever to states that allow it

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Fast Track AI to change the face of iGaming CRM
Fast Track will unveil its new AI-driven natural language platform on 2 September during its annual Fast Track House event in Malta. The launch will also be streamed live online from 4 PM CEST, giving the iGaming industry an exclusive first look at the future of player engagement.
For the past decade, Fast Track has pioneered real-time data integration, the Singularity Model, the only Gameplay Risk Engine, and Rewards, the first AI-ready gamification system. Each innovation has moved the company closer to its vision: to digitalise the iGaming industry and deliver the first self-learning engagement platform.
Fast Track AI is trained on over 10 years of iGaming expertise and designed to transform how CRM teams work. It can perform technical analysis on terabytes of real-time data, deliver advanced insights into CRM performance and player behaviour, and uniquely take direct action on those insights across the platform.
“This isn’t just AI added to CRM. This is CRM re-engineered for the natural language era,” said Simon Lidzén, CEO and Co-Founder of Fast Track.
“Even your wildest imagination can only take you so far; minds have been bound by constraints for so long that it is hard to picture the full power of Fast Track AI. You simply need to see it to believe it. This is why I am organising a live session to unveil it; to showcase what a native iGaming CRM, built on the most comprehensive real-time data infrastructure together with the Singularity Model, is capable of. I urge the whole industry to sign up.” Lidzén added.
The big reveal will take place during the Fast Track House event in Malta and will be streamed live online. The broadcast begins at 4:00 PM CEST on 2 September.
Registration is now open: https://app.livestorm.co/fast-track/fast-track-ai-in-action
The post Fast Track AI to change the face of iGaming CRM appeared first on European Gaming Industry News.
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TSG Group’s financial results for Q2 2025: solid foundations, transformation of core titles and global debut of Trophy Hunter.
In Q2 2025, Ten Square Games consistently executed its plan to transform its core titles and further expanded the flight simulator segment, with a particular focus on Wings of Heroes. The share of TSG Store in Group bookings reached new record levels.
The Company successfully prepared for the launch of its newest game, Trophy Hunter, on the global market and made significant progress in developing Real Combat Simulator. Although in the short term the effects of these efforts are not yet fully visible in q/q results, on a y/y basis – in H1 2025 – the Group recorded clear improvement in adjusted EBITDA and net profit, and generated a strong cash position.
“Our strategy is clear – the transformation of our core titles, accelerating the growth of Wings of Heroes, and bringing new projects to market. The past quarter showed that we are making real progress in each of these areas, even if the effects are not always immediately visible. That is why we are especially pleased with the successful launch of Trophy Hunter – our first new title since 2022. Players received it very positively, and early KPIs demonstrate clear growth potential. The progress achieved so far strengthens our conviction that the path we have chosen for the Group’s development is the right one.” – said Andrzej Ilczuk, CEO of Ten Square Games S.A.
Transformation of core titles
In H1 2025, Group bookings amounted to PLN 171.9 million, down 12.3% y/y, driven by declines in both core titles. In Fishing Clash, bookings reached PLN 101.4 million in H1, including PLN 48.7 million in Q2 2025 alone. Hunting Clash generated bookings of PLN 33.9 million in H1, of which PLN 15.2 million came in Q2 2025.
The Group continued the transformation process in both titles, aimed at halting the decline in bookings and rebuilding monetization potential. Key actions included extensive testing of player segmentation and offers, as well as improving the early-game user experience. During the period, user acquisition spending was significantly reduced. This was a deliberate decision which, while lowering bookings in the short term, is designed to increase the effectiveness of marketing investments in the longer perspective.
A return to higher marketing spend is planned once key game metrics, in particular early retention, improve. Enhancing the early-stage player experience remains a critical element of the transformation process. According to the Management Board, the tests already show initial positive signals, although full effects will take more time as the solutions are extended to larger groups of players who account for a significant share of Group bookings.
Growth of projects with increasing importance: Wings of Heroes, Real Flight Simulator and TSG Store
Titles in the flight simulator segment maintained positive y/y growth in bookings. In H1 2025, Wings of Heroes achieved bookings of PLN 13.6 million, up 111.7% y/y, while Real Flight Simulator generated PLN 10.5 million (+7.9% y/y). In Q2 2025, bookings for these projects reached PLN 6.3 million and PLN 5.2 million respectively. Both projects will soon deliver new updates to players.
TSG Store approached the strategic threshold of 25% share in Group bookings – in June 2025 the ratio stood at 23.4%. The share reached 32.9% in Fishing Clash and 21.7% in Hunting Clash. Record results of TSG Store were driven primarily by systematic in-house development, including the introduction of a unique currency in Hunting Clash, a redesigned store in Fishing Clash, and the implementation of a loyalty system for customers. An important external factor was also a U.S. federal court ruling allowing direct in-app communication with players using Apple devices in the USA about the store’s offer.
New projects: successful global debut of Trophy Hunter and development of Real Combat Simulator
On July 3, 2025, the global premiere of Trophy Hunter took place – Ten Square Games’ first new release since October 2022. Early retention and monetization metrics outperform the Group’s previous titles and highlight the game’s growth potential. The Company is supporting its development with marketing campaigns whose budgets are gradually increasing. The product roadmap for H2 2025 assumes rapid enrichment of the game with new content and features designed to strengthen its community aspects and differentiate Trophy Hunter from competitors. The team’s top priority at this stage is to support player retention and engagement. As of August, the development team has been expanded to 11 people. Trophy Hunter operates on a hybrid model, generating revenues from both in-app purchases and ads.
At the same time, Real Combat Simulator, developed by the Group’s subsidiary Rortos, is progressing. Work is currently underway on an update introducing multiplayer mode and new content – a key stage bringing the project closer to global launch.
Solid foundations and financial flexibility
“In the first half of 2025, Ten Square Games’ financial results improved year-on-year despite a decline in bookings. This improvement was largely driven by reduced marketing spend and strong cost discipline across other areas. During this period, we once again allocated a record-high dividend to our shareholders, while the strength of our business model was confirmed by a solid cash position that ensures financial flexibility for the future,” said Magdalena Jurewicz, CFO of Ten Square Games S.A.
In H1 2025, adjusted EBITDA of the Ten Square Games Group reached PLN 57.6 million, up 5.0% y/y. In Q2 2025, adjusted EBITDA stood at PLN 27.0 million – broadly in line with last year, but down 11.4% compared to Q1 2025. Net profit in H1 2025 increased 18.7% y/y to PLN 47.4 million, while in Q2 it amounted to PLN 20.0 million, lower both y/y and q/q.
Operating cash flow in January–June 2025 amounted to PLN 56.3 million, of which PLN 26.3 million was generated in Q2. In the same period, the Company paid a dividend of PLN 100 million and settled an earn-out payment of PLN 14.7 million to the former owners of Rortos. Regular generation of cash from operations provides the Group with solid financial foundations, enabling simultaneous investment in growth and sharing profits with shareholders.
The post TSG Group’s financial results for Q2 2025: solid foundations, transformation of core titles and global debut of Trophy Hunter. appeared first on European Gaming Industry News.
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Kantar Finds Security Driving iGaming, SOFTSWISS Leading Loyalty
SOFTSWISS, a global tech provider with over 15 years of iGaming expertise, shares first takeaways from a Kantar-led qualitative study conducted at iGB L!VE London, showing that security, reliability and revenue-growth potential are the most influential criteria when selecting iGaming software partners. The findings also place SOFTSWISS first by Net Promoter Score (NPS) – the industry benchmark for client loyalty and advocacy.
Designed as an event-based, face-to-face qualitative survey, the Kantar study explored how operators, game providers, and iGaming tech companies make procurement and partnership decisions. Across the total sample, respondents most frequently ranked safety and security of operations as the number-one driver, followed by a reliable partner with a strong market reputation and the ability to open up new revenue opportunities. Close behind were stable, low-downtime infrastructure and a high level of client service – signalling that risk mitigation and dependable delivery are the baseline for partnership decisions, with growth enablement expected rather than optional.
The study revealed a clear divide in priorities between final decision-makers and decision influencers. Influencers place comparatively more weight on the “everyday assurances” of an iGaming platform, like:
- Security
- Client service
- Optimised service infrastructure
Final decision-makers look further out, prioritising:
- Stable infrastructure with minimal downtime
- Clear business-growth levers
- A reliable partner with a strong market reputation
For vendors, the takeaway is to address both sides: demonstrate service excellence to operational stakeholders and prove resilience, scalability and go-live readiness to executive sponsors.
Olga Resiga, Chief Business Development Officer at SOFTSWISS, said: “Security and reliability are now the non-negotiables of iGaming procurement. What Kantar’s work highlights is the two-lens buying logic: operational teams evaluate partners on day-to-day assurance – robust security, responsive support and efficient infrastructure – while final decision-makers judge long-term resilience, Tier-1 launch readiness and the capacity to unlock new revenues. Our roadmap is built for both: verifiable security and service benchmarks today, coupled with proven high-load performance and compliance for tomorrow’s growth.”
Net Promoter Score, calculated as the share of promoters minus detractors, is a widely used indicator of client loyalty. SOFTSWISS achieved the highest NPS in the evaluated set. In open responses, clients most often described SOFTSWISS as a “reputable company” and “most reliable”, repeatedly citing “reliability” as the key reason for high ratings. Beyond NPS, SOFTSWISS was most frequently associated with a broad range of strengths: safety and security, a reliable partner with strong market standing, stable and low-downtime tech infrastructure, and a high level of client service.
SOFTSWISS continues to share market-ready expertise with industry stakeholders. Recent resources include the Sportsbook Online Calculator and the iGaming in LatAm Report, both available on the SOFTSWISS website.
About SOFTSWISS
SOFTSWISS is an international technology company with over 15 years of experience developing innovative solutions for the iGaming industry. SOFTSWISS provides certified software for managing iGaming projects. The company’s product portfolio includes the Casino Platform, the Game Aggregator with over 30,000 casino games, the Affilka affiliate platform, the Sportsbook Software and the Jackpot Aggregator. The expert team counts over 2,000 employees.
The post Kantar Finds Security Driving iGaming, SOFTSWISS Leading Loyalty appeared first on European Gaming Industry News.
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