Is right before everyone’s eyes that online gambling has been growing, and this has caused governments around the world to take action in order to regulate the sector and collect the rightful earnings that derivative from that regulation.
The growth from mobile usage has just helped to consolidate gambling companies and demonstrated that gambling is here not just to stay, but also that it’s expanding rapidly. The predictions are one-digit growth for the next four years, and after that period a double-digit revenue in billion Euros is expected, so we are talking big numbers here.
It’s not only the mobile and gambling increase that is causing this growth in the sector. Seeing the potential involved in phones and tablets, quite a few companies have launched themselves in acquisition deals in the past couple of years. A good example is the one from Amaya Gaming Group that bought PokerStars and Full Tilt Poker.
Still a market
Despite the growth, this doesn’t mean every single company in the area is getting good results. We can find William Hill and Paddy Power growing more than 20%, but we also find Betfair moderately growing, while Bwin has even declined their revenues. It’s fierce competition!
The biggest gambling market in the world in Europe and this happens because most of their countries have established legislation for the sector. With the European Union making pressure on its members to adopt new regulations, it’s not a surprise that this lead will just increase over time.
The Netherlands new online gaming laws aim additional tax revenues. Spain, the UK, and France have the largest online gambling market, especially in what concerns sports betting, and Italy leads in casino games. Germany has been optimizing the co-existence of their gambling regimes, and these are some examples of why Europe is leading the way.
Europe, and the rest of the world
Europe seems, therefore, to be a step ahead of the rest of the world. Looking at Russia, where online gambling is still illegal, we see that everything is still very preliminary, as is starting to give the first steps to regulate gambling online, namely under a self-regulatory organization. If in Russia, steps the right direction is being given, in the other countries some governments make the impossible to keep it illegal, namely Singapore, since 2015.
If we analyze China and South Korea, we realize that those trying to put up illegal gambling sites there are being arrested, so it’s a big no for online gambling. Australia, on the other hand, is far more liberal, and the regulated expanding sector is attracting foreign companies.
Looking at the United States, it’s not that different than what’s happening in Asia, as just three states are allowing online gambling. Of course that it’s expected that more states regulate the sector when they see revenues growing, but so far everything it’s still at an incipient level.
Brazil and Mexico are also giving steps forward, as new bills are being prepared to regulate the online sector, even if they aren’t approved just yet. South Africa seems to be the only African country prepared to follow these steps too, as it has announced plans to legalize online gambling.
Technological development, as well as the financial benefits that the sector is offering, promise that the market will expand faster than most other sectors, giving an answer to the demand from players all over the world.