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© 2020 Scientific Games Corporation. All Rights Reserved.
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At Front!
© 2020 Scientific Games Corporation. All Rights Reserved.
Town Hall #1
Central Monitoring System Kick-off
JANUARY 2020
© 2020 Scientific Games Corporation. All Rights Reserved.
Overview of Project
3
Sioux Falls
© 2020 Scientific Games Corporation. All Rights Reserved.
Agenda
Introductions
Lottery Update
High Level Overview of Project
Learnings From WV and Pilot
Project Plan Timeline
New Technology and Key Features
4
Roll Out Process
Service and Support
Pricing
Q&A
Product Demo
Wrap Up
© 2020 Scientific Games Corporation. All Rights Reserved.
Introductions
Norm Lingle – Executive Director
Clark Hepper – Deputy Executive Director
Jordon Kitts – Director of Security
Wade LaRoche – Director of Advertising and
Public Relations
Mike Houdyshell – Chief Legal Counsel
Department of Revenue
5
Ricco Schmidt – Sioux Falls Field Service
Bryan Sullivan – Rapid City Field Service
Robbie Stewart – West Virginia Field Service
Luis Rivera – PA Field Service
Ken LaVenture – Field Service Manager
Maureen Collins – Sr. Director Connexus
Barry Greenberg – Operations
Steve Angelo – Business Lead
© 2020 Scientific Games Corporation. All Rights Reserved.
South Dakota LotteryVideo Lottery Central System and Related
Services RFP
© 2020 Scientific Games Corporation. All Rights Reserved.
Current Contract
Scientific Games
Expires November 2019
5 1-year extensions available
© 2020 Scientific Games Corporation. All Rights Reserved.
Objectives of RFP
Updated Technology
Efficiencies
Enhanced Analytical Tools
© 2020 Scientific Games Corporation. All Rights Reserved.
Timeline Publish RFP January 31, 2018
Vendors Submit Questions February 23, 2018
Lottery Responds to Questions March 9, 2018
Vendors Submit 2nd Round of Questions March 16, 2018
Lottery Responds to 2nd Round of Questions March 30, 2018
Proposals Submission Deadline April 20, 2018
Evaluate Proposals-including demonstrations and site visits May-August, 2018
South Dakota Lottery Commission meeting September 12, 2019
© 2020 Scientific Games Corporation. All Rights Reserved.
Proposals Received Intralot
IGT
Pollard Bank Note – Loyalty Program Only
Scientific Games
© 2020 Scientific Games Corporation. All Rights Reserved.
Video Lottery RFP ScoringSection Number Category IGT SGI Intralot
5.1 System Design 13.80 13.20 12.80
5.4 Operations 13.80 13.60 13.00
5.3 Overall Network & Communications 9.40 9.40 8.00
5.6 Reporting 9.80 9.00 8.60
5.2 Site Controllers 7.60 7.20 5.60
5.7 Conversion 5.80 6.40 5.20
5.8 Training 4.00 4.00 5.20
5.5 Interfaces 3.00 3.60 3.60
5.9 Acceptance Testing 3.40 3.60 3.60
Cost 1.00 4.00 2.40
Total Video Lottery Score 71.60 74.00 68.00
The scores above are based on the average of the
team members’ scores.
© 2020 Scientific Games Corporation. All Rights Reserved.
Site Controllers
SGI – Negotiated Price
Purchase
Site Controller $2,395
Cellular ($45/month) $3,780
One Time Connection Fee $125
Total 7 year Cost $6,300
SGI – Original Proposal
Purchase Lease
Site Controller $3,395 $4,340
Cellular ($70/month) $5,880 $5,880
One Time Connection Fee $125 $125
Total 7 year Cost $9,400 $10,345
© 2020 Scientific Games Corporation. All Rights Reserved.
Negotiated PriceAEGIS System (Current) $3,209,903
FY15 FY16 FY17 FY18 FY19
Basic License and Service Fee (0.3%) $597,390 $622,808 $637,129 $661,876 $690,700
Total $597,390 $622,808 $637,129 $661,876 $690,700
Connexus System (New) $2,995,909FY15 FY16 FY17 FY18 FY19
Basic License and Service Fee (0.28%) $557,564 $581,287 $594,653 $617,751 $644,654
Total $557,564 $581,287 $594,653 $617,751 $644,654
© 2020 Scientific Games Corporation. All Rights Reserved.
1 Year Extension Extend current agreement for one year
Extension will include validation software and ability to use new site
controller.
Payment of $1.3 million (Payment for Validation Software)
$800K upon execution of amendment
$500K upon 30 days successful performance of site controller in 25 establishments
© 2020 Scientific Games Corporation. All Rights Reserved.
New System Benefits Handles multiple communication protocols
Ticket Validations by Site Controller
One user interface – single point of entry, one click configuration
Monitors both VLT’s and Site Controllers
Real Time Communications
Download of software upgrades
Remote configuration of site controllers
Robust reporting and business intelligence tools
One System Conversion
Duplex Primary and Duplex Backup Systems
© 2020 Scientific Games Corporation. All Rights Reserved.
LOTTERY DIGITALSOCIALGAMING
*
Scientific Games Today
© 2020 Scientific Games Corporation. All Rights Reserved.
GAMING
Proven product brands
include Bally ®, Barcrest ®,
Shuffle Master® and WMS®
• Gaming Operations
• Machine Sales
• Systems
• Tables Products
Trusted, responsible
provider to 150+ lotteries
globally
• Instant, Draw
and Interactive Games
• iLottery
• Sports Betting
• Systems
• Managed Services
LOTTERY
DIGITAL/SPORTS BETTING
Leading supplier of
digital gaming content
and technology
• Digital Real Money Gaming Content
and Platforms
• SG Universe ®
iGaming/iLottery Platforms
• OpenSports
SCIPLAY
Leading developer and publisher of digital games on mobile and web platforms• Social Gaming
• Social Slots Provider
• Social Casino Apps
Land-Based
Casinos
Licensed
Online
Casino
Operators
Licensed
Betting
Operators(bingo, arcade)
VLT
Operators
Online
Real-Money
Sports
Betting
Global
Lotteries
Social
Casino
OUR CUSTOMERS | U.S. AND INTERNATIONAL
© 2020 Scientific Games Corporation. All Rights Reserved.
Technical Leadership
19
© 2020 Scientific Games Corporation. All Rights Reserved.
New System Features
Network Communications
Network Monitoring System
Operator Portal
Partner Tech Site Controller
Voucher Redemption – SAS and D-protocol
Diagnostics – system and controller
Operational Enhancements
Security
20
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Key Feature/ Benefits
21
Feature Benefit
Online CommunicationsIP Cellular Network
System Monitoring Tool
Reduced NRTs
Real time troubleshooting with SDL operators
Game initialization from 15 mins to <2 mins
Site controller upgrades downloaded over network
New site controller
Voucher Redemption: SAS and D-Protocol
VLT Status and cash flow reports
Self healing – reduces suspensions
Improved resilience to power loss and power cycle
Operator Portal
Revenue, cash-flow, and game performance reports
NRT reports
Real time, on demand VLT status reports
Billing Statements
© 2020 Scientific Games Corporation. All Rights Reserved.
Network Communications
DSL if needed
22
Real-time Communications
Dedicated Private Network
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Network Communications
23
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Network Monitoring
24
Heat Map
Remote Access
24 Hour Trend Graphing
Event Tracking & Reporting
Status Analysis and Archiving
Real-time Monitoring and Diagnostic Tools
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Network Monitoring
25
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Network Monitoring
26
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Operator Portal – “Reports Portal”
27
Secure Portal
Access 24/7
Secure access controlled by the Lottery
Daily automated reports
Financial reports are Unaudited until billing is closed
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Operator Portal Login Page
28
© 2020 Scientific Games Corporation. All Rights Reserved.29
© 2020 Scientific Games Corporation. All Rights Reserved.
Partner Tech Site Equipment
30
Warranty on all site equipment
High Reliability & Durability
High rate of usage of the voucher redemption feature at pilot sites
User Friendly Interface
© 2020 Scientific Games Corporation. All Rights Reserved.
Lessons Learned
Rollout Process – allow more time per install Pre-stage equipment
Rollout by geographical area
Schedule 1-2 weeks in advance, with 1 day confirmation
Equipment Modem changed to more reliable model, eliminates site tampering
Spare parts list: SSD, scanner
Data Accuracy
< 10 controller failures out of 1,500
~ 20 scanner replacements
1 power supply
1 modem31
© 2020 Scientific Games Corporation. All Rights Reserved.
Lessons Learned
Site Prep Good shape or new CAT 5 cables
Replace worn or damaged cables
Minimize patch panels
Redesigned USB/RS422 adaptor: Resilient to cabling issues
Replacing RJ45 to DB-15 connected: Eliminate pinout issues
CAT 5 to CAT 6 coupling
SAS/ VLC coupling/ daisy-chain
Train location staff on redemption Most issues were related to dial up, enabling games after new site controller installed
32
Video Pilot Program
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Timeline
33
New Equipment Conversion Complete
December 2020
System Testing CompleteJuly 2020
Conversion to New Connexus
System -All Establishments
Migrate
August 2020
Pilot Roll-Out of Site Equipment(# of Sites TBD)
August 2020
Operator Contracts/
AgreementsLate March 2020
Town HallsStart
January 2020
Full Conversion to new site
equipment beginsSeptember 2020Site surveys
April 2020
Legacy Site ControllerShut Down Deadline
February 1, 2021
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High Level Sequence Project
34
Site conversion complete, disable old dial-up system
Convert all sites to new equipment and on-line network
Pilot new site equipment on new system
Conversion moves existing sites to new Connexus system
Go-Live new system
Operator training on portal, new equipment
Complete testing by internal and external test lab
Begin Operator contracts and site surveys
SG and SD finalize requirements, development underway
© 2020 Scientific Games Corporation. All Rights Reserved.
Roll-Out Process and Procedures
Operator will execute site equipment contracts with the Lottery
Operator will execute Network Connection contracts with Scientific Games
Credit application
Contract must be signed prior to scheduling
Amendments needed to add that new / purchased sites
Operators should begin prepping sites
SG will provide operators install schedule 1-2 weeks in advance.
35
© 2020 Scientific Games Corporation. All Rights Reserved.
Site Preparation by Operator
New CAT5 Cable from MCD to location of new controller
New CAT5 Cable from D-Protocol daisy chain location of new controller
Space for controller/printer/ new Cellular modem
Power for controller/printer/ new Cellular modem
SG will provide a power strip
36
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Site Conversion Guidelines
37
Scheduled 1-2 weeks in advance, between 8am – 3 pm
Will allow for site to site variations; confirmed 1 day prior
Operators cancelling more than twice will incur additional rescheduling fee
Additional resources are available to support operations to ensure smooth process.
Pre-conversion site visits may be done to ensure carrier coverage
© 2020 Scientific Games Corporation. All Rights Reserved.
Site Conversion Process/ Day of Conversion
1. SG technicians will arrive and contact Lottery Operations to bring down site
1. Google box issues
2. SG will remove old controller and modem
3. SG will install new controller, DIGI cellular modem, and connect cables from MCD
and D-Protocol machines
4. SG will contact Lottery Operations to transition site to new controller and modem
5. SG technicians will train local staff on redemption and controller menus
38
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Site Equipment
System Hardware (Operator Owned)
New Site Controller
Adaptor Board
Thermal Printer
New MCD
Power Strip39
Network Hardware (SG Owned)
Digi Modem
Antenna
Signal Booster
Attenuator
Power Strip
© 2020 Scientific Games Corporation. All Rights Reserved.
Service and Support
40
Sioux Falls warehouse
Dedicated team & dispatch service
Spare Parts Warranty
1st level support: Lottery2nd level: Operator will call SG if needed
© 2020 Scientific Games Corporation. All Rights Reserved.
Training Sessions
Redemption Terminal: Operation of the Redemption Terminal, (i.e. scanning
and cashing of tickets, running reports)
Operator Portal: New web portal training application. Running reports,
analytics, invoice and billing statements and on demand reports.
Site Equipment: Repair and maintenance of the Site Equipment.
Will offer bench level training post project.
To be scheduled live and via web
Dates will be communicated in the spring
Recorded training will be available on redemption terminal for operators to use for ongoing staff training
41
© 2020 Scientific Games Corporation. All Rights Reserved.
© 2020 Scientific Games Corporation. All Rights Reserved.
Equipment Demo