The Social Gaming Leadership Alliance (SGLA) has voiced strong criticism against Assembly Bill 831 (AB 831), a California legislative measure seeking to ban online social games with sweepstakes promotions. Approved by the California Senate, the bill has ignited concern among industry leaders and tribal groups, warning of significant economic and social repercussions. According to SGLA Executive Director Jeff Duncan, AB 831 could eliminate over $1 billion in annual economic activity and deprive the state of hundreds of millions in potential new revenue.
Critics argue that the legislation disproportionately benefits large, well-established gaming tribes with significant investments in Las Vegas and California coastal properties, while denying smaller, rural tribal nations a viable economic pathway. Several tribes, including Big Lagoon Rancheria and the Mechoopda Indian Tribe of Chico Rancheria, have openly opposed the bill, highlighting the risks of deepening inequalities and undermining tribal sovereignty.
Public opposition has been substantial, with more than 16,000 Californians submitting tens of thousands of emails and over 4,400 calls to voice their disapproval. However, the California Assembly Governmental Organisation Committee reportedly disregarded these objections, as well as detailed economic analyses presented during deliberations. AB 831 has been amended in the Senate to exclude large corporate sweepstakes, yet tribal and industry stakeholders continue to warn of far-reaching consequences.
The bill now returns to the Assembly for concurrence. If enacted, AB 831 would join a growing list of similar sweepstakes restrictions across the U.S., including Connecticut, Montana, and New Jersey. SGLA urges Governor Gavin Newsom to veto the measure to preserve a legal and economically significant segment of California’s social gaming industry. This development underscores ongoing tensions between regulatory frameworks, tribal interests, and emerging online gaming markets.
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