Playstudios to Launch Sweepstakes Gambling Platform Across the US
Social gaming company Playstudios is preparing to launch a new sweepstakes gambling platform featuring casino-style games in various parts of the US. The rollout is planned for later in 2025, and the company's leadership has addressed legal and regulatory considerations that it says will guide its market entry.
LISTEN TO THIS ARTICLE:During the company's August 4 second-quarter earnings call, CEO Andrew Pascal discussed how regulatory requirements will influence the marketing approach for the new sweepstakes platform. He stated that Playstudios will rely heavily on its proprietary game content to set itself apart from competitors and intends to contribute to building a more favorable perception of sweepstakes gaming in the market.
Playstudios is a member of the Social Gaming Leadership Alliance, alongside sweepstakes operators including VGW, which operates Chumba Casino, LuckyLand Slots, and Global Poker, and ARB Interactive, which runs Modo.us. The company has been developing social gaming content since 2011, with operations originally based in California, Nevada, and Texas.
Pascal explained that the company expects to have the sweepstakes website available across all eligible US states before the end of the year. He emphasized that Playstudios is entering a competitive market but believes that its existing library of proprietary games will provide a strong advantage.
The company plans to integrate its social gaming mechanics, such as progression features and engagement tools, into the sweepstakes platform to create a richer gaming experience. This approach is aimed at attracting players and encouraging them to choose Playstudios' sweepstakes offerings over alternatives available in the market.
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Sweepstakes Controversy Could Hinder Launch
The launch comes amid ongoing changes to the legal landscape for sweepstakes casinos in the US. In 2025, Montana, Connecticut, New York, and New Jersey have enacted bans on sweepstakes-style gaming. California lawmakers are considering similar legislation, while cease-and-desist orders have been issued in states such as Louisiana, Mississippi, Maryland, and Arizona.
Pascal addressed the issue by noting that Playstudios will evaluate each state individually, analyzing both the legal risks and the level of support or opposition to the sweepstakes model in each jurisdiction. This analysis will inform where the company allocates resources and how aggressively it launches in each market.
If a jurisdiction that was once considered stable becomes higher risk, the company will reduce marketing and operational investment there. This strategy is designed to be adaptable to shifting regulatory conditions.
In addition to managing market risks, Playstudios aims to play an active role in promoting credibility and legitimacy for sweepstakes gaming. Pascal indicated that the company intends to demonstrate that it uses sweepstakes mechanics as promotional tools in line with their intended purpose. By doing so, Playstudios seeks to support the case for regulatory acceptance rather than restriction of the model.
Once operational, the sweepstakes platform will provide players in multiple US states with access to Playstudios' games, adding a new revenue stream for the company. The ultimate scope of the rollout will depend on evolving legal developments, which will directly influence how robust the company's presence will be in each market.
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