Light & Wonder exits live gaming
Pursuant to what it described as a strategic review, Light & Wonder announced a drastic change during its February 2025 earnings call. Henceforth, the company will discontinue its live-dealer online games and divest of them.
Executives of Light & Wonder did not elaborate greatly on the decision. Chief Financial Officer Oliver Chow implied that the streaming product was low or negative in its return investment, saying a “modest uplift” to cash flow would be forthcoming, once live-dealer games were closed down.
Truist Securities analyst Barry Jonas was somewhat more expansive, explaining in a February 26 investor note that live-dealer games “had faced difficulties with operator changes and supply dynamics resulting in pricing degradation.”
Light & Wonder, he wrote, “will continue to focus on the core businesses and higher ROI investments. Given Live Dealer was still in investment phase, the business exit should be accretive to [cash flow] in the near-term.”
Jonas’ opposite numbers at Deutsche Bank and Jefferies Equity Research, Carlo Santarelli and David Katz respectively, did not go into similar depth. Both merely mentioned the cessation of the game-streaming business.
David McKee is an award-winning journalist who has three decades of experience covering the gaming industry.
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