Pennsylvania opens the door to external untethered igaming licensees

The Pennsylvania Gaming Control Board (PGCB) has confirmed it will accept igaming license certificate applications from out-of-state entities that wish to receive an untethered license.

Under Pennsylvania law, only so-called ‘qualified gaming entities’ are able to obtain one or more of the three categories of certificates remaining available to operators without ties to a land-based casino.

A total of 12 remaining certificates are available: three in online slots, three in table-based online gaming, and six certificates for non-bank table games including poker.

Certificates cost $4m each, with the application period running from January 3 to March 3, 2023.

The majority of igaming websites in Pennsylvania are operated directly by the state’s brick-and-mortar casinos or via online operators, with market access agreements with those entities.

Qualified companies can now obtain access to the Pennsylvania online market without any such connections.

This marks the second time certificates have been made available to out-of-state businesses with no land-based presence in in Pennsylvania, the first petition period occurring in late 2018.

The PGCB has confirmed one entity was deemed to be a qualified gaming entity during the earlier petition period, but certificates have not yet been issued as its application is still pending.

Pennsylvania’s online casino operators generated $128.6m in revenue during November 2022, up 37% year on year.

The growth resulted in a significant uptick in tax revenues for the state during November, with $53.4m collected for state coffers.