Light and Wonder CEO Urges Industry to Fight Prediction Markets, Says iGaming Expansion Outlook Has Improved

Matt Wilson, president and CEO of Light and Wonder, used a keynote address at the 47th annual Gaming Conference in Las Vegas on Tuesday to warn the casino industry about the growing threat from prediction markets while also expressing cautious optimism about iGaming expansion prospects in the United States. Wilson spoke at the conference hosted by the Nevada Society of Certified Public Accountants at Circa Las Vegas on May 19.

Light and Wonder is one of the largest gaming technology companies in the world, supplying slot machines, digital gaming platforms, and table game systems to casinos globally. Wilson’s remarks on prediction markets were among the most direct public statements from a major gaming supplier executive on the topic, which has dominated industry discourse for the past six months.

Wilson’s Warning on Prediction Markets

Wilson did not mince words about his view of the prediction market phenomenon. “It has gone parabolic over the last six months,” he said, noting that Kalshi and Polymarket now carry market valuations double those of DraftKings and FanDuel. “That’s amazing and brutal.” He argued that discretionary consumer spending on prediction markets is coming directly from the same pool of dollars that casinos and sportsbooks compete for, making it a genuine threat rather than a complementary vertical.

Wilson acknowledged that Light and Wonder does not have a direct stake in the sportsbook market but noted the company operates in iGaming — and that prediction market products built on complex contracts could eventually compete there as well. “We know people are working on five-reel slot machines derived off complex contracts,” he said. Wilson called on the industry to act collectively. “The industry needs to get together and work collectively to figure out how to slow this juggernaut down. It’s very hard to argue it’s not illegal gaming.”

Optimism on iGaming Expansion

On iGaming, Wilson offered a more measured message. He noted that Light and Wonder’s 2022 long-term plan had assumed three major iGaming states would come online between 2022 and 2025. “We were 100% wrong on that,” he said. “We haven’t had a single incremental state.” But he said the political environment is shifting as states face budget pressures. “You’re starting to see a big uptick in the idea of further expansion, whether it’s igaming or historical horse racing or land-based games.” He cited activity in Virginia, Pennsylvania, and skill-based gaming markets as signals of a broader reawakening to gambling expansion as a revenue solution.

For bettors and industry observers, Wilson’s comments add an influential voice to the growing chorus of traditional gaming stakeholders who see prediction markets as an existential challenge. The debate is unfolding simultaneously in legislatures, courtrooms, and congressional hearings — including a Senate Commerce Committee session that took place on the same day as Wilson’s remarks. For those tracking how to use prediction market apps, the regulatory picture will continue to evolve in the months ahead, affecting availability in some states while others move toward clarity.