The Texas Lottery, operated by the Texas Lottery Commission and headquartered in Austin, Texas, is a state-run lottery. It has faced criticism and investigations from Texas lawmakers and media throughout its thirty-year history, along with its operator, International Game Technology. These issues have led to government scrutiny.
International Game Technology was created in 1975.
On July 11, 1991, House Bill 54 was introduced for a state lottery in Texas.
On November 5, 1991, the voters of Texas approved an amendment to the Texas Constitution authorizing lottery sales in the state.
On November 7, 1992, sales began for Lotto Texas, the first in-house drawing game.
The first drawing for Lotto Texas, the first Texas in-house drawing game, occurred on November 14, 1992.
On November 28, 1992, the first Lotto Texas jackpot was won by a resident of Schulenburg.
On October 25, 1993, Pick 3, a four times daily draw game, began.
Beginning in 1993, Joan R. Ginther became a four-time winner of prizes over $1 million, with the first win from Lotto Texas.
On May 18, 1998, Texas Million began, offering a top prize of $1 million.
In 1998, Texas news media prominently featured negative reports on the state’s lottery contractor, IGT.
A 1999 study by Donald I. Price and E. Shawn Novak, published in the National Tax Journal, found that Lotto, Pick 3, and Instant games were regressive taxes that disproportionately affected low-income, less-educated, and minority groups.
In 2000, Thomas "Hollywood" Henderson, the former Dallas Cowboys linebacker, claimed a winning jackpot in excess of $14 million.
On May 11, 2001, Texas Million was discontinued, with 25 top-prize winners during its run.
On May 13, 2001, sales began for Texas Two Step, a twice-weekly in-house game.
On July 29, 2002, sales began for Cash Five, replacing a game with a similar name.
In 2002, Linda Cloud, Littwin's successor, resigned from her position, admitting to lying to media.
In 2003, Texas joined the Mega Millions consortium, with sales beginning December 3 and the first drawing to include Texas on December 5. No Texas ticket won the jackpot, but one ticket matched the first five numbers for US$175,000.
The Lone Star Millions game ended on February 1, 2004, after setting world records for first-day and first-week sales.
On October 4, 2004, a player from Carrollton became the first Texas jackpot winner of Mega Millions, taking home $101 million.
In 2006, GTECH was acquired by Lottomatica.
On September 30, 2007, sales began for Daily 4, which is drawn 24 times weekly.
On October 13, 2009, Mega Millions and MUSL (Powerball) agreed in principle for lotteries to cross-sell Mega Millions and Powerball, starting January 31, 2010.
In 2012, All or Nothing was introduced, with drawings 24 times weekly. Players choose 12 numbers from 24 to win $250,000 cash if all or none match. Each play is $2.
In 2012, the contract for GTECH was estimated at about $100 million annually, making it the fourth-largest vendor to the state of Texas. The lottery operator has been implicated in numerous scandals regarding its management of the state lottery.
On April 14, 2013, Lotto Texas introduced the Extra! option to players for an additional $1 per play.
On April 17, 2013, the first Lotto Texas drawing was held including the Extra! winnings. With Extra! Players can win $2 for matching 2 of 6 numbers, $10 to the base prize amount for matching 3 of 6 numbers, $100 to the base prize for matching 4 of 6 numbers, and $10,000 to the base prize for matching 5 of 6 numbers.
On October 19, 2014, sales began for the Monopoly Millionaires' Club (MMC).
Texas suspended sales of Monopoly Millionaires' Club following the December 12, 2014 drawing.
In 2015, there was a merger with International Game Technology (1975–2015).
In April 2016, the Monopoly Millionaires' Club (MMC) television game show concluded its run.
On July 28, 2018, the final drawing of the Texas Triple Chance game was held.
In 2018, Cash Five was relaunched with a new matrix, better odds, and guaranteed prizes, including a $25,000 top prize.
In the 2018 fiscal year, lottery revenue was allocated as follows (details not provided in the text).
Since 2019, ticket couriers have operated legally in Texas, allowing players to purchase tickets digitally through third-party sellers.
On August 23, 2021, Lotto Texas introduced a third weekly drawing on Mondays, in addition to the existing Wednesday and Saturday drawings.
According to a November 2024 Texas House interim report, courier services accounted for $101 million in lottery ticket sales over the first seven months of the 2023 financial year in Texas.
In 2023, a consortium exploited a loophole to obtain nearly all possible number combinations in Texas lottery tickets, securing a $95 million jackpot. This event was declared "the biggest theft from the people of Texas in the history of Texas" by Lieutenant Governor Dan Patrick.
According to a November 2024 Texas House interim report, courier services accounted for $101 million in lottery ticket sales over the first seven months of the 2023 financial year in Texas.
In 2024, Gary Greif, an executive director, resigned after facing public scrutiny.
On February 14, 2025, a class-action lawsuit was filed alleging violations of state and international laws in April 2023 amid a "long-running fraud scheme in collaboration with Lottery.com and its executives."
On February 28, 2025, the Texas Senate voted to ban courier services from participating in the purchase of lottery tickets.
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