Pennsylvania’s entry into the Multi-State Internet Gaming Agreement (MSIGA) faces hurdles

David Gravel September 25, 2024

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Pennsylvania’s entry into the Multi-State Internet Gaming Agreement (MSIGA) faces hurdles

Alongside BetMGM Poker, Borgata, PokerStars and WSOP, two more platforms, BetRivers Poker and Electric Poker, look set to enter Pennsylvania’s confined online poker market.

Rush Street Interactive (RSI) acquired the international Run it Once Poker in 2022 after it closed to focus on the US market. RSI then integrated this platform into his existing gaming portfolio, BetRivers.

BetRivers Poker is gearing up to go live in late 2024 for its initial launch, taking advantage of Pennsylvania’s status as the largest regulated online poker state. With other potential markets in Michigan, Nevada, New Jersey and Ontario, BetRivers will launch cash games, Multi-Table Tournaments (MTTs) and Sit and Go Tournaments (SNGs). Currently, BetRivers is in the testing phase, with real money players now part of the test. As BetRivers prepares for its launch, political discussions around MSIGA in Pennsylvania remain stagnant.

DraftKings launched its real online poker game, Electric Poker, in August 2024 in Michigan. The size of the Pennsylvania market alone suggests that DraftKings launch of the first new brand in almost a decade may be the first step into more investment, particularly with the size of the market in The Keystone State. Operators would see their player pool rise from 29.5 million to 42.5 million, a tantalising prospect when consideration must be focussed on the fact operators in the MSIGA states can combine their player pools.

Political discussions

Pennsylvania is currently trailing behind the five states in the MSIGA (Delaware, Michigan, Nevada, New Jersey and West Virginia). Governor Josh Shapiro, a Democrat, is engaged in discussions with Republican leaders in the Senate regarding a skill games bill. This bill aims to allow Pennsylvania to join the MSIGA.

Issues such as transportation funding that doesn’t place more pressure on the General Fund are key, but at present no discussions of the bill SB-1142 submitted by Sen. Frank Farry on April 5th, 2024, have taken place.

Representative George Dunbar introduced a bill, HB 2078, in early March. This bill aims to grant the Pennsylvania Gaming Control Board (PGCB) the authority to request membership in the MGSA within 30 days of the bill being enacted into law. To date, no discussions of either bill are officially planned.

Beyond the immediate benefits to players, Pennsylvania’s entry into the MSIGA could have broader economic implications. Increased investment in the online poker sector could lead to job creation and higher tax revenues for the state. Additionally, a more robust online poker market could attract further investments from other gaming operators, fostering a competitive and dynamic industry that benefits the state’s economy.

Joining the MSIGA would significantly enhance the player experience in Pennsylvania. Players could expect a wider variety of games, larger tournament prize pools, and more competitive gameplay due to the increased player pool. This could also lead to more frequent and diverse promotions, making the online poker experience more exciting and rewarding

Progress seems unlikely with the forthcoming presidential elections in November. Although the elections may not directly dictate the future of Pennsylvania’s entry into the MSIGA, the resulting regulatory and economic environment will play a significant role depending on the political climate and priorities. Any uncertainty in the fallout will not only deter player confidence but also affect investment, meaning Pennsylvania’s entry into the MSIGA may have a bumpy road ahead.