eGaming Review January 2015 | Page 55

W H AT ’ S N E X T F O R E G A M I N G ? / C OV E R S T O RY E ME RG I N G MA RK E T S 03 GLOBAL REGULATION UPDATE WTHE LONG-GAME IN ASIA IS ONE FEW ARE WILLING TO PLAY With many European markets highly competitive or restricted by taxation – or in some cases, both – egaming operators may look to find growth from farther flung pastures. Asia in particular has long been considered the region of the future, but in reality the pace of change is glacial at best. While grey market revenues remain in their abundance, regulatory progress in the continent continues to frustrate. Land-based regulation in Japan, while looking promising at the start of the year, has subsequently died a long drawn out death and a number of other Asian countries have more recently sought to clamp down on online gambling. Singapore’s recent legislation has prohibited all online wagering aside from a limited number of sports wagering markets to be maintained by domestic not-for-profit organisations, and regulatory developments in Malaysia in November sent Playtech’s shares down approximately 10%. Playtech CEO Mor Weizer has repeatedly reiterated his confidence that Asia will come round to the prospect of regulated online gambling and likened the continent to Europe several years ago. But there needs to be significant movement if he is to be proved correct. India could be the unlikely first mover if a long-awaited court ruling finds poker to be a game of skill and exempt from its gambling laws. But elsewhere grey markets show more signs of turning black than white in the near term. p SWEDEN GERMANY Plans to regulate online gambling in Sweden are set to be accelerated after the country was hit by an infringement proceeding from the European Commission. It is widely expected to implement a Denmark-styled licensing framework. The controversial Interstate Treaty has been widely condemned and suffered several setbacks, but online sports betting in the country inched closer in September with the awarding of 20 licences. The legality of the process is currently under investigation with an outcome expected in H1 2015. M A L AY S I A Malaysia is expected to modernise its gambling laws next year and is likely to follow neighbouring Singapore’s recent move to prohibit online gambling in all forms. There is still hope Malaysia may look to regulate its market. NETHERLANDS Regulation is currently passing through the Dutch parliament and the country could open its doors in late 2015 or early 2016, almost a year later than previously planned. The prospective tax rate of 19% is, however, higher than hoped. BRAZIL SOUTH AFRICA After previously attempting to close a legal loophole that allows remote operators to target customers in the country, politicians have reportedly thrown their support behind a fledgling bill that would legalise all gambling verticals. A bill to regulate online gambling had hoped to be passed in time for the market to open early next year. However, doubt now surrounds the legislation after the country’s Department for Trade and Industry made a dramatic U-turn and said it would favour a ban on online gambling instead. W W W. E G R M A G A Z I N E . C O M 53