Acies was incorporated on August 14, 2020 as a Cayman Islands exempted company for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses.
−Removed: Acies completed its initial public offering in October 2020 (the “IPO”).
+Added: Acies completed its initial public offering in October 2020.
On June 21, 2021, Acies consummated the Acies Merger with Old PLAYSTUDIOS, pursuant to the Merger Agreement.
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Our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Exchange Act are made available free of charge on our website as soon as reasonably practicable after we have electronically filed the material with, or furnished it to, the SEC.
+Added: PLAYSTUDIOS is a leading developer of free-to-play casual games for mobile and social platforms.
+Added: With a focus on creating immersive and engaging experiences, we have built a strong reputation for combining high-quality games that resonate with players worldwide with our groundbreaking playAWARDS loyalty platform, which enables players to earn real-world rewards from a global collection of hospitality, entertainment and leisure brands.
+Added: Our game portfolio includes a diverse range of titles, from social casino and card games to puzzle and adventure games.
+Added: We generate revenue primarily through the sale of in-game virtual currency and the monetization of player engagement.
+Added: Although o ur games are available to players for free, we historically have derived substantially all of our revenues from the sale of in-game virtual currency when players make voluntary in-game purchases.
+Added: By offering players the option to voluntarily purchase in-game virtual currency, we are able to generate a steady stream of revenue while maintaining a free-to-play model.
+Added: Additionally, we utilize in-game advertising as a means of further monetizing player engagement and enhancing our revenue streams.
+Added: PLAYSTUDIOS has successfully established itself as a leader in the mobile gaming industry, with a strong presence in both domestic and international markets.
+Added: Our games have been downloaded millions of times and have garnered a loyal and dedicated player base.
+Added: Through continuous innovation and the introduction of new game titles, we aim to further expand our market reach and solidify our position as a top player in the industry.
The Power of Play
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Through our loyalty program, with a few swipes and a tap, players can be on their way to a complimentary meal, show, or weekend getaway, along with a chance to connect with other players who share their passion for our games.
−Removed: During the year ended December 31, 2022, our curated collection of 96 awards partners represented more than 210 unique brands including MGM Resorts International, Wolfgang Puck, Royal Caribbean Cruise Lines, Cirque du Soleil, and House of Blues.
+Added: Our curated collection of rewards partners represents unique brands including MGM Resorts International, Wolfgang Puck, Royal Caribbean Cruise Lines, and Cirque du Soleil.
The appeal of our loyalty program speaks for itself.
−Removed: As of December 31, 2022, players have exchanged their loyalty points for over 15 million rewards with a retail value of more than $725 million.
Managing a loyalty program like playAWARDS requires a robust technology platform.
−Removed: We have created a collection of tools and services that allows our network of global awards partners to make the most of their in-game promotional presence.
−Removed: With our platform, our awards partners can launch new rewards directly into our games and make changes to their existing rewards.
+Added: We have created a collection of tools and services that allows our network of global rewards partners to make the most of their in-game promotional presence.
+Added: With our platform, our rewards partners can launch new rewards directly into our games and make changes to their existing rewards.
Then, in real time, they can see how players are responding to and engaging with their brands within our games.
−Removed: Our awards partners recognize the value of showcasing their products and services within our games.
−Removed: The benefits, however, extend well beyond simple brand impressions, because each reward that a player acquires in our games translates to a potential customer for our awards partners.
−Removed: Extending these rewards to our players helps keep our awards partners top-of-mind in a way that’s entertaining and engaging, rather than transactional.
+Added: Our rewards partners recognize the value of showcasing their products and services within our games.
+Added: The benefits, however, extend well beyond simple brand impressions, because each reward that a player acquires in our games translates to a potential customer for our rewards partners.
+Added: Extending these rewards to our players helps keep our rewards partners top-of-mind in a way that’s entertaining and engaging, rather than transactional.
Our loyalty program provides our players a whole new dimension to their gameplay experiences.
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And that is what makes PLAYSTUDIOS so much more than a game company.
−Removed: The Loyalty Lift
−Removed: Successful games, just like most forms of creative content, move through a predictable life cycle — from development and launch to maturity and late-stage contraction.
−Removed: At each stage, they are met with unique challenges, from driving discovery
−Removed: and amassing a community of engaged players, to retaining players, and converting non-paying players to payers.
−Removed: Our games are free-to-play, and we have primarily generated our revenue from the sale of in-game virtual currency, which players can choose to purchase at any time to enhance their playing experience.
−Removed: The key to any game’s success is the ability to hold onto its players long enough to realize their economic value, and therein lies the true benefit of our playAWARDS program.
−Removed: By incorporating loyalty mechanics into each of our games, we believe we have changed the profile of the typical game life cycle — scaling quickly, driving deeper engagement, and realizing greater life-time value from our players.
−Removed: From the players’ perspective, our in-game rewards enrich their gameplay experience, offering them something very real in exchange for their engagement with our games.
−Removed: This engenders an important sense of reciprocity, which is a key element in designing captivating digital experiences.
Our Loyalty Program
−Removed: Our playAWARDS program is grounded in a proven model that provides our players with a rewarding entertainment experience and our awards partners with promotional access to a large and valuable audience.
+Added: Our playAWARDS program is grounded in a proven model that provides our players with a rewarding entertainment experience and our rewards partners with promotional access to a large and valuable audience.
From our perspective as a game developer, our playAWARDS program affords us a key competitive advantage in our strategy to retain, engage, and ultimately monetize our players.
The platform’s rules engine allows us to align our reward offerings with players’ preferences based upon certain qualifying criteria.
−Removed: We believe our differentiated playAWARDS program benefits our players, awards partners, and business for a number of reasons as described below.
+Added: We believe our differentiated playAWARDS program benefits our players, rewards partners, and business for a number of reasons as described below.
We believe our unique playAWARDS program provides our players with a compelling and differentiated value proposition:
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Earn Real Rewards.”
−Removed: Each of our legacy social casino games and our Tetris®-branded mobile game incorporate loyalty points that are earned by players as they engage with our games.
+Added: Our social casino games and our Tetris®-branded mobile game incorporate loyalty points that are earned by players as they engage with our games.
Like miles in a frequent-flyer program, our players accumulate more loyalty points as they demonstrate their ongoing commitment to our games.
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This drives traffic across our entire portfolio of games.
−Removed: It is our view that the playAWARDS program enriches the overall value proposition of our games.
−Removed: By complementing inherently great games with a compelling collection of rewards, we’ve been able to distinguish ourselves from our competition.
−Removed: Our awards partners are able to reach new audiences and optimize marketing dollars through playAWARDS.
−Removed: The playAWARDS program allows our awards partners to connect directly with a valuable mobile audience in a way that is engaging, entertaining, and cost effective.
+Added: One of the key features of our playAWARDS loyalty platform is its tiered loyalty program.
+Added: Players can progress through tiers based on their level of engagement and gameplay.
+Added: Each tier offers increasingly valuable rewards, such as bonus virtual currency, exclusive in-game items, and access to special events.
+Added: This tiered system not only incentivizes players to continue playing but also creates a sense of achievement and progression within the gaming community.
+Added: The playAWARDS platform also incorporates social elements to further engage players.
+Added: Players can connect with friends, compete in leaderboards, and participate in community challenges.
+Added: This social aspect not only adds a competitive element to the gaming experience but also fosters a sense of camaraderie and community among players.
+Added: By encouraging social interaction, we foster a vibrant and dynamic gaming environment that keeps players engaged and invested in our platform.
+Added: By offering tangible, real-world rewards, we believe playAWARDS enhances the overall gaming experience and enriches the value proposition of our games.
+Added: We also believe playAWARDS is a meaningful differentiator that allows our games to stand out among hundreds of thousands of competing games, while also driving deeper engagement and enhancing player monetization.
+Added: Whether it be early adoption, mid-term engagement, or long-term payer conversion, we believe our loyalty program enhances the trajectory and life cycle of our games.
+Added: By complementing inherently great games with a compelling collection of rewards, we believe we’ve been able to distinguish ourselves from our competition.
+Added: Our Rewards Partners.
+Added: The playAWARDS program allows our rewards partners to connect directly with a valuable mobile audience in a way that is engaging, entertaining, and cost effective.
By integrating branded content and promotional offerings into our games, playAWARDS converts entertaining digital impressions into real world brand engagement.
−Removed: In the process of earning loyalty points and redeeming rewards, players make the journey from our world into the world of our awards partners.
+Added: In the process of earning loyalty points and redeeming rewards, players make the journey from our world into the world of our rewards partners.
This activity helps them acquire new customers and reactivate ones that have lapsed.
−Removed: In addition, by extending restricted offers, our awards partners are able to shift customer demand from peak to off-peak periods, allowing them to optimize the utilization of their inventory.
−Removed: Our awards partners are equipped with a robust toolkit to manage, monitor, and measure the performance of their rewards.
+Added: In addition, by extending restricted offers, our rewards partners are able to shift customer demand from peak to off-peak periods, allowing them to optimize the utilization of their inventory.
The playAWARDS platform provides a comprehensive suite of tools that enables participants in our loyalty program to optimize their participation.
−Removed: Our platform includes operating tools tailored to the needs of our game makers, customer service features for our support and VIP teams, and a dedicated console for our awards partners.
+Added: Our platform includes operating tools tailored to the needs of our game makers, customer service features for our support and player hosts, and a dedicated console for our rewards partners.
All of these participants are empowered to manage their activities in real time, drawing on player insights to optimize the impact and value they derive from the playAWARDS program.
−Removed: We have amassed a global network of awards partners.
−Removed: As we have amassed a diverse collection of awards partners, the scale of our network has become a competitive edge that delivers benefits to both our players and awards partners.
−Removed: During the year ended December 31, 2022, our catalog of rewards offerings included 96 partners who represent more than 210 entertainment, retail, travel, leisure, and gaming brands across
−Removed: 105 countries and 6 continents, and our players have used their loyalty points to acquire over 15 million rewards with a retail value of more than $725 million.
−Removed: Our loyalty program extends the engagement and retention of our players and mitigates the impact of the “Creator’s Dilemma.”
−Removed: The “Creator’s Dilemma” speaks to the unique challenges a game must overcome in each phase of its life cycle.
−Removed: This dilemma highlights the complexities of standing out among hundreds of thousands of competing games, as well as the importance of driving deeper engagement and its relationship to monetization.
−Removed: Whether it be early adoption, mid-term engagement, or long-term payer conversion, we believe our loyalty program enhances the trajectory and life cycle of our games.
−Removed: We believe that the benefits of our loyalty program are best illustrated by our retention, engagement, and monetization metrics.
−Removed: In each of these key measures of performance, we see meaningful increases that we believe are attributable to players becoming aware of, and ultimately taking advantage of, our loyalty program.
−Removed: We grow our network of players and awards partners.
−Removed: By leveraging our unique loyalty program, we grow our vibrant community of players.
+Added: As we have amassed a diverse collection of rewards partners, the scale of our network has become a competitive edge that delivers benefits to both our players and rewards partners.
+Added: As of December 31, 2023, our playAWARDS program offered rewards from 233 entertainment, retail, travel, leisure, and gaming brands from 113 reward partners located in 104 countries on 6 continents.
+Added: Our players have used their loyalty points to acquire over 16 million rewards with a retail value of more than $824 million.
+Added: We believe there is opportunity to grow our vibrant community of players by continuing to leverage our unique loyalty program.
As our players engage with our games, they accumulate loyalty points that enrich their experience in the real world.
−Removed: As they consume their real-world rewards, they drive incremental business value for our awards partners, who more fully engage with our loyalty program and actively promote our games as a means of keeping their brands top-of-mind with target consumers.
+Added: As they consume their real-world rewards, they drive incremental business value for our rewards partners, who more fully engage with our loyalty program and actively promote our games as a means of keeping their brands top-of-mind with target consumers.
This drives players back to our games, where they can engage more deeply, accumulate more loyalty points, and repeat the cycle.
−Removed: The more players we drive to our awards partners, the more awards partners and rewards inventory we can attract.
+Added: The more players we drive to our rewards partners, the more rewards partners and rewards inventory we can attract.
The more rewards we attract, the more we can offer to our players, making our loyalty program more compelling to an even broader audience.
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We constantly monitor the performance of our games to improve the overall gameplay experience.
−Removed: We have a proprietary loyalty platform with a global network of awards partners.
−Removed: During the year ended December 31, 2022, we continued to develop and scale our proprietary loyalty platform to over 96 partners who represent more than 210 brands across 105 countries and 6 continents.
−Removed: We have amassed a global, diverse collection of awards partners across entertainment, retail, technology, travel, leisure, and gaming.
+Added: We have a proprietary loyalty platform with a global network of rewards partners.
+Added: During the year ended December 31, 2023, we continued to develop and scale our proprietary loyalty platform across 104 countries and 6 continents, and have amassed a global, diverse collection of rewards partners across entertainment, retail, technology, travel, leisure, and gaming.
Our loyalty platform allows us to provide an engaging enhancement to the primary gaming experience of our 13.5 million monthly active users for the year ended December 31, 2023.
−Removed: We believe the combination of our more than ten years of development investments, operational experience, integration of our loyalty platform within our awards partners’ marketing and operating practices, and the breadth of our corporate relationships are significant competitive advantages, and to replicate our systems would require competitors to invest substantial time and incur significant expense.
+Added: We believe the combination of our more than twelve years of development investments, operational experience, integration of our loyalty platform within our rewards partners’ marketing and operating practices, and the breadth of our corporate relationships, are significant competitive advantages, and to replicate our systems would require competitors to invest substantial time and incur significant expense.
We are experts in live operations.
We have established “live operations” as a core competency throughout the company and have dedicated live operations teams within each of our game studios.
−Removed: Crafting great content is a necessary, but not sufficient requirement when it comes to building an enduring franchise.
−Removed: Games, and the teams that build and operate them, must cultivate the capacity to understand, anticipate and respond to player behaviors.
+Added: Although crafting great content is a necessary ingredient in building an enduring franchise, content alone is not sufficient.
+Added: Games, and the teams that build and operate them, also must cultivate the capacity to understand, anticipate and respond to player behaviors.
This ability is often enabled by sophisticated tools and a disciplined process.
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We believe that focusing on the player experience is the key to driving player retention and opportunities for conversion to paying players.
−Removed: We have built a player management infrastructure that includes customer support, social media community engagement, VIP hosting for premium players, and real-world meetups and social events with our awards partners.
+Added: We have built a player management infrastructure that includes customer support, social media community engagement, hosting for premium players, and real-world meetups and social events with our rewards partners.
We focus on transparency and accountability, empowering our employees and management to drive the efficient use of capital.
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While this model encourages creativity, dynamism, and independence, it also ensures that our values as a company are deeply ingrained in all that we do.
−Removed: This model fosters our commitment to our employees and their growth, our uncompromising attention to innovation and the creative execution of our games, and our relentless focus on creating value for our players and our awards partners.
−Removed: We have adopted certain organizational conventions to drive collaboration and shared learning.
−Removed: Our Council Framework consists of a collection of forums, each comprised of experts across our studios, that self-organize, meet, and advance an agenda that serves the interests of the broader business.
−Removed: Today we have over 10 active councils focused on areas such as monetization, data science, technology, creative, product execution, user acquisition, player experience, and the playMAKER experience.
−Removed: These forums are designed to drive deeper connections among our key leaders, leverage the collective intelligence from subject matter experts, and provide opportunities for learning and problem solving within key disciplines of the business.
+Added: This model fosters our commitment to our employees and their growth, our uncompromising attention to innovation and the creative execution of our games, and our relentless focus on creating value for our players and our rewards partners.
+Added: We have adopted certain organizational conventions to drive collaboration and shared learning including our "council" framework, which consists of a collection of topic-specific forums, each comprised of experts across our studios that self-organize, meet, and advance an agenda that serves the interests of the broader business.
+Added: Today we have numerous active councils focused on areas such as monetization, data science, technology, creative, product execution, user acquisition, player experience, and the playMAKER experience.
+Added: These councils are designed to drive deeper connections among our key leaders, leverage the collective intelligence from subject matter experts, and provide opportunities for learning and problem solving within key disciplines of the business.
Our founder-led management team includes industry-leading talent in the casino, leisure, and entertainment industries as well as seasoned game developers and operators.
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Our player acquisition strategy is centered on a payback period methodology, and we strategically balance spend between the acquisition of new players and the reactivation of lapsed players.
−Removed: We demonstrate our culture of innovation through the work of playLABS.
−Removed: playLABS is an internal group of game designers, engineers, and artists dedicated to the creation of cutting-edge games, features, and content.
−Removed: This group is also tasked with monitoring the competitive landscape for current and emerging trends, within our current category as well as adjacent genres that might hold crossover appeal or from which new features and functionality could be cross-appropriated.
Our Growth Opportunities
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In addition, we intend to broaden our focus and act on acquisition opportunities that will allow us to complement our existing franchises by integrating new products and players into our playAWARDS program, as we have done with our acquisition of the mobile rights to Tetris® in 2021 and our acquisition of Brainium Studios in 2022.
−Removed: parallel, we will continue to diversify our business model as we scale advertising within each of our games.
+Added: In parallel, we will continue to diversify our business model as we scale advertising within each of our games.
We also plan to introduce new playAWARDS features that will enable our players to transact directly with us, which we expect will improve our gross margins.
Lastly, we’ll continue to evolve our playAWARDS platform and tools such that we can make them available to strategic partners and third parties under a SaaS model, or in our case, Loyalty-as-a-Service.
−Removed: New Game Launches, Including myVEGAS Bingo and MGM Slots Live
−Removed: Our strategy to date has been to expand our portfolio of games and game studios through in-house development, leveraging the talent and culture of our teams to develop innovative and award-winning games.
+Added: New Game Launches
+Added: During the company's first ten years, we generally grew our business organically by assembling every team, building every product, and acquiring every player ourselves.
+Added: Our primary strategy to date has been to expand our portfolio of games and game studios through in-house development, leveraging the talent and culture of our teams to develop innovative and award-winning games.
We launched our myVEGAS Bingo game in March 2021 and MGM Slots Live in October 2021.
These games represent an extension of our addressable market and growth opportunity.
−Removed: As we expand into these new genres and games, we expect to leverage loyalty mechanics and our player network to seed, and then grow, each new product.
+Added: We continue to look for opportunities to
+Added: create new games.
+Added: As we expand into new genres and games, we expect to leverage loyalty mechanics and our player network to seed, and then grow, each new product.
Exclusive Rights to Tetris® Franchise For Mobile Devices
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Targeted Strategic Acquisitions
−Removed: During the company's first ten years, we generally grew our business organically by assembling every team, building every product, and acquiring every player ourselves.
We continually seek, evaluate, and pursue strategic transactions which we believe will enhance our business as further described below.
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Ad Monetization
−Removed: While most of our revenue is derived from in-game purchases, we introduced ad monetization mechanics as a limited pilot program and expanded it throughout 2021 and 2022 into our apps.
+Added: While most of our revenue is derived from in-game purchases, we introduced ad monetization mechanics into various of our social casino games in recent years.
In addition, we acquired the rights to Tetris® on mobile devices in November of 2021 and Brainium Studios in October of 2022.
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Direct Purchase
−Removed: In 2020, we developed and trialed a new collection of web-based VIP features.
+Added: In 2020, we developed and trialed a new collection of web-based myVIP features.
In 2022, the service was extended to all players, who were invited to engage with us through a customized player portal.
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It’s important to highlight that these players are given preferential access to unique rewards, along with virtual currency packages that are not available within the game.
−Removed: The VIP player portal is available to all VIP players at any tier level.
+Added: The myVIP player portal is available to all myVIP players at any tier level.
Continued Conversion of Non-Paying Players into Paying Players
We believe we can generate revenue growth by converting more non-paying players into payers.
−Removed: Our average daily conversion rate of non-payers to payers was 1.5% for the year ended December 31, 2022, down from 2.7% for the year ended
−Removed: December 31, 2021.
+Added: Our average daily conversion rate of non-payers to payers was 0.8% for the year ended December 31, 2023, down from 1.5% for the year ended December 31, 2022.
We continually assess the data about our players to develop insights that we can use to improve conversion.
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Each of our products has a rich roadmap of live events and new features focused on deepening the engagement among our existing paying players.
−Removed: From exclusive in-game VIP events and bespoke hosting services, to tailored pricing on store bundles and premium real-world rewards, we continue to expand the value we deliver to our players, which we believe will translate to increased levels of purchases by our players.
+Added: From exclusive in-game VIP events and bespoke hosting services, to tailored pricing on store bundles and premium
+Added: real-world rewards, we continue to expand the value we deliver to our players, which we believe will translate to increased levels of purchases by our players.
Loyalty-as-a-Service
−Removed: Our playAWARDS program provides value to our awards partners while increasing player engagement and retention within our games.
+Added: Our playAWARDS program provides value to our rewards partners while increasing player engagement and retention within our games.
As we introduce new games and explore potential acquisition opportunities, we will integrate our loyalty program in order to drive value and benefit from our increased scale.
−Removed: We will continue to enhance our playAWARDS program by updating the platform and tools, optimizing the redemption funnel and growing our collection of awards partners.
+Added: We will continue to enhance our playAWARDS program by updating the platform and tools, optimizing the redemption funnel and growing our collection of rewards partners.
Our robust platform and knowledge can be leveraged and applied to other products and services as well.
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Our Company Values
−Removed: Values are not what you say.
−Removed: Values are who you are.
−Removed: At best, they are the product of self-discovery, not belabored wordsmithing.
At PLAYSTUDIOS, the essence of who we are is expressed in three simple truths:
PLAY better together, PLAY to win, and the game is for the PLAYer.
−Removed: The founders of our company and the principals of our Tel Aviv and Hong Kong game studios have long histories together, and the importance of those relationships sets the tone for a company that places its highest premium on trust, mutual respect, and genuine regard for one another — even when we disagree.
+Added: The founders of our company and many of our key studio-level operating teams have long histories together, and the importance of those relationships sets the tone for a company that places its highest premium on trust, mutual respect, and genuine regard for one another — even when we disagree.
While clichés about close-knit cultures abound, we believe that in our case the metaphor of a company as family truly does apply.
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• Tetris® is one of the world's favorite puzzle games.
−Removed: • Tetris® Beat offers our players a unique twist on the classic puzzle game by fusing its hit gameplay with exclusive music and rhythm mechanics.
−Removed: The following games were added to our portfolio following the acquisition of Brainium Studios LLC in October of 2022:
+Added: • Tetris® Beat offers our players a unique twist on the classic puzzle game by fusing its hit gameplay with exclusive music and rhythm mechan
• Mahjong by Brainium has elevated the relaxing tile match game with clean, modern design, smooth animations, and calming sounds.
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• ilu by Brainium is a puzzle game solved with light, set in the boundless void of space with countless forgotten worlds adrift in the dark without the ability to warm their dark and frozen features, where players bring light and life to these abandoned landscapes.
−Removed: During 2022, we also operated Kingdom Boss, a game that allowed players to be immersed in an epic role-playing game as they built their empire, forge alliances, command an army of epic heroes, and rescued their subjects from the shadowlands of exiled kingdoms.
−Removed: We suspended development of Kingdom Boss in the first quarter of 2022.
Integration of Loyalty Program
−Removed: In the decade since launching our first game with integrated loyalty mechanics, we’ve worked to abstract the technologies, tools, and operating practices that were central to this unique value proposition.
+Added: Since launching our first game with integrated loyalty mechanics, we’ve worked to abstract the technologies, tools, and operating practices that were central to this unique value proposition.
Our aim was to transform our loyalty construct into a free-standing and full-featured program that could be more efficiently integrated into future game releases.
Our playAWARDS initiative, and the dedicated team that leads it, is focused on further establishing it as the gaming industry’s gold standard.
−Removed: As we continue to look to accelerate our growth through new product introductions and strategic acquisitions, playAWARDS will serve as a catalyst, driving deeper engagement among newly acquired audiences.
+Added: As we continue to look to accelerate our growth through new product introductions and strategic acquisitions, we believe playAWARDS will serve as a catalyst, driving deeper engagement among newly acquired audiences.
Research and Development
We believe our ability to attract new players and retain existing players depends in part on our ability to evolve and expand our content library by continually developing differentiated games, systems technology and functionality to enhance player entertainment and user profitability.
−Removed: We have a diverse pool of talent located in game development hubs, including in Israel, Serbia, Hong Kong, Singapore, and Vietnam.
+Added: We have a diverse pool of talent located in game development hubs, including in Israel, Serbia, Hong Kong, Singapore, Vietnam, Mexico, and Chile.
This provides us with a funnel of new, internally developed game concepts, ideas for improvements to our systems, and close relationships with those local game-development communities.
As a developer of mobile games, we compete with other game makers and other forms of entertainment content.
−Removed: Our primary competitors include Activision Blizzard (the parent company of King Digital), Electronic Arts (EA Mobile), Epic Games, Jam City, Netmarble (the parent company of Kabam), NetEase (NetEase Games), Niantic, Take-Two Interactive Software, Vivendi (the parent company of Gameloft) and others.
+Added: Our competitors that develop mobile and web games in the social casino gaming category vary in size and offerings and include companies such as Aristocrat, DoubleU, Huuuge Games, Playtika, SciPlay (owned by Light & Wonder), Scopely, Zynga (owned by Take-Two Interactive), and others.
+Added: In addition, there are competitors that develop mobile and web games that are not currently focused on the social casino gaming category but may move into that space and that may also impede our diversification efforts, including companies such as Activision Blizzard (owned by Microsoft and the parent company of King Digital), Electronic Arts (EA Mobile), Epic Games, Netmarble (the parent company of Jam City and Kabam), NetEase (NetEase Games), Niantic, Take-Two Interactive Software, Vivendi (the parent company of Gameloft) and others.
Our market is continually evolving as new developers and new games become part of our rapidly growing, mobile gaming ecosystem.
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We believe the value of our playAWARDS program is tied to the breadth of rewards we make available to our players.
−Removed: Our ability to keep the program fresh and relevant is rooted in the value we deliver to our awards partners.
−Removed: As we continue to demonstrate the productivity and impact of our games as a user acquisition, reactivation and inventory management solution, our awards partners can increase their engagement, optimizing their rewards and the overall merchandising of the program.
−Removed: Driving demonstrable results is key to retaining our existing awards partners and attracting new ones.
−Removed: We expect to continue to demonstrate the value of our program, and in doing so, further build upon our substantial collection of awards partners and rewards.
+Added: Our ability to keep the program fresh and relevant is rooted in the value we deliver to our rewards partners.
+Added: As we continue to demonstrate the productivity and impact of our games as a user acquisition, reactivation and inventory management solution, our rewards partners can increase their engagement, optimizing their rewards and the overall merchandising of the program.
+Added: Driving demonstrable results is key to retaining our existing rewards partners and attracting new ones.
+Added: We expect to continue to demonstrate the value of our program, and in doing so, further build upon our substantial collection of rewards partners and rewards.
We believe that we can compete favorably in our market.
−Removed: Successful execution of our strategy depends on our ability to attract and retain players, expand the market for our games, convert non-paying players into payers, attract and retain awards partners, and offer unique and compelling experiences to players.
+Added: Successful execution of our strategy depends on our ability to attract and retain players, expand the market for our games, convert non-paying players into payers, attract and retain rewards partners, and offer unique and compelling experiences to players.
In some cases, we compete against gaming operators who could expand their product lines to include games that could directly compete with ours.
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We create most of the intellectual property we use in our games, but we also license or otherwise receive rights to third-party intellectual property for use in our games.
−Removed: For example, we use licensed intellectual property from MGM Resorts International, Konami Gaming, Tetris®, Ainsworth Gaming Technology, and Shaquille O’Neal among others, as creative assets in our games.
+Added: For example, we use licensed intellectual property from MGM Resorts International, Konami Gaming, Tetris®, Ainsworth Gaming Technology, IGT, and Shaquille O’Neal among others, as creative assets in our games.
These licenses typically limit our use of intellectual property to specific uses and for specific time periods and include other contractual obligations with which we must comply.
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There is a risk that existing or future laws may be interpreted in a manner that is not consistent with our current practices and could have an adverse effect on our business.
−Removed: It is also likely that as our business grows and evolves and our games are played in a greater
−Removed: number of countries, we will become subject to laws and regulations in additional jurisdictions or other jurisdictions may claim that we are required to comply with their laws and regulations.
+Added: It is also likely that as our business grows and evolves and our games are played in a greater number of countries, we will become subject to laws and regulations in additional jurisdictions or other jurisdictions may claim that we are required to comply with their laws and regulations.
There are ongoing academic, political and regulatory discussions in the U.S., Europe, Australia, and other jurisdictions regarding whether social casino games should be subject to a higher level or different type of regulation than other social games to protect consumers, in particular minors and persons susceptible to addiction to social casino games, and, if so, what this regulation should include.
−Removed: For example, at the end of August 2020, a court approved a settlement of class action litigation relating to violations by Big Fish Games, Inc., the operator of an online social casino game, of a specific anti-gambling law in the State of Washington, in an aggregate amount equal to $155.0 million.
−Removed: While our games operate differently from games implicated in the Big Fish Games class action litigation, if new social casino regulations are imposed, or other regulations are interpreted to apply to our social casino games, certain, or all, of our social casino-themed games may become subject to those regulations and expose us to civil and criminal penalties if we do not comply.
−Removed: In addition, the increased attention focused upon liability issues as a result of lawsuits and legislative proposals could harm our reputation or otherwise impact the growth of our business.
−Removed: Any costs incurred as a result of this potential liability could harm our business, financial condition, or results of operations.
It is possible that a number of laws and regulations may be adopted or construed to apply to us in the U.S.
5 unchanged sentences
Changes in current laws or regulations or the imposition of new laws and regulations in the U.S.
−Removed: or elsewhere regarding these activities may impede the growth of social game services and impair our business, financial condition, or results of operations.
+Added: or elsewhere regarding these activities may impede the growth of social game services and impair our
+Added: business, financial condition, or results of operations.
+Added: See " Risk Factors — Our business is subject to a variety of U.S.
+Added: and foreign laws, many of which are unsettled and still developing, and which could subject us to claims or otherwise harm our business.
We are a member of the ISGA, which promotes best practices in gaming
13 unchanged sentences
In November 2020, California voters passed the California Privacy Rights Act, or CPRA.
−Removed: The CPRA significantly expands the CCPA, including by introducing additional obligations such as data minimization and storage limitations, granting additional rights to consumers, such as correction of personal information and additional opt-out rights, and creates a new entity, the California
−Removed: Privacy Protection Agency, to implement and enforce the law.
+Added: The CPRA significantly expands the CCPA, including by introducing additional obligations such as data minimization and storage limitations, granting additional rights to consumers, such as correction of personal information and additional opt-out rights, and creates a new entity, the California Privacy Protection Agency, to implement and enforce the law.
The CCPA and CPRA could subject us to additional compliance costs as well as potential fines, individual claims and commercial liabilities.
6 unchanged sentences
Privacy Shield Framework (a mechanism for the transfer of personal information from the EU to the U.S.) and made clear that reliance on standard contractual clauses (an alternative mechanism for the transfer of personal information outside of the EU) alone may not be sufficient in all circumstances.
+Added: That program was subsequently replaced by the EU-U.S.
+Added: Data Privacy Framework adopted July 17, 2023.
In addition, after the UK left the EU, the UK enacted the UK GDPR, which, together with the amended UK Data Protection Act of 2018, retains the GDPR in UK national law, but also creates complexity and uncertainty regarding transfers of personal information between the UK and the EU, which could further limit our ability to use and share personal data and require localized changes to our operating model.
We are also subject to data protection and data privacy laws in other jurisdictions, such as the Lei Geral de Proteção de Dados or LGPD, a data privacy act enacted by Brazil that became effective September 18, 2020, which created new privacy rights for individuals and include monetary penalties for non-compliance.
−Removed: We are further subject to consumer protection laws, such as general truth in advertising and unfair trade practices that prohibit making false statements about, or otherwise failing to disclose, how we use our players’ data, as well as federal and state data breach notification laws.
+Added: We are further subject to consumer
+Added: protection laws, such as general truth in advertising and unfair trade practices that prohibit making false statements about, or otherwise failing to disclose, how we use our players’ data, as well as federal and state data breach notification laws.
The scope of data privacy laws and regulations worldwide continues to evolve, and we anticipate that the number of data privacy laws and the scope of individual data privacy and protection rights will increase, and we will continue to evaluate tools and methods to help us comply with existing and new laws and regulations.
+Added: The scope and interpretation of the laws that are or may be applicable to us are often uncertain and may be conflicting, particularly laws outside the United States.
+Added: It is also likely that as our business grows and evolves and our games are played in a greater number of countries, we will become subject to additional data privacy, cybersecurity, and consumer protection laws and regulations in additional jurisdictions.
+Added: If we are not able to comply with these laws or regulations or if we become liable under these laws or regulations, we could be directly harmed, and we may be forced to implement new measures to reduce our exposure to this liability.
+Added: This may require us to expend substantial resources, modify our games, or block users from a particular jurisdiction, each of which would harm our business, financial condition, and results of operations.
+Added: In addition, the increased attention focused upon liability issues as a result of lawsuits and legislative proposals could harm our reputation or otherwise impact the growth of our business.
We require new players who play our games for the first time to accept our privacy policy and terms of service.
6 unchanged sentences
Human Capital
−Removed: We had 752 full-time and twelve part-time employees in our principal office and ten studios located in seven countries as of December 31, 2022.
+Added: We had 697 full-time and 13 part-time employees in ten studios located in eight countries as of December 31, 2023.
None of our employees are represented by a labor organization or are a party to any collective bargaining agreement with respect to their employment by us, except for certain employees in Vietnam where local law requires those employees to be represented by a trade union.
8 unchanged sentences
In addition, we offer stock-based compensation and access to a variety of health and wellness resources.
−Removed: Our principal business operations are located in Las Vegas, Nevada.
−Removed: We lease space in San Francisco, California, Austin, Texas, Portland, Oregon, Tel-Aviv, Israel, Hong Kong, Belgrade, Serbia, Hanoi, Vietnam and Singapore for our game development and operation functions.
−Removed: We believe our facilities are adequate and suitable for our current needs and that should it be needed, suitable additional or alternative space will be available to accommodate our operations.
−Removed: Legal Proceedings
−Removed: From time to time, we are a party to litigation and subject to claims incident to the ordinary course of business.
−Removed: Although the results of litigation and claims cannot be predicted with certainty, we currently believe that the final outcome of the litigation and claims we currently face will not have a material adverse effect on our business or financial condition.
−Removed: Regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources and other factors.
−Removed: On April 6, 2022, a class action lawsuit was filed in the United States District Court, Northern District of California, by a purported Company shareholder in connection with alleged federal securities violations:
−Removed: PLAYSTUDIOS, Inc.
−Removed: (the “Felipe Complaint”).
−Removed: On July 15, 2022, the Felipe Complaint was transferred to the United States District Court for the District of Nevada, Southern Division.
−Removed: On October 4, 2022, the plaintiffs filed an amendment to the Felipe Complaint.
−Removed: The Felipe Complaint names the Company, several current and former board members of the Company, board members and officers of Acies Acquisition Corp., and Andrew Pascal, the Company’s Chairman and CEO, as defendants.
−Removed: The Felipe Complaint alleges misrepresentations and omissions regarding the state of the Company’s development of the Kingdom Boss game and its financial projections and future prospects in the S-4 Registration Statement filed by Acies that was declared effective on May 25, 2021, the Proxy Statement filed by Acies on May 25, 2021, and other public statements that touted Old PLAYSTUDIOS’ and the Company’s financial performance and operations, including statements made on earnings calls and the Amended S-1 Registration Statement filed by the Company that was declared effective on July 30, 2021.
−Removed: The Felipe Complaint alleges that the misrepresentations and omissions resulted in stock price drops of 13% on August 12, 2021, and 5% on February 25, 2022, following (i) the Company’s release of financial results for the second quarter of 2021, ended on June 30, 2021, and (ii) the filing of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 and issuance of a press release summarizing financial results for the fourth quarter and year ended December 31, 2021, respectively.
−Removed: The Felipe Complaint seeks an award of damages for an unspecified amount.
−Removed: The Company believes that the claims are without merit and the Company intends to vigorously defend against them;
−Removed: however, there can be no assurance that the Company will be successful in the defense of this litigation.
−Removed: The Company is not able to reasonably estimate the probability or amount of loss and therefore has not made any accruals.
−Removed: We are a party to a pending litigation matter brought by TeamSava d.o.o.
−Removed: Beograd, or TeamSava, and other related parties.
−Removed: The plaintiffs filed a Statement of Claim in May 2021 in Tel Aviv District Court in Israel, alleging claims, among other things, that we breached the terms of a commercial contract relating to services provided by TeamSava and related parties in connection with the sourcing and administrative management of personnel in Serbia who provided game development services exclusively for us.
−Removed: The pending litigation seeks damages of 27.3 million New Israeli Shekels (NIS) (or approximately $7.7 million based on prevailing exchange rates as of December 31, 2022).
−Removed: We believe that the claims are without merit and we intend to vigorously defend against them;
−Removed: however, there can be no assurance that we will be successful in the defense of this litigation.
−Removed: Our range of possible loss could be up to 27.3 million NIS based on the claim amount of the litigation, but we are not able to reasonably estimate the probability or amount of loss and therefore have not made any accruals.
−Removed: On March 2, 2021, a lawsuit was filed in the Superior Court of California, Los Angeles County, by a purported Acies shareholder in connection with the Acies Merger:
−Removed: Acies Acquisition Corp., et al.
−Removed: County) (the “McCart Complaint”).
−Removed: The McCart Complaint names Acies and members of Acies’ board of directors as defendants.
−Removed: The McCart Complaint alleges breaches of fiduciary duties against members of Acies’ board of directors and aiding and abetting the board of directors’ alleged breaches of fiduciary duties against Acies.
−Removed: The McCart Complaint also alleges that the registration statement for the Acies Merger was materially deficient and omitted and/or misrepresented material information including, among other things, certain financial information, certain details regarding Acies’ financial advisors, and other information relating to the background of the Acies Merger.
−Removed: The McCart Complaint generally sought to recover damages related to the Acies Merger.
−Removed: The lawsuit was voluntarily dismissed by the plaintiff on August 6, 2021.
−Removed: Another purported Acies shareholder sent a demand letter on February 19, 2021, making similar allegations as those made in the McCart Complaint and demanding additional disclosure regarding the Acies Merger.
−Removed: We have not received any further correspondence from such shareholder.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.