Scientific Games Signs California, Massachusetts Lottery Extensions

Scientific Games has signed a three-year extension of its contract with the California State Lottery, and an all-new contract with the Massachusetts Lottery.

Scientific Games Corp. announced extensions of two of its lottery contracts.

The California State Lottery has signed a three-year contract extension for the supplier to continue as the lottery’s primary provider of instant games and associated services through November 2022, with optional extensions remaining through 2025.

The company will continue to provide the No. 3 instant game lottery in the world (2018 total sales, La Fleur’s Almanac) with instant games and services, including product and player research, game design, game portfolio planning, integrated marketing programs and retailer account management.

“As the California Lottery’s profits grow responsibly, so does the collective impact our partnership has on public education in the state,” said John Schulz, senior vice president, lottery instant products for Scientific Games. “We value the trust the California Lottery has placed in Scientific Games, and we are proud to continue our focus on innovation and growth that ultimately benefits students in the state of California.”

Scientific Games has supplied the California Lottery with instant games nearly every year since the lottery’s inception in 1985. Under the current primary instant games contract, the company has helped the lottery responsibly grow instant game retail sales from $3.06 billion annually in calendar year 2013 to $5.06 billion in calendar year 2018.

Since 1985, the California Lottery has returned $34.2 billion to the state’s public schools.

Scientific Games launched the world’s first secure retail instant game in 1974 and the first digital instant game in the U.S. in 2014, and is the leading provider of lottery interactive games, mobile apps, player loyalty programs and other interactive products and services in the U.S. lottery industry. The company also is the fastest growing lottery systems technology provider in the U.S.

In a separate release, the company announced that the Massachusetts Lottery, the No. 2-performing lottery in the world, has awarded a new contract for lottery for retail management system to Scientific Games.

The new system will provide the lottery with a more productive and streamlined connection to its network of over 7,500 retailers. Scientific Games provides similar advanced retail management technology to lotteries in Arizona, Kansas and Maryland in a rapidly expanding retail technology footprint in the U.S. and internationally.

Michael Sweeney, executive director of the Massachusetts Lottery, said, “The lottery’s investment in this new technology is part of our ongoing modernization, and it further demonstrates our commitment to our expansive network of retailers.”

The new three-year contract may be extended by the lottery for two additional years, and features Scientific Games’ gemSuite of products including the gemIntelligence retail agent relationship management application, gemRetailer retail agent portal and gemEnterprise paperless licensing module.

“Our recent collaboration with the Arizona Lottery, Kansas Lottery and Maryland Lottery on their retail management systems allows us to bring hands-on expertise to the Massachusetts Lottery in key areas like sales force management and retail agent licensing, as well as instant ticket order management,” said Pat McHugh, group chief executive, lottery for Scientific Games. “This technology is the lottery industry’s only agile platform, and it has proven its ability to adapt to each lottery’s unique requirements and evolve over time as business needs change.”

Scientific Games has provided retail management technology to the Massachusetts Lottery since 2011, and instant games since 1974, when the lottery became the first to sell instant win “scratch” games as an alternative to its weekly jackpot games.