The company announced that its first foray into the online gaming space will come by way of Mohegan Digital.

The iGaming brand is a result of Connecticut lawmakers expanding Mohegan Sun’s Class III gaming compact. That includes online slot machines and table games, as well as in-person and mobile sports betting.

“As legal sports betting continues to expand in the US, the timing was right for us to launch Mohegan Digital,” said Ray Pineault, president and CEO of Mohegan Gaming.

Mohegan Digital will first concentrate on Connecticut. Online gaming and sports betting in Connecticut are expected to launch before the end of the year.

Connecticut’s decision to legalize sports betting and iGaming for its two tribes is the result of ongoing competition in nearby states.

When Mohegan Sun and Foxwoods opened in the 1990s, customers flocked to the tribal destinations. But today, those people no longer must travel to the Connecticut casinos, as gaming properties are in New York, Rhode Island, and Massachusetts.

Casinos in those states have led to reduced slot revenue at Mohegan Sun and Foxwoods, and subsequent fewer tax dollars. The tribes’ compacts require they share 25% of their slot win. Table game money remains fully with the tribes.

Now, Connecticut’s tribes have a major competitive advantage by way of iGaming. While sports betting is legal and operational in New York and Rhode Island, the latter also allowing mobile sportsbooks, full interactive casinos are not legal in those three states.

Sports betting makes the headlines, but online gaming platforms generate considerably more revenue from internet slots and tables.

Editing by Rachel Hu