MGA, Caesars And Raketech Give COVID-19 Update

The Malta Gaming Authority (MGA) released a notice to the licensees, acknowledging the need to establish fair commercial contact regarding the COVID-19 pandemic.

Recognising “a very trying time for all,” the MGA says that it “taking heed of all relevant developments and is constantly proposing adequate and proportionate measures”.

In addition, the regulator has reminded licensees that all commercial communications must be socially responsible in compliance with the commercial communications regulations to which they are subject, especially in the light of the current situation.

Any direct or indirect reference to COVID-19 or any associated circumstances will be viewed as an violation of this Regulation.

It was also noted that no commercial communications must be made directly or indirectly at any stage, among other requirements:

  • Encourage antisocial behaviour.
  • Suggest that gaming can be a resolution to social, educational, personal or professional problems.
  • Suggest that gaming can be an alternative to employment.
  • A solution to financial concerns or a form of financial investment.
  • Portray gaming as socially attractive.
  • Suggest that solitary gaming is preferable to social gaming.

Caesars Entertainment, which recently announced the closing of all its North American assets, has underlined its pledge to support local communities “in this time of need.”

The business donates food, as well as critical personal protective equipment around the country to support healthcare staff, law enforcement and more.

To date, the organisation has distributed more than 250,000 pounds of food to various food banks and charities, which is equal to about 208,000 meals. In addition, Caesars has also supported local hospitals, emergency responders and local charities with thousands of items including gloves, masks, and hand sanitisers.

Tony Rodio, CEO of Caesars Entertainment commented: “During these extraordinary circumstances, we are dedicated to assisting our local communities across the country that are heavily impacted by donating perishables to nearby food banks and charities, as well as necessary supplies to first responders.

“We will continue to seek ways to give back to our neighbours who are in need as part of our commitment to help put this unprecedented situation we are all facing behind us.”

Staying in the U.S., in an attempt to reduce the danger of a possible outbreak and spreading COVID-19 on the tribe’s reservation, the Jamul Indian Village has declared that they expect their tribal government offices and businesses to remain closed after the scheduled date of March 31, 2020.

Chairwoman Erica Pinto stated: “During this unprecedented time in our history, it is important for us to do everything we can to support one another as we collectively navigate these uncharted waters.  We thank all of our team members for their resilience and positive attitudes, and we hope to be able to welcome our awesome guests back to Jamul Casino in the near future. We miss you all very much!”

Raketech, an online partner and web marketing firm, also issued updates on its situation, stating that “strategies as how to handle the outbreak have been different from country to country which makes the situation somewhat hard to predict”.

The organisation does not expect significant negative long-term impacts on the igaming industry, while sport betting revenues are most likely to be adversely affected by the many postponed sporting events during 2020.

Revenue during the first quarter of the year was broadly in line with forecasts, a condition that it expects to repeat in March. The company does comment that while access to most opportunities for physical wagering is limited, digital gambling and casino may see a boost.

Raketech has approximately 70 percent of casino revenues, 25 percent of sports revenues and 5 percent of other revenues, saying that the impact that the combination of the industry’s reduced sports betting revenues and the increased igaming demand would have ‘is too early at this point to predict with certainty.’

Raketech chief executive Oskar Mühlbach explained: “Currently we work hard to help our customers, the operators to reallocate their marketing investments from sports to our main product vertical casino where we continue to see good demand.

“The situation furthermore confirms that our strategy to increase our global footprint, product offering and vertical spread is the way forward in terms of securing a healthy and balanced business risk set up.”