Proceeding with AB831 is misaligned with potential tribal opportunities, additional revenue for the state and California voters’ overwhelming support of commonsense regulation of online social games
WASHINGTON, DC – The Social Gaming Leadership Alliance expresses its disappointment that the California Senate Appropriations Committee has moved Assembly Bill 831 (AB831), which threatens to ban online social games with sweepstakes promotions in California, to a vote on the Senate floor.
“SGLA is extremely disappointed that the Senate Appropriations Committee has decided to move AB831 forward instead of listening to the California tribal nations that oppose the bill, the legitimate California businesses that will be threatened with criminal liability for providing routine services, the California constituents who have made it clear they prefer commonsense regulation over banning online social games and the California players who love the games,” said Jeff Duncan, Executive Director of the Social Gaming Leadership Alliance.
“We urge lawmakers who are planning to vote in favor of AB831 to reconsider their stance and think about what their constituents actually want.”
A new nationwide poll with an oversample of California voters reveals that Californians overwhelmingly oppose banning online social games with sweepstakes promotions, as proposed under AB831. Instead, California voters strongly prefer regulation and taxation that would protect consumers, preserve choice, and deliver economic benefits for the state.
The survey of California voters found:
- 85% agree California should modernize and update laws to regulate and tax online social gaming, providing more money for state budgets.
- 77% of Californians believe online social games with sweepstakes should continue operating.
- The percentage rises to 89% among Californians who have played the games.
- Only 6% believe the games should be banned.
Additionally, more than 34,000 letters, calls and X posts from California residents have been sent to state legislators to express their opposition to the bill and urge preservation of access to safe, legal online social games.
Economic modeling shows that online social games currently generate more than $1 billion annually in direct and indirect benefit to California. The analysis suggests that implementing a modern regulatory framework could deliver an additional $200-$300 million in yearly tax revenue to the state government.
SGLA urges Senators to vote “no” on AB381 and remains committed to working with state leaders to develop a smart and modern regulatory framework that prioritizes consumer safety, promotes innovation, protects California’s digital economy, provides tribal economic opportunities, and delivers economic benefits to the state without increasing taxes on California families.
To learn more about SGLA, please visit our website at www.SGLeadership.org and our social channels at LinkedIn, X, Facebook and BlueSky.
Contact:
Laurie Rossbach
Partner, Seven Letter
202.258.7810
Laurie@SevenLetter.com
About the Social Gaming Leadership Alliance
The Social Gaming Leadership Alliance (SGLA) champions social gaming operators who offer innovative, free-to-play entertainment experiences enjoyed by millions of Americans while promoting responsible digital entertainment. Our partners set the standard for innovation, world class games and the responsible use of digital marketing including sweepstakes promotions. We advocate for appropriate oversight that recognizes the unique entertainment value of social online games, protects players, platforms and the community, and promotes responsible gameplay.
The SGLA’s operator partners are VGW, PLAYSTUDIOS, Yellow Social Interactive, ARB Interactive and B-Two Operations, representing Chumba Casino, Luckyland Slots, Global Poker, Pulsz, Pulsz Bingo, Modo Casino, McLuck, HelloMillions and SpinBlitz. Other partners include major payments provider Nuvei. The SGLA’s advocacy and standards focus exclusively on online social games. Our advocacy does not extend to operators offering sports products or transacting in cryptocurrency.
