About a zillion years ago (OK, it was the '80s), almost every slot on the casino floor was made by Bally's. Then I remember IGT came along and started giving them some competition. Fast-forward to around 2010 and everything seemed to be WMS. Nowadays, everything seems to be a blur. Each casino seems to have hundreds of slots from dozens of manufacturers. After mergers and buyouts, WMS and Bally's don't even exist anymore. Are slots from one manufacturer better than another? Aristocrat is a name I see a lot. What can you tell us about them?
Given the merger-and-acquisition activity you rightly observe, it's doubtful that your “dozens” of slot manufacturers even exist to populate the casino floor. One would be hard-pressed to name even 12 top slot-makers.
As for whose slot is best, that depends on whom you ask. Each manufacturer says it’s their own — and would you expect any differently? The casino operators have their opinions, which they’re not in the habit of sharing. And slot players have their own distinct take on the matter, although it probably comes down to specific games, like the ever-popular Buffalo Link and Wheel of Fortune franchise (Aristocrat and IGT, respectively, in case you're interested), rather than manufacturers.
Regarding Aristocrat Technologies, it’s been around since the 1950s (1953, to be specific), but its place in history was secured in 1979, when it manufactured the first all-electronic slot, “Wild West.” It’s a subsidiary of Australian game maker Aristocrat Leisure, which is headquartered in Sydney and has outposts in Russia, South Africa, and (naturally) Las Vegas.
Its leadership has been unusually stable for the revolving-door casino industry, with CEO Trevor Coker in place since 2017. Since Aristocrat has climbed to second place in the slot industry, behind International Game Technology, this should not be surprising.
The company, founded by Len Ainsworth (whose heirs still hold a major stock position), endured major financial setbacks during the Great Recession of 2008, culminating in a $158 million loss in 2009. Nonetheless, Aristocrat continued to forge ahead, adjusting to adversity.
When the Australian appetite for “pokies” waned in the 2010s, Aristocrat snapped up Video Gaming Technologies for $1.3 billion, thereby tripling its North American market share in one fell swoop. And as mobile gaming became the rage, Aristocrat moved into that sphere too, climaxing with its 2017 acquisition of Big Fish Games at a $990 million purchase price.
Nor was Aristocrat done growing. In 2021, it made a tech play for Playtech, with the endgame of getting into online gambling. This time Aristocrat didn't succeed, as Playtech shareholders voted heavily against the would-be $3.7 billion deal.
Aristocrat rolled some of the money it had stockpiled to buy Playtech into share buybacks, thereby mollifying its own stockholders. But as of the end of last year, Aristocrat was still resolved to enter the igaming sphere, so we wait to see what it'll do next.
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