SPGA Response to PA’s Misguided Cease-and-Desist Orders on Sweepstakes Operators

PRESS RELEASE
FOR IMMEDIATE RELEASE

WASHINGTON D.C. (APRIL 10, 2025)

The Social and Promotional Games Association (SPGA) is concerned by Pennsylvania’s recent cease-and-desist orders against 18 sweepstakes operators. This broad regulatory action is out of step with legal precedent and industry standards.

Three state legislatures have recently rejected similar proposals, reinforcing what Pennsylvania’s approach may overlook: when properly structured, promotional sweepstakes are legal, safe, and widely enjoyed by American adults. 

“What games are Pennsylvania regulators going to ban next—Candy Crush? Solitaire?” said an SPGA spokesperson. “Thousands of games in the App Store mix play and prizes. It’s regulatory overreach to start picking and choosing which ones they simply don’t like.”

These games are not gambling and do not compete with it—research from Eilers & Krejcik and Macquarie has found no meaningful overlap or competition between social sweepstakes and traditional gambling.

Banning social sweepstakes threatens more than just entertainment—it puts at risk a growing digital sector that supports innovation, creates jobs, generates tax revenue, and helps both large and small businesses reach and retain customers. This kind of heavy-handed approach sends the wrong signal to companies investing in Pennsylvania’s economy and digital future.

Sweepstakes have long served as a legitimate promotional tool, used across industries from retail to hospitality. Challenging their legality now raises broader questions about the future of consumer promotions.

We urge Pennsylvania regulators to pursue open, fact-based dialogue with industry stakeholders. A collaborative approach will better protect consumers, support businesses, and foster innovation in the digital economy.