PA lottery contract worth ‘megamillions’

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The unclaimed winning ticket was sold by SmoKings, 2894 DeKalb Pike, East Norriton. It correctly matched all five white balls drawn, 07-22-32-33-42, to win a prize of $125,000, less applicable tax withholding. (Photo courtesy of wikicommons.org)

Right now there’s a lottery jackpot in Pennsylvania worth more than $800 million, but you can’t buy a ticket for a chance to win it. That winner can only be the firm who wins the government contract that becomes available once every 10 years.

The current contract to provide the gaming system and instant ticket game services that power the Pennsylvania Lottery expires in June 2019. The chance to become the lottery’s partner for the next 10 years has the paucity of vendors who do this type of work pulling out all the stops. Two of the major players have hired lobbyists to assist their efforts to win this contract.

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And this is the jackpot that keeps on building. The current lottery service company, Scientific Games International, cashed in more than $484 million and helpted generate $15.8 billion in sales  of lottery tickets. The instant game faction was just as lucrative – putting $320 million in Scientific Games’ cashbox.

Combined, that’s more than $800 million and doesn’t even count the $12 million that Scientific Games will be paid for its online platformover the next two years to run the iLottery games (online instant games) that launched last month.

Needless to say, Scientific Games is very interested in continuing its long-standing relationship with Pennsylvania Lottery, which dates to the mid-1970s, when it became a supplier of instant games.

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