ATLANTIC CITY, N.J. – New Jersey gambling regulators have approved a New York firm to become the first in the United States to deploy skill-based slot machines on casino floors in which payout is determined by the player's ability.

The New Jersey Division of Gaming Enforcement gave approval late Wednesday night to GameCo, Inc. to deploy its machines at three Atlantic City casinos owned by Caesars Entertainment. The machines could start being installed as soon as Monday at Harrah's, Caesars or Bally's.

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The machines, called VGMs, are expected to undergo several weeks of testing, and are expected to usher in a new era of gambling aimed at attracting young people who grew up playing video games.

'With this approval from the DGE, the VGM is officially the first skill-based video game gambling product approved by any U.S. gaming jurisdiction regulator,' said Blaine Graboyes, the company's CEO and co-founder.

The company has been in a race with rival firm Gamblit, which last month announced plans to put similar machines in California and Nevada in October, also at Caesars-owned casinos. Other manufacturers working on similar products include IGT and NanoTech Gaming.

The machines are aimed squarely at millennials and those who like playing games on social media networks or on their phones, and who may be less inclined to play traditional push-button slot machines.

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Titled 'Danger Arena,' the games give the player a brief tutorial, make sure the customer knows how to use the controls and that they are working properly, and then presents the customer with a map, or game scenario. This scenario will vary randomly, and constitutes the element of chance or randomness that is the hallmark of traditional slot machines. It is then up to the player to maneuver through the playing field in 45-to-90-second increments.

Each game also includes a secondary random winning opportunity, with a possible instant cash win ranging from $1 to $5,000, Graboyes added, so that even poorly skilled players have a chance at winning, he said.

GameCo plans to deploy three triple-unit carousels at Caesars, two at Harrah's and two at Bally's, with a total of 21 playing stations. It plans to expand them to additional states within the next six months.

The company was licensed in Atlantic City through the Division of Gaming Enforcement's New Jersey First program, which speeds approvals for new gambling products if they are introduced first in the resort town.

'We have been at the forefront of encouraging innovation, and are pleased that the efforts of GameCo and division staff have culminated in this skill-based video game becoming available in Atlantic City before any other jurisdiction in the United States,' said David Rebuck, director of the gaming enforcement division.

Gamblit plans to debut its machines at Harrah's Rincon in southern California. After field trials, Caesars Entertainment anticipates putting machines with 125 Gamblit gambling positions into multiple Nevada casinos, and intends to put 100 more positions into additional markets in early 2017.

ATLANTIC CITY, N.J. (AP) — New Jersey gambling regulators have issued regulations allowing companies to place skill-based gambling devices on the floor of the state’s eight casinos.

The state Division of Gaming Enforcement posted the rules by which manufacturers of skill-based games must operate.

They include prominently letting players know that the outcome of their bet can be influenced by their physical or mental skill as opposed to traditional gambling devices that are based on chance.

“This is another important step towards implementing skill-based gaming in the Atlantic City gaming market,” said Division Director David Rebuck. “Although the Division has had the authority to authorize these games for some time and announced in October 2014 an initiative for manufacturers to bring their skill-based games to New Jersey, the industry requested specific regulations to guide their efforts to create innovative skill-based products.”

The rules include requirements that the games pay out a certain percentage of bets collected, and they prohibit casinos from making the games harder or easier to win while a game is in progress, based on the perceived skill of the player.

They also include monitoring programs to guard against collusion or money laundering in multi-player peer-to-peer games.

Manufacturers say skill-based slot machines are meant to appeal to millennials who tend to skip over traditional machines because they see them as old-fashioned.

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Some are developing real-money gambling versions of arcade games like pinball, and video game console products like “Guitar Hero.” Others are developing casino versions of games like” ”Angry Birds” and “Words with Friends.”

Last February, the Borgata casino in Atlantic City hosted a basketball free throw shooting contest for cash.

Rebuck said that under a fast-track provision, manufacturers who bring their skill-based devices to New Jersey before any other jurisdiction can have them in operation on a casino floor within 14 days of approval.

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The rules mirror those adopted last September in Nevada, so any device approved there would be allowed in New Jersey, as well.

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