International Game Technology Inks 20-Year Extension with Rhode Island Lottery
Posted on: February 27, 2022, 02:38h.
Last updated on: February 27, 2022, 02:38h.
International Game Technology (NYSE:IGT) stated Friday it agreed to a wide-ranging, 20-year contract extension with the Rhode Island Lottery.
The lottery operator and slot machine manufacturer has a lengthy history in the state and whilst economic terms (it’s most likely worth $1 billion) of the extended contract weren’t revealed, IGT is committing to keeping 1,one hundred “lucrative jobs” in Rhode Island.
IGT has signed a comprehensive 20-year contract extension with the Rhode Island Lottery to stay the exclusive supplier of lottery, iLottery, instant ticket, and video lottery solutions and solutions by means of June 30, 2043,” according to a statement issued by the firm.
News of the Rhode Island extension comes at a time when gaming analysts are bullish on lottery companies, like IGT’s. Lottery assets are cash generators and desirable in the investment community, but typically do not get complete credit when the parent company has other lines of business.
IGT, Rhode Island History
IGT has extended loomed large more than the Rhode Island gaming scene, each in terms of lottery services and gaming machines at the states two casinos — Tiverton and Twin Rivers.
The company’s allegedly cozy connection with former Gov. Gina Raimondo (D-RI) drew the ire of state Republicans and the operator of the aforementioned casinos — Twin River Worldwide Holdings, Inc. (TRWH), which is now Bally’s.
In 2019, Twin Rivers proposed a plan to run Rhode Island’s lottery although claiming IGT’s slot dominance in the state was dangerous to taxpayers because IGT machines had been stale and unappealing to gamblers. IGT balked at the notion of ceding the lottery pact, noting that if the deal fell by way of, it can’t afford to preserve 1,one hundred staffers in the state.
That was then and now, the sides are playing nice and that’s a relief to Rhode Island policymakers due to the fact the lottery is the state’s third-biggest income generator.
“IGT, through a joint venture with Bally’s Corporation, will be the exclusive supplier of video lottery terminals to the Lottery commencing January 1, 2023,” according to the statement.
IGT Modernization Plans
As component of the contract extension, IGT is arranging an array of updates and technology enhancements for the Rhode Island Lottery.
For instance, the company’s scrapping the Lottery’s draw-based lottery central technique in favor of its Aurora item along with a technology update of the lottery terminals and telecommunications gear. Each efforts are scheduled to take place this year and those systems will be refreshed with new tech once again in 2023.
“IGT will also upgrade the Lottery’s iLottery system in 2023, supplying a suite of powerful analytics for the Lottery,” mentioned the gaming company. “Additionally, IGT will continue as the exclusive printer and supplier of instant tickets to the Lottery.”
In 2025, IGT will replace “the Lottery’s video lottery central system connecting all of the video lottery terminals deployed by the Lottery at the two casinos operated by the Lottery.”