Posted on: August 18, 2023, 08:20h.
Last updated on: August 18, 2023, 08:20h.
The Delaware Lottery has partnered with Rush Street Interactive (RSI) to offer online slot machines and table games.
Rush Street Interactive (RSI) has been chosen by the Delaware Lottery as its iGaming partner. RSI, a leading player in the industry, will operate online slot machines and table games on behalf of the state lottery.
Delaware Lottery officials selected RSI after 888 Holdings withdrew from the bidding process in May. The state lottery had expressed its intention to secure a new iGaming partner by November.
The Delaware Lottery has chosen Rush Street Interactive for its iGaming operations, citing the company’s strong track record and commitment to responsible gambling practices. RSI currently operates in neighboring states such as New Jersey and Pennsylvania.
Delaware became the first state to legalize iGaming more than a decade ago. Through the Delaware Gaming Competitiveness Act of 2012, the state lottery is authorized to partner with an iGaming operator to offer online games.
Delaware’s three casinos—Delaware Park, Bally’s Dover, and Harrington Raceway—operate video lottery terminals (VLTs) instead of traditional slot machines. These casinos manage the terminals on behalf of the state lottery, with the revenue being shared between the casinos and the state.
The lottery receives around 38% of the VLT revenue, while 44% goes to the casinos and the remaining percentage is divided between horsemen and vendor fees. For table games, 15% of the win is directed to the lottery and 5% to the horsemen.
Revenue from iGaming will contribute to the Delaware General Fund. Users aged 21 and above located within Delaware can access the online gaming platform.
Rush Street Interactive plans to develop a state-of-the-art online gaming website and app as part of its partnership with the Delaware Lottery. The initial contract is for five years, with the potential for a five-year extension.
CEO Richard Schwartz of Rush Street Interactive expressed his excitement about the partnership and the opportunity to showcase their award-winning online platform and customer service.
Delaware’s iGaming market is the smallest among the six states that allow online casinos. While New Jersey’s online casinos generated over $1.66 billion last year, Delaware’s iGaming market had revenue of $136.3 million.
Rush Ended CT Lottery Contract Early
This is not the first time Rush Street Interactive has been chosen by a state-backed gaming organization to manage its online operations.
In August 2021, Rush secured the retail and online sports betting privileges from the Connecticut Lottery. However, the partnership was terminated in March 2023, less than three years into the 10-year contract.