<?xml version="1.0"?><ownershipDocument>    <schemaVersion>X0101</schemaVersion><documentType>4</documentType><periodOfReport>2003-05-05</periodOfReport><notSubjectToSection16>0</notSubjectToSection16><issuer><issuerCik>0000002491</issuerCik>        <issuerName>ALLIANCE GAMING CORP</issuerName><issuerTradingSymbol>AGI</issuerTradingSymbol></issuer><reportingOwner><reportingOwnerId><rptOwnerCik>0001194916</rptOwnerCik>            <rptOwnerName>MIODUNSKI ROBERT L</rptOwnerName>        </reportingOwnerId>        <reportingOwnerAddress>            <rptOwnerStreet1>  </rptOwnerStreet1>            <rptOwnerStreet2>  </rptOwnerStreet2>            <rptOwnerCity>  </rptOwnerCity>            <rptOwnerState>  </rptOwnerState>            <rptOwnerZipCode>  </rptOwnerZipCode>        </reportingOwnerAddress><reportingOwnerRelationship><isDirector>0</isDirector><isOfficer>1</isOfficer><isTenPercentOwner>0</isTenPercentOwner><isOther>0</isOther><officerTitle>President and CEO</officerTitle></reportingOwnerRelationship></reportingOwner><nonDerivativeSecurity><securityTitle><value>Alliance Gaming Corp., $.10 par</value></securityTitle><transactionDate><value>2003-05-05</value></transactionDate><transactionCoding><transactionFormType>4</transactionFormType><transactionCode>S</transactionCode><equitySwapInvolved>0</equitySwapInvolved></transactionCoding><transactionAmounts><transactionShares><value>92688</value></transactionShares><transactionValue><value>16.19</value></transactionValue><transactionAcquiredDisposedCode><value>D</value></transactionAcquiredDisposedCode></transactionAmounts><postTransactionAmounts><sharesOwnedFollowingTransaction><value>0</value></sharesOwnedFollowingTransaction></postTransactionAmounts><ownershipNature><directOrIndirectOwnership><value>D</value></directOrIndirectOwnership></ownershipNature></nonDerivativeSecurity><ownerSignature><signatureName>/s/Robert Miodunski</signatureName><signatureDate>2003-05-05</signatureDate></ownerSignature></ownershipDocument>

