International Game Technology (IGT) has announced it will close its electronic table games (ETG) division in 2027, following significant layoffs earlier this year. The news was confirmed to iGB by IGT spokesman Phill O'Shaughnessy, who stated the decision aligns with the company's emphasis on core business priorities and objectives for long-term growth. O'Shaughnessy reassured that IGT will maintain support for its ETG customers throughout the transition.
In 2024, IGT underwent a significant transformation when it was acquired and merged with Everi Holdings in a deal valued at $6.3 billion, facilitated by Apollo Global Management. Earlier this year, the company had reduced its global workforce by approximately 10%. During that time, CEO Hector Fernandez indicated these layoffs were intended to streamline operations, eliminate redundancies, and prompt faster decision-making.
The merger resulted in IGT's lottery division being separated, forming a new publicly traded company called Brightstar Lottery. As the ETGs follow suit under Apollo's stewardship, Daniel Cohen, a partner at Apollo, expressed concerns in June 2025 about IGT falling behind key competitors like Aristocrat and Light & Wonder. He stated that his firm’s focus is solely on "long-term value creation."
Cohen emphasized IGT's ambition to be the comprehensive supplier for casino operators, aiming to cater to major clients like Venetian and Caesars with all their product requirements, which is expected to enhance innovation and investment in casino technology.
Despite its relatively small size compared to slot machines, IGT's ETG sector had shown growth in recent years, offering products like blackjack, baccarat, and roulette. The company even sought to capitalize on its popular Wheel of Fortune brand for an ETG format, intending to revitalize interest in the category. Luigi Cacciapuoti, IGT’s vice president of specialty products, highlighted in 2024 that the ETG offering is entirely new, stating that they rewrote all software code to deliver exciting experiences for players and value for customers.
The ETG market, however, has encountered hurdles in expanding its presence, primarily due to the substantial floor space required for these games. Slots typically yield higher revenue while occupying less space, compelling floor managers to make challenging decisions. Across the globe, ETGs have gained more traction in European and Asian markets than in the United States.
Interblock, a market leader in the ETG segment and also backed by private equity, was previously speculated to be a potential acquisition target for Aristocrat. However, negotiations never progressed, largely due to a reported valuation discrepancy of $200 million.
