Casino gaming tech company International Game Technology (IGT -0.39%) is looking to cash in on the growing global sports betting market through the rollout of a brand-new, casino-based sports betting terminal. Already dubbed one of the top 20 most innovative gaming technologies by Casino Journal, IGT's CrystalBetting Terminal is designed to offer an elevated and more seamless gambling experience for sports bettors.
If widely adopted by casinos, it has the potential to bring in more customers, higher player retention, and increased profits per bettor. Here's what IGT investors monitoring the situation need to know.
What does the new sports betting technology do?
The CrystalBetting Terminal facilitates pregame and in-game sports betting in a faster, more private, and more efficient manner. Sports bettors can make bets before the game starts and after it has started in the casino without needing to use a mobile betting app or having to leave their seat. (Mobile apps lack the ability to consistently offer in-game odds as quickly and cleanly as necessary to give sports bettors the experience they're looking for.)
The new terminal offers a heightened experience for bettors with the ability to watch the game they want live, see live betting options on the screen, make the bets they want in real-time, keep their activities somewhat private from other bettors (with privacy wings), and even utilize a built-in USB charging port (to keep a smartphone or other device charged).
The global sports betting industry was valued at $104.31 billion in 2017 and is expected to grow to $155.49 billion by 2024. If a company like IGT can offer more convenient betting and an improved bettor experience, it stands to gain and retain a big portion of that growing market.
Regulatory approval received and field trials underway
When the industry got its first look at the CrystalBetting Terminals at the 2018 Global Gaming Expo in Las Vegas, the technology had a long road to travel from expo to casino floor. Recently, it did just that. The product started its 90-day field trial at two tribal casinos in Mississippi this month -- Pearl River Resort's Golden Moon Casino and Silver Star Casino. Those following the industry closely may remember Pearl River Resorts from last year as the first tribal casino not located in Nevada to open a sportsbook in the wake of the Supreme Court's repeal of the Professional and Amateur Sports Protection Act of 1992 (PASPA).
Gaming Labs International, a trusted third-party inspection and certification company for gaming products, has already certified the CrystalBetting Terminal. Additionally, IGT received regulatory approval from the Mississippi Choctaw Gaming Commission.
Investors or those looking to invest should keep an eye on the results of this CrystalBetting Terminal's 90-day trial run. If the product delivers on its promises, expect IGT to have a big competitive advantage moving forward in the land-based sports betting market. This advantage could reflect in higher customer retention, more new-bettor acquisitions, and increased profits from existing bettors. As legislation continues to favor sports betting growth in the U.S., the market has the potential for serious growth to companies already in a position to take advantage.