Evolution AB has moved to amend its defamation lawsuit against Playtech, alleging a smear campaign to undermine its reputation in the North American market. Playtech has dismissed these claims as baseless. The legal battle highlights tensions between major players in the online gaming sector, with potential implications for both companies' reputations and share prices.
In a significant development within the iGaming sector, Evolution AB has filed a request with the Superior Court of New Jersey to expand its ongoing defamation lawsuit by including Playtech Plc and several individuals associated with the company as defendants. The allegations center around claims that Playtech orchestrated a smear campaign aimed at damaging Evolution’s reputation and hindering its entry into the North American online gaming market.
The roots of this legal battle trace back to late 2020 when Evolution initiated a defamation lawsuit against US law firm Calcagni & Kanefsky LLP and intelligence contractor Black Cube. It is alleged that Playtech enlisted Black Cube to investigate Evolution’s activities in markets deemed prohibited and unlicensed. The subsequent report generated by Black Cube was submitted to regulatory bodies in New Jersey and Pennsylvania, leading to scrutiny of Evolution’s operations.
However, both regulatory agencies ultimately found insufficient evidence to support the report’s main allegations, with the New Jersey Superior Court later characterizing the document as “objectively baseless.” In a statement, Black Cube insisted it had acted in good faith, asserting that its findings were submitted in coordination with its client.
In its amended filing, Evolution outlines multiple claims against Playtech and related parties, alleging that Playtech not only commissioned the investigation but also incentivized Black Cube with substantial success fees, reportedly around ÂŁ1.5 million. This payment was allegedly contingent on the delivery of results that aligned with Playtech's desired narrative. Additionally, Evolution claims Playtech concealed its involvement from both investors and regulators while incurring significant legal fees to mask its role in the situation.
Furthermore, Juda Engelmayer, a communications professional linked to HeraldPR, is accused of facilitating the leak of the damaging report to media outlets, thereby maximizing reputational harm to Evolution. The allegations extend beyond defamation and trade libel, encompassing claims of fraud, racketeering, and the concealment of crucial information from shareholders.
Moreover, Evolution has raised concerns regarding Black Cube’s investigative methods, which allegedly included covert recordings and the use of false identities to engage former employees. These tactics are viewed as contributing to a misleading narrative that has adversely affected Evolution’s reputation.
In response to these serious allegations, Playtech has publicly rejected Evolution’s claims, labeling the proposed legal amendments as “baseless and without merit.” The company, listed on the London Stock Exchange, stated that it anticipated Evolution’s actions following the latter’s public comments made in October 2025.
Playtech stands firm in its belief that the investigation was conducted lawfully, emphasizing its commitment to transparency amidst what it describes as credible concerns raised by operators, suppliers, and regulators regarding Evolution’s activities.
In a counterclaim, Playtech has suggested that Evolution is attempting to evade legitimate scrutiny over allegations of supplying operators in illegal markets and supporting unlicensed operators within regulated jurisdictions.
This ongoing legal dispute underscores the tensions prevalent in the online gaming industry, especially between two of the sector's largest business-to-business suppliers. The controversy has also attracted broader regulatory attention. In 2024, the UK Gambling Commission initiated a review of Evolution’s supplier licence due to concerns that its games were accessible through unlicensed operators. This situation prompted Evolution to withdraw from certain grey markets and enhance its compliance controls, albeit at a considerable financial cost.
The protracted legal battle has begun to affect investor sentiment. Following the latest developments in October 2025, Playtech saw its share price drop significantly, between 25% and 38%. In contrast, Evolution’s share price remained stable or even experienced a slight increase after releasing its statement.
Looking ahead, the case may continue to influence share prices for both companies. As noted by industry expert Ben Robinson, the complexities surrounding aggregator networks and VPN usage complicate efforts to prevent unregulated jurisdictions from interacting with major suppliers like Evolution and Playtech.
Ultimately, the Superior Court of New Jersey will determine whether to permit the amended complaint to proceed, a decision that could have far-reaching implications for both companies involved.
Kathryn Evans specializes in breaking news related to EMEA and US legislation. A proud North Walian and fluent Welsh speaker, she has been a lifelong supporter of Wrexham FC, well before the Hollywood spotlight shone on the club.
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