iGB E-zines iGB e-zine Sweden | Page 20

Part 3: The position of the monopolies Chart 4: Svenska Spel online poker NGR 2006-17 (SEKm) 450 400 385 372 350 305 300 250 200 231 206 214 175 150 152 133 125 118 2014 2015 2016 100 101 50 0 2006 2007 2008 2009 2010 2011 2012 2013 2017 Source: unfortunately wasn’t broken out in the 2017 version) was that it was the sports betting segment (including its pool-betting brands) where it was seeing its online growth. In total, just under 50% of sports betting revenues in 2016 (which totalled SEK1.69bn) came from online, or circa SEK850m. If we assume a growth in the online share to 55% of the total for 2017, which does not seem unreasonable, this would give a 2017 total of circa SEK985m. Add in the SEK101m from poker and the estimated online total rises to SEK1.09bn or circa €105m. ATG and horseracing The debate regarding a possible sports levy brings into focus the position of the horseracing monopoly operator AB Trav och Galopp (ATG). Under the new law, it will lose its monopoly in horseracing and indeed, ahead of the new market opening the 20 company in currently in talks with sport backend supplier Kambi to provide a platform in readiness for 1 January. The finance ministry report pointed out that the move away from its monopoly position would entail changes to the funding ATG is owned by Swedish Travsport (90%) and Swedish Galopp (10%), but the state elects the majority of the members of the company’s board, which means it has a decisive influence over the business of horseracing and therefore the review should look into how a new mechanism could be introduced that was in line with EU state aid rules. Funding models in Denmark and the UK, which both have a horserace betting levy, will be considered. As it stands, ATG is owned by Swedish Travsport (90%) and Swedish Galopp (10%), but the state elects the majority of the members of the company’s board, which means that the state has a decisive influence over the business. Its entire surplus revenues are currently distributed to racing. “The Government’s proposal for reorganisation of the gaming market entails the termination of the ATG’s exclusive right,” the report states. “All players who qualify for a licence can thus offer betting on horses. This fundamentally changes the conditions for ATG and trotting and racing sports funding.” Sweden: The transition to regulation in one of Europe’s most advanced digital markets