Governor Deval Patrick appointed Stephen Crosby chairman of the Massachusetts Gaming Commission in 2012. Four years later, there is only one casino—a racino in Plainville—open, with two others at least two years away. Crosby previously was the founding dean of the John W. McCormack Graduate School of Policy and Global Studies at University of Massachusetts Boston. He has more than 45 years of public policy experience. At the commission, Crosby has created one of the most respected regulatory bodies in the United States. He spoke with GGB Publisher Roger Gros at his offices in Boston in August.

GGB: There’s been a lot of criticism that there is only one casino up and running after four years. How much control did you really have over that?

Stephen Crosby: Well, a lot of it was in the act—principally the issues having to do with local control and litigation. And then there were also a lot of lawsuits, and a lot of politics. So, I would say, maybe a third of it was sort of within our control.

We chose to be very methodical, and we were very new to the game. We didn’t know much of anything. And we did feel very strongly that we wanted to make sure we created a competitive environment. So we spent a fair amount of time making sure that the industry knew that we were really open for business. There were no inside deals; this was going to be an open, competitive, transparent process. So, we could have sped it up, but I think we always felt strongly that getting it right was better than getting it fast.

What were some of the hurdles you met early on?

One of them was the whole background check process. We got these documents, this multi-jurisdictional individual background checks, and a lot of us thought this is unbelievably invasive.

I’ve been a businessman more than I’ve been in the public sector, and I thought as a businessman that this was crazy.

But our consultants thought that this is the way it’s done, and that it was better to start out as a heavy regulator and retreat, rather than start light and go heavy.

The issue of competition was a major issue. There was kind of a subterranean belief here that Suffolk Downs and Caesars, who were partnered, had the inside track on the Eastern Massachusetts casino. And we didn’t want that to be the perception, because that was keeping other bidders from coming in. So we took our time and we created that perception that it was an open bidding process.

One of the things that you oversee that very few states with commercial casinos also oversee is the tribal gaming element. How do you handle that?

We don’t directly regulate the tribe, but we do have a compact, which has an agreement that says that we will give them certain kinds of financial benefits, and potentially exclusivity in exchange for which we get some money, but also we get this oversight role. But it’s a partnership; I want to be clear about that. We’re not regulating the tribe.

The commission decided that there would be only one tribal casino in the southeastern region, but a lawsuit is challenging the BIA’s decision to put land into trust. How are you handling that?

Massachusetts is broken up into three regions, and we have the authority to license one commercial casino in each of those three regions. We’ve done it in Western Mass, we’ve done it in Eastern Mass. Southeastern Mass is where the tribal casino is purported to be. We don’t really want two casinos down there, we thought, but we never have known for sure whether there ever would be a tribal casino. After three years, they got their land in trust, and for a variety of reasons, some of which have to do with the tribe, som

Felix Rappaport, a former Wynn and MGM executive, was appointed president and CEO of Foxwoods more than two years ago. Since that time, Foxwoods has improved its financial performance and backed away from the fiscal cliff it was approaching. He spoke with GGB Publisher Roger Gros at his offices in Foxwoods in August.

What did you do at Foxwoods to right the ship?

First of all, I don’t want to take credit for “righting the ship.” It’s been a team effort. But I know that my predecessor, his team, the tribal council and tribal Chairman Rodney Butler spent thousands of hours working with our lenders to create a more stable financial environment.

What I’ve focused on since I’ve been here is to rebuild the executive committee, bring in a creative marketing team and work with our lenders to have not only a good story to tell in terms of better operations and better financial results, but also to have a viable five-year strategic plan for the future.

What areas needed more attention than others?

It’s kind of counterintuitive, but one of the reasons I was so optimistic was that there was room for improvement in virtually every area of our business. And I don’t say that to disparage anyone who came before me; it’s not my style. My style is to build on the foundation of what came before. And we’ve built a team that is one of the stronger if not the strongest of any that I’ve worked with in all my years in the business.

Tell us about the impact of the Tanger outlet mall that opened last year.

It’s the only fully enclosed, fully climatized Tanger outlet mall in the world. This is the only one that is part of a casino, and for those who think an outlet mall has to be tacky, it’s the complete opposite. It’s a beautifully designed, 80-store facility, and continues to gain traction. The visitations continue to grow, and it really gives Foxwoods a tremendous competitive advantage over any other casino in the region.

The Plainridge Casino just opened in Massachusetts. What kind of impact has that had on your property?

Penn National is a very good regional operator, and a large part of our market comes from Massachusetts, so you have to have a very compelling message to get your customers to travel further. If you just want to gamble and you have a place that’s five minutes away, that’s where you’ll go. But if you want the things we have to offer—38 restaurants, 300 shows a year, golf, spa, shopping and more—you’ll come to Foxwoods. So we haven’t felt that much of an impact.

With the upcoming integrated resorts in Massachusetts and New York, is gaming over-saturated in the region?

That’s not a word I like to use. The world is competitive and organizations that evolve stay competitive, survive and thrive. And organizations that do not evolve don’t have much success. So it’s my job, my team’s job, the tribal council’s job, to figure out what we want to be when we grow up. We’re about to celebrate our 25th anniversary next year in February, so we have an abundance of resources and facilities—we’re the largest casino resort complex in North America. If we stay static, we’ll be less successful. If we build on our natural foundational elements and add to that, in my opinion, we’ll continue to thrive. It will be much more of a balance between gaming and non-gaming that we have traditionally enjoyed.

NetEnt was one of the first corporate entities to get involved in iGaming back in 1996. As in its infancy, the company concentrates on “better gaming” by emphasizing a cutting-edge platform and entertaining games. Per Eriksson was appointed president and CEO in 2012, and has led the company in a U.S. expansion. Eriksson spoke with GGB Publisher Roger Gros from his offices in Stockholm.

Global Gaming Business: NetEnt started during the infancy of iGaming. How did the company grow and evolve with the industry?

Eriksson: The company was founded in 1996. The founder, Pontus Lindwall, was brought up in a casino family. His father owned a company called Cherry, and they had a big portion of the land-based markets in the Nordics. So, when the internet became available, he realized it was a fantastic tool. Just imagine, instead of having a physical casino, you can reach out to everyone, everywhere in the world. So, that vision has been part of our success from the very, very start.

In the beginning, the regulations surrounding iGaming were either very spare or even nonexistent. But NetEnt has always navigated those waters very skillfully. What did you have to do to make sure that you always stayed on the right side of the regulations in those days?

From the very beginning, we saw that this is such a great opportunity, it’s important to really try to do it right, instead of taking any chances. Even though there was a lot of money out there, the best thing is to do it right—as right as you can do it when there’s no clear regulation.

NetEnt games have the potential to cross over from online to land-based. How do you see that happening?

In the U.K., we have William Hill shops all around the country. You can get NetEnt games on slot machines or video terminals there. So, that’s the start for us. They’re getting more into land-based. But our main focus is still online.

NetEnt also has games in the New Jersey online casinos. Have they been successful?

Yes, very successful. And we’re really happy to see that, because we heard a lot of people tell us these games will not work in the U.S., because the U.S. players are different. But apparently, they’re not. They are more or less the same, and like the same types of games, as the Europeans. So, we’re really happy to see that. And also, we’ve put a lot of energy and innovation and quality into our games, especially in the U.S. We are off to a better start than we could have dreamt, so we’re really happy.

Why did you decide to come into the U.S. at this time, with just three states active in iGaming?

We see ourselves as pioneers. We were in the U.S. before it was banned in 2006. We pulled out immediately at that point, but at that time, it was the biggest iGaming market in the world. The potential is still there. So now, when it starts to open up again, we want to be part of it, and make sure that we do it the right way. And that’s also why we pulled out immediately when it was banned, so therefore, it was not hard for us to get into New Jersey. We think that we are very well-positioned for success in the U.S.

Why isn’t NetEnt involved in social gaming or online sports betting?

We have decided to be in casino only, just to make sure that we stay focused and that we are best in class in what we do. Even if it’s tempting, we resist, so far. There’s so much potential in the casino market, so, it’s better to be there only. There might come a day in the future, but not in the near future.

Mike Dreitzer has been the leader of the North America division of Ainsworth Game Technology since 2013. He spoke with GGB Publisher Roger Gros recently about the company’s approach to the opportunities available today.

Ainsworth North America has just opened a new state-of-the-art headquarters in Las Vegas. What does that mean for operations in North America?

Well, it obviously is an enormous step forward for us. We are very happy with how our building turned out. It’s a 290,000-square-foot facility. That means a couple of important things. No. 1, I think it shows a commitment to the market in both North and Latin America, in a way that is very profound, and very visible, of course.

Operationally, it enables us to service our customers better. We can reduce turnaround time, and reduce lead time, and get things to customers in a scale that we’ve not been able to do. And there’s plenty of room for us to grow.

Former Aruze Americas CEO Kelcey Allison just joined the company, and other people on your staff have long experience. Is it important to get all those knowledgeable, experienced players inside the company?

We firmly believe in our slogan: Experience Counts. And starting with the Australian team and CEO Danny Gladstone and the group around him, we all have many, many decades of gaming. They are focused on experience and the long game. It’s a marathon, not a sprint. So when the opportunity arose to bring Kelcey on board, I told him he really fit in quite well with our narrative. He has a great sense of experience, a great knowledge base. He’s very, very good with customers, with a lot of solid relationships, and our business is built on relationships. And generally speaking, we do look for people with experience at all levels.

Ainsworth hasn’t really emphasized branded and leased participation games in the past; is that an ongoing strategy, or is that something you’re reconsidering now?

We have dabbled, I’d say, in the branded stuff. We can do better at it, and we will do better at it. I think that you’re going to see a more conscious and directed effort towards improving our performance and library in that space. But that’s a super-competitive segment, and we’d better come with our A game. We will.

We’ve got some really interesting new premium titles coming out—things that I think will be seen as very compelling. We recognize that it’s not about all the glitz and glamour and the Hollywood sort of stuff. We have experiences where we get games out and they’re the workhorses. And in many cases, we see games staying on the floor for years and years.

Where does Ainsworth stand on the skill games issue?

We are moving forward. There are some pretty interesting titles that are going to come out that have skill features for us. I think there are still some regulatory items that need to be settled, in terms of the parameters of what you can and can’t do.

One of the challenges there is to make a skill game that is compelling but also can perform well on the floor. Any time you add a skill element, it takes time, and if you take time away, you’re reducing your spins per hour, so to speak. So, I think you have to kind of marry the skill experience with the gaming experience.

Novomatic recently purchased the majority of shares in Ainsworth. What does that bring to the table in terms of North America?

When the transaction closes within the next 12 months, we anticipate a lot of benefits of the two companies working together. There are many ways that we can help one another. If you look at the geographic map, obviously Novomati

David Rebuck has been the director of New Jersey’s Division of Gaming Enforcement for the past seven volatile years. He came into office with a charge to fundamentally change the regulatory structure in New Jersey, creating an investigative/licensing arrangement between the DGE and the Casino Control Commission. Then he had to deal with the economic crater that hit Atlantic City following the 2007 recession that culminated with the closing of four casinos in 2014. In the meantime, he oversaw the introduction of legal iGaming into New Jersey.

GGB: Let’s start with the last year, in which Atlantic City has absorbed the loss of four casinos. Revenues have stabilized and most experts believe the market has “right-sized.” How is the DGE responding to this new reality?

Rebuck: We spent the past year responding to the closing of four casinos in 2014. It was something we saw coming, but it was worse than I had anticipated. So we reduced the number of staff that was necessary to oversee 12 casinos to one that was effective for eight.

And stabilization is the word I would use. We’re no longer seeing the revenue decline month after month; I think we’re at the point now where we see the casinos actually having a chance to compete against the surrounding states, so we have stabilization with the opportunity for growth.

Since Atlantic City is a free market in gaming, there is no limit on licenses. Do you believe that adding more licenses makes sense for businesses?

We’ve had several groups come to us over the past year to look at operating in Atlantic City. We’ve met with all of them, and up until now, none have decided to move forward. I think this demonstrates the reality of the market, and unless someone is reading it a different way, these groups have declined to become involved.

Let’s move to the North Jersey casino referendum. While we all agree that this would be a disaster for Atlantic City, the DGE has a statewide responsibility to ensure gaming is operated with integrity. Where does the DGE stand on this referendum?

We serve the governor’s office, and his view is that the people of New Jersey should be able to have a voice on whether there is gaming expansion outside of Atlantic City. So we’re pleased to be able to support that bill, and we’re ready, willing and able to do what is necessary under the law to implement the expansion of gaming if that is the choice of the people.

Does it bother you that there are few specifics contained in the bill?

Those who oppose the expansion of gaming, particularly here in the Atlantic City area, point to the lack of specifics in the bill. Their complaint is that people don’t know what they are voting for. They say, “How can you make that decision unless you know the details like the location, the tax rate and other things?” From the legislature’s point of view, they want to keep their options open. All these details would be filled in after the referendum is passed. So we’ll be ready to provide input and options if it ever comes to that point.

Let’s turn to the good news over the past year, the growth of iGaming in New Jersey. Why do you think it has finally taken off and found a foothold with the public?

I think a lot of it was growing pains. The assumption that U.S. online players would be the same as European players didn’t really hold up. So, it took a while for the online casinos to get to know their customers. Their marketing strategies have become more sophisticated.

I also think that the introduction of new games and products has made a big difference. And the improvement in