US online gambling giant DraftKings is set to lay off 101 of its employees in New Jersey as of 31 January 2025.
DraftKings is set to close its Atlantic City live dealer casino studio and lay off 101 of its employees, as of 31 January 2025.
The news was first revealed in a New Jersey WARN Act Notice, which notifies employees of major lay-offs 60 calendar days in advance of them taking place.
According to information shared with NEXT.io, the online gaming giant announced the news to all staff at the studio on Monday (28 October), with senior executives on site this week for the announcement.
The studio, which is based at the Golden Nugget Atlantic City, relaunched in 2022 following DraftKings’ completion of its $1.56bn all stock acquisition of Golden Nugget Online Gaming (GNOG).
The deal saw the operator snap up Golden Nugget’s online assets, with the brick-and-mortar properties remaining part of Fertitta Entertainment.
In response to a request for comment, a DraftKings spokesperson told NEXT.io: “As we finalise our GNOG integration, effective January 31, 2025, DraftKings will transition its in-house Live Dealer operations to third-party studios in Atlantic City.
“We are supporting impacted employees to offer a smooth transition for as many as possible. Our Live Dealer offerings will remain uninterrupted.”
At the time of the deal, DraftKings indicated in investor presentations that it would take over or integrate GNOG’s live dealer operations post-acquisition.
GNOG first in the US to launch live dealer
GNOG was the first company to launch a live dealer studio in the US in 2016, which operated inside the Golden Nugget Atlantic City in partnership with the Evolution subsidiary Ezugi.
Then Golden Nugget VP of online gaming Thomas Winter said at the time: “Online live dealer creates true convergence between the casino floor at Golden Nugget Atlantic City and our online casino, which will appeal to the more traditional casino players who have yet to enjoy online real-money gaming.”
GNOG expanded the studio in Q3 2021, which reportedly saw capacity increase from 18 to 33 tables.
Live dealer is an expanding industry in New Jersey, with global market leader Evolution reportedly set to undergo a significant statewide expansion this year.
The live casino giant is reportedly planning a new $75m project, featuring a four-storey, 130,000-square-foot building that would allow the company to employ 2,000 workers by 2029.
The new studio would complement Evolution’s existing operations at Hard Rock’s Ocean Casino Resort and Tropicana.
DraftKings New Jersey live dealer background
DraftKings first opened its own branded live dealer studio in New Jersey in 2019, which operated 24/7 out of the Hard Rock Casino Atlantic City.
Developed in partnership with Evolution, the studio originally launched with six tables, five of which offered blackjack.
The branded live dealer tables are offered on DraftKings’ iGaming sites alongside shared tables, which are those available to multiple operators and offered by third party providers such as Playtech or Evolution.
The company’s website states: “DraftKings has the only fully dedicated 24 hour Live Dealer Studio in New Jersey. When you sit at a DraftKings table, you’ll be playing at an exclusive table made just for our players.”
NEXT.io has contacted Evolution for comment.