Rush Street Interactive (RSI), the remaining bidder for the contract to provide the Delaware State Lottery’s iGaming offering, has been selected as the state provider.
Under the terms of the agreement, RSI will provide its iGaming solution to the Delaware Lottery for an initial period of five years. Depending on regulatory approvals, the term may be extended for five additional one-year terms.
Media reports previously suggested that RSI and 888 Holdings were competing for the tender. However, RSI was actually the only remaining bidder for the contract after 888 pulled out in May.
Schwartz: Treaty builds on previous successes in the tri-state area
RSI CEO Richard Schwartz said the operator wants to expand its successes in the tri-state area of Delaware, Pennsylvania and New Jersey.
“We are honored to work with the Delaware Lottery team and the state’s three casinos to provide safe, convenient and innovative online gaming experiences to consumers geographically located in Delaware,” he said.
“Rush Street Interactive has established itself as a leading innovator in the industry and is a respected igaming and sports betting company,” added Helene Keeley, Director of the Delaware Lottery.
“We are impressed not only by RSI’s successes in other jurisdictions, including neighboring New Jersey and Pennsylvania, but also by its strong commitment to responsible gambling practices.”
888 ends its partnership with the Delaware Lottery
The news states that the lottery’s previous supplier, 888, is ending its decades-long partnership with the lottery. The operator first signed a contract with Delaware in 2013 and has been supplying the company with its online poker and casino solutions ever since.
iGB sources suggest that 888 withdrew the tender offer in May after a long and complex process. This included giving potential vendors just a few weeks to respond to a complex set of requests.
This also included the integration of online sports betting, despite state laws prohibiting this activity. Ultimately, no sports betting law was passed in Delaware’s 2023 legislative session. This led to short-term delays in the tendering process.
Sources added that 888 ultimately decided to withdraw its offer after a lack of communication from the lottery. It also cited the state’s small iGaming market and rising costs associated with technical specifications.