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Finance - August 6, 2025

Military Slot Machines Yield Millions While Struggling Veterans Cry Out for Help

Military Slot Machines Yield Millions While Struggling Veterans Cry Out for Help

In the aftermath of the September 11 attacks, Dave Yeager found himself stationed in Seoul, South Korea, feeling lost and overwhelmed with responsibility as he left behind his wife and two young children. Desperate for relief, Yeager encountered a room filled with slot machines on a military base – an unfamiliar sight in the United States.

Intrigued by the opportunity to win some money, Yeager discovered that pulling the levers of these machines offered him temporary respite from his stress and anxiety. However, this brief escape soon turned into an uncontrollable obsession as he continued to gamble away his savings, sell possessions, and even resort to theft from his own unit.

This troubling pattern among service members has been highlighted by researchers such as Shane W. Kraus, an associate professor at the University of Nevada, Las Vegas who specializes in gambling disorders. Veterans and active-duty personnel are more likely than civilians to develop gambling problems due to various stressors associated with military life, yet they may be less inclined to seek help out of fear of repercussions on their careers.

Despite the impact on individuals like Yeager, the Army Recreation Machine Program (ARMP) continues to generate significant revenue from its slot machine operations. According to Neil Gumbs, General Manager of the ARMP Installation Management Command (IMCOM), the program operated 1,889 machines in 79 locations abroad during the 2024 fiscal year, bringing in $70.9 million and netting $53 million.

While the revenue generated by the ARMP has fluctuated over the years, it saw a resurgence following 2020 due to increased investment in new equipment and reduced costs. During October 2024 to May 2025 alone, the program earned approximately $47.7 million from players, with only about $37 million paid out as reportable jackpots over $1,200.

Historically, the ARMP has generated revenue exceeding $100 million, as reported by the Government Accountability Office in 2017. However, earnings decreased significantly between 2010 and 2020 before rebounding after 2020 due to factors such as base closures and reduced forces.

Critics argue that while these gambling programs generate substantial profits for the military, they do not prioritize sufficient education on problem gambling or allocate enough funds towards addressing the issue among service members.