SGLA Warns Of Economic Loss After Social Plus Shutdown

New York halted Social Plus gaming after Governor Kathy Hochul signed new restrictions into law, triggering sharp pushback from the Social Gaming Leadership Alliance. The group warned that the ban removes a digital entertainment category that boosted economic activity across the state.

Good to Know

• Social Plus games added more than $230 million to New York’s 2024 economy
• SGLA says the sector could have produced $80 million yearly under regulation
• New law blocks sweepstakes-style features with no replacement model

SGLA says the ban removes a thriving sector

The measure, S. 5935-A / A. 6745-A, prohibits Social Plus games that have been available to New Yorkers for more than a decade. SGLA said lawmakers left out industry consultation and targeted features it considers standard sweepstakes promotions. The group argues the ban removes free-to-play entertainment linked to New York’s tech and innovation economy.

Jeff Duncan, Executive Director of SGLA, said:

“Players, operators, and voters all made their position clear: they didnt want a ban on this popular, safe form of entertainment. Governor Hochul had the opportunity to protect consumer choice and New Yorks economic interests. Instead, she chose a short-sighted path, closing the door on choice, innovation, and hundreds of millions in economic activity.”

Support for regulation over prohibition

SGLA cited polling showing that 84 percent of Americans prefer updating laws to regulate and tax Social Plus games rather than banning them outright. The group said voters want elected leaders to prioritize broader financial pressures such as the cost of living, health care and immigration.

SGLA plans next steps

The organization says it will continue pushing for a legal framework that preserves consumer access and oversight while keeping companies involved in New York’s digital entertainment market. SGLA works with operators that offer free-to-play gaming and sweepstakes-driven engagement tools, promoting policies aimed at consumer protection and responsible participation.

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