Scientific Games’ Selling Of Lottery, Sports Betting Pieces Will Affect Michigan Gambling Scene

Scientific Games, a prominent player in the Michigan gambling industry, is set to undergo a significant transformation. The company, known for its provision of services to Michigan Lottery games and partnership with numerous Michigan operators for sports betting, is preparing to split its business operations.

On Wednesday, the company disclosed its decision to divest the sports betting and lottery divisions in order to prioritize its gaming sector.

Scientific Games helped Michigan Lottery to another record year

It is uncertain how exactly the move will impact the Michigan Lottery and the state’s sports betting industry at this stage.

During the October announcement of the partnership’s extension, the gem|Intelligence product from Scientific Games was acknowledged by both the Michigan Lottery and the company itself for contributing to the growth of the lottery.

In 2020, the Michigan Lottery achieved yet another record-breaking year by generating $1.179 billion in funds for Michigan schools, marking the sixth consecutive year of remarkable success.

Scientific Games change could explain FireKeepers’ launch delay

In January 2020, a partnership was announced between Scientific Games and FireKeepers Casino for the management of online casino and sports betting offerings at the Battle Creek casino.

FireKeepers, along with Soaring Eagle Casino in Mount Pleasant, is among the two casino operators that have not yet introduced online products. In June of last year, FireKeepers made history as the first tribal casino in the state to launch a retail sportsbook, utilizing Scientific Games technology.

Playinmichigan has contacted FireKeepers Casino to inquire about the updated timeline for its online gambling product launches, as part of the delay could be associated with the Scientific Games developments.

Overall MI impact unknown, but there will be ripples

Scientific Games collaborates with Michigan platforms FanDuel, Golden Nugget, and WynnBET, working on sports betting platforms as well.

The future outcome of the Scientific Games sports betting sector will significantly shape the progressing industry.

According to Legal Sports Report, potential acquisition contenders may include prominent industry players like DraftKings, Flutter (FanDuel), and Entain (BetMGM). Additionally, B2B companies like Genius Sports, PlayTech, and Sportradar could also be considered as potential candidates.

The repercussions remain uncertain and will manifest in the future. However, Michigan is expected to experience some noticeable effects.