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With AB 831, California’s anti-sweepstakes casino bill, passing and heading to Governor Gavin Newsom’s desk, some platforms are already leaving the state, and the latest one to do so is Carnival Citi.
Not only has Carnival Citi left California, but it’s also leaving Arizona, too, following the Arizona Department of Gaming sending out numerous cease-and-desist notices.
California’s AB 831 passed in the Assembly on Sept. 12. This came after it passed in the Senate, having undergone significant changes throughout the year.
Now, Gov. Newsom has until Oct. 12 to either sign or veto the bill.
The Social Gaming Leadership Alliance, a sweepstakes casino advocacy group, is lobbying for Newsom to veto the bill.
“It is incredibly disappointing that the California Assembly decided to pass AB 831,” the SGLA’s executive director, Jeff Duncan, said in a statement. “Beyond the fact that this bill would worsen economic disparities among California tribes, put California to the back of the line in terms of digital innovation in this space, and take away a popular form of entertainment for residents, it will immediately strip $1 billion out of the state’s economy.
“We implore Governor Newsom to veto this bill and instead open the door for online social games to support economically disadvantaged tribal nations and the state’s economy while positioning California as a leader in next-generation gaming technology.”
In addition to Carnival Citi, High 5 Casino also left California. However, their exit came before AB 831 was passed. Instead, High 5 is embroiled in a lawsuit, and a judge in the state recently denied their motion for arbitration.
As mentioned, Carnival Citi is also leaving Arizona, despite there being no laws on the books that prohibit sweepstakes casinos.
This is because the Arizona Department of Gaming is targeting these platforms, issuing cease-and-desist notices, including to platforms such as Betty Sweeps, Pulse, Thrillzz, and Fliff.
Not only that, but the sweepstakes casino brand under the Fliff umbrella, Sidepot, is also leaving.
It appears Carnival Citi is just getting out of what could be an inevitability.