Skill-Based Electronic Gaming Machines: a Review of Product Structures, Risks of Harm, and Policy Issues

Skill-based gaming machines (SGMs) add interactive and/or skill features to electronic gaming machines (EGMs), often modelled on elements from arcade, video, online, or mobile games. Availability of SGMs is expanding in the USA and internationally, but evidence of the impacts of these machines is lacking. To provide direction to policymakers and the scientific community, this review critically evaluates the relevant literature and suggests future avenues for research and consumer protection measures. Early data suggests that SGMs are most appealing to younger demographics and are likely to attract participation from regular gambling or gaming populations, potentially those with pre-existing problems. Studies of skill elements within other gambling activities indicate that players tend to overestimate their level of control in gambling situations that are determined by chance. Skill involved in SGMs could elicit illusions of control in players, which may contribute to the development of gambling problems. The impact of introducing SGMs is still relatively unknown. There is limited robust ecologically valid research on the use of these machines within gambling venues. It is possible that, like other new gambling activities, the introduction of SGMs may lead to harm. Vulnerable populations may include young adults, those with pre-existing problems, and those already involved in gambling and video/mobile gaming. Preliminary consumer protection strategies include player education techniques and account management tools, paired with an empirical evaluation framework. Future studies, including laboratory and field trials, are needed to examine if SGMs more strongly appeal to at-risk gamblers, to determine whether players recognise skill versus chance components, and understand the relationship between involvement, increased cognitive distortions, and problem gambling.