HomePublicationsNewsletter ArchiveVolume 19Issue 33Michigan Lottery Selects iLottery Service Providers

On November 25, 2013, the Michigan Lottery announced that it has selected Pollard Banknote and NeoGames to provide iLottery services, including instant and draw games, which allow players to purchase games over the internet and on mobile devices. The iLottery services are slated to go live in the fourth quarter of 2014.

“The Michigan Lottery is continually changing and evolving to meet the demands of its players and stay competitive in the entertainment marketplace. In today’s society, more and more consumers want to do business online and that includes Lottery players.  Adding iLottery services as an option for players keeps the Michigan Lottery offerings up to date and supports its efforts to increase its revenues and provide additional funding to the state’s schools,” said Tom Weber, the Lottery’s chief deputy commissioner.

According to the Michigan Lottery, offering its existing games online will result in anticipated growth in sales. Based upon figures from other states, the growth is estimated to increase contributions to the state School Aid Fund by nearly $480 million over the next eight years.

Notably, earlier this year the Michigan Lottery put its iLottery plans on hold as it experienced opposition from both the House and Senate. Though Governor Rick Snyder supported the iLottery plans and proposed $3.4 Million be allocated for this purpose in his 2014 budget proposal, the Senate Appropriations Committee eventually de-funded this proposal, and separate iLottery funding did not make it into the final omnibus budget bill sent to the Governor.  The allocated funding was meant to aid in the development of the iLottery plans and also to pay for ten additional employees to handle the iLottery program.

Legislation was introduced in the House and Senate to ban online lottery ticket sales, but neither bill has made it out of committee. (See House Bill 4531and Senate Bill 0294).

 

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