Exodus of giants: Playtech became the third major provider to curtail operations in California sweepstakes casinos

The largest developer of gaming content, Playtech, has officially announced the termination of all cooperation with sweepstake casino operators in California. This step makes Playtech the third international industry giant to leave the state's market due to growing legal and legislative pressure.

Withdrawal from the market and its causes

Playtech's decision means that California players will lose access to the provider's popular slots and live games, including hits such as "Tsai Shen's Gift Fire Blaze", "Mega Fire Blaze: Big Circus", "Oink Oink Oink" and "Live Blackjack". This move did not come as a surprise, but followed a series of events that seriously shook the position of the sweepstake model in the United States.

A key factor was the increase in legal pressure. On August 31, 2025, the Los Angeles District Attorney's Office initiated legal action against the well-known operator Stake and a number of its supplier partners, including Evolution, Pragmatic Play and Hacksaw Gaming. The lawsuit alleges that the activities of illegal online casinos are actually hidden under the guise of a legal sweepstake model.

At the same time, the state legislature is also preparing the ground for a complete ban on such activities. Bill AB 831, which is designed to completely ban the operation of sweepstakes casinos, is under consideration in the California Legislature. In August, the document was successfully approved by the Appropriations Committee and is now awaiting a final vote in the Senate.

Chain reaction in the industry

Playtech's departure was a continuation of the trend set by other market leaders after the lawsuit was filed by the prosecutor's office:

• Pragmatic Play was one of the first to suspend cooperation with American sweepstake operators in early September.
• Evolution soon followed suit by removing its games from the Stake(.) platformus.

Both companies were directly mentioned in court documents as accomplices in the organisation of illegal gambling. Interestingly, Playtech did not appear in the lawsuit directly, but the company's management preferred not to wait for possible consequences and preemptively left the state market.

Broad context and implications

One of the largest operators affected by the departure of providers was the Australian developer VGW, which owns the popular brands Chumba Casino, LuckyLand Slots and Global Poker. VGW representatives confirmed that Playtech games are no longer available to their Californian users. It is worth noting that VGW has previously faced litigation in California.

The current lawsuit by the prosecutor's office has set a unique precedent in American legal practice. For the first time, not only platform operators, but also game content producers and technology partners are involved as defendants in an illegal gambling case.

The challenges for sweepstake operators aren't limited to California. Similar lawsuits and legislative initiatives are being actively promoted in other states, including South Carolina, Illinois, Massachusetts, Minnesota, and Alabama, indicating a coordinated attack on this gambling gray area.