Ainsworth Secures $8.5M Patent Licence Deal With Aristocrat for Hold & Spin and Responsible Gaming

Ainsworth Gains Freedom to Use Aristocrat’s Signature Game Features

Ainsworth Game Technology (ASX:AGI) has reached a pivotal patent licence agreement with Aristocrat Technologies that clears the way for Ainsworth to incorporate Aristocrat’s well-known Hold & Spin game features into its Australian operations. The deal grants Ainsworth a non-exclusive, non-transferable licence to Aristocrat’s Australian game play feature patents, including the Hold & Spin family, for use in Ainsworth-branded electronic gaming machines, online, and mobile games. This licence extends to manufacturing, selling, servicing, upgrading, and converting machines both directly and via third parties.

Settlement Ends Legal Uncertainty and Opens Strategic Path

The agreement follows a successful patent case won by Aristocrat in 2025, after which both companies negotiated to resolve disputes over the historic use of Aristocrat’s patents. As part of the settlement, Ainsworth and Aristocrat have mutually released each other from all claims relating to past patent use and agreed to a non-challenge covenant on each other’s licensed patents. This resolution provides Ainsworth with the legal certainty its CEO Ryan Comstock said is essential for confidently executing growth initiatives in the Australian market.

Royalty-Free Licence for Responsible Gaming Technologies

In a notable twist, Ainsworth secured a royalty-free licence to Aristocrat’s responsible gaming patents, which cover innovations like digital wallets, account-based play, player limits, self-exclusion, player messaging, and AI-driven risk detection. This licence will endure until the expiration of each respective patent, extending well beyond the three and a half year term of the main agreement. This move aligns with industry trends emphasizing responsible gaming and regulatory compliance.

Financial Terms and Mutual Licensing

The commercial terms remain largely confidential, but Ainsworth will pay Aristocrat a total of A$8.5 million in instalments over the agreement’s three and a half year duration. Additionally, Ainsworth has granted Aristocrat a reciprocal non-exclusive licence to all of Ainsworth’s patents for Aristocrat-branded products in Australia. The agreement also includes pass-through rights, ensuring that Ainsworth’s customers, distributors, and venues can operate, service, and resell licensed units without legal ambiguity.

Strategic Implications for Ainsworth’s Australian Market Position

This deal comes at a time when Ainsworth is navigating a mixed financial landscape, with recent reports showing 10% revenue growth in FY25 driven by Asia Pacific demand but challenges in North America. The patent licence agreement with Aristocrat may bolster Ainsworth’s competitive positioning in Australia by enabling it to offer popular game features and responsible gaming tools without legal overhang. The certainty gained could underpin new product launches and partnerships domestically, complementing the company’s broader strategic push under CEO Ryan Comstock.