The Notice by The Gambling Cockpit #9 – November 2024

Of course in November, it’s Q3 results season homies !

TGC Writing Team.

iGaming Operators News

SPORTS BETTING OPERATORS

  1. The Mohawk Council of Kahnawà(MCK) has ended its partnership with Entain for operating Sports Interaction, citing changes in Canada’s regulatory landscape. MCK Chief Cody Diabo expressed interest in exploring new gaming opportunities. Entain retains control over the Sports Interaction brand and Ontario license, while MCK seeks ways to maintain sovereignty in gaming regulation, including support for potential legislative changes. This follows an unsuccessful MCK legal challenge against Ontario’s gaming framework.
  2. Betano released a brand new feature for NBA bettors, powered by Sportradar. Customers will be able to watch and interact with live games as if they were playing a video game.
  3. ComeOn Group launched its sportsbook in Ontario.
  4. Betway announced leaving the Brazilian market ahead of the new regulation, due to the gold rush on this market. Executives are not willing to compete since profitability would not be guaranteed.
  5. BetHog secured a £6M seed funding, launching globally the crypto sportsbook and casino founded by two former executives of FanDuel.
  6. Fafabet announces the closure of its SA operations.
  7. Bally’s launches its Sportsbook and online casino app in New-Jersey.
  8. Betano receives approval to operate in Colombia, through the name Betano.co. The operator is likely to pay Coljuegos P21.5 over the next five years in operating rights. Betano joins Luckia, BetPlay, Bwin,Rivalo, Zamba, Stake and Betsson as operators in Colombia.
  9. Unibet, the biggest offshore operator in Poland announced closing its operations in the country where it operated illegaly.
  10. Codere restructures debt to boost growth in Europe and LatAm (corporate debt reduced from €1.4bn to €190M). The bookie suffered from the currency devaluation in Argentina.
  11. Superbet is officially the first operator authorized to operate in Brazil, by paying the R$30M.
  12. BC.Game announced leaving the UK market and faces loss of Curaçao license after rumors of bankruptcy

CASINOS OPERATORS

  1. Caesars released a new iCasino brand – Horseshoe Online Casino. In less than a week, the operator opened Pennsylvania and West Virginia and Ontario. They aim to enter New-Jersey, depending the coming regulation.
  2. Metawin was hit by a major cyberattack, losing $4M from its hot wallets. The hackers transfered ETH and SOL cryptos to KuCoin and HitBTC and have been traced by ZackXBT (blockchain expert) but the hacker remains unidentified. Metawin’s CEO replenished the funds for 95% of the users.
  3. Omni Casino launched its new affiliate program, targeting streamers and influencers, called Convert Stars and powered by Mexos Affiliate Software; here are some key features :
    • Flexible commission structures: CPA, CPL, CPM, PPC, and up to 40% revenue share.
    • No negative carryover which ensures affiliates start fresh every month.
    • Geo-targeted landing pages and exclusive content tailored for high conversions.
    • Special partnerships with Streamers and Influencers on social media platforms
  4. Super Group (Betway and several casino brands) is pleased with its expanding presence in Canada’s regulated and grey iGaming markets. Despite exiting U.S. sports betting, the firm’s Canadian and global revenues grew, with Canada now its second-largest market after Africa. Super Group maintains around 7% of Ontario’s regulated market and leads Canada’s unregulated market with a 35% share, largely driven by the success of Spin and Jackpot City. Future plans include a stronger marketing push in Ontario and potential expansion into Alberta if regulations allow by 2025-2026.

LOTTERY, BINGO, SLOTS & FANTASY

  1. Gaming Corps partners with EQL Games to enter american online lottery market.
  2. Veikkaus (Finland’s state-owned gaming operator) has been fined €2.9M for a wrongly placed TV commercial AND 3-months marketing ban.
  3. Jackpot.com partners with 7-Eleven in order to become their official lottery courier service.
  4. Lottoland reaches 20M customers, operating in 15 markets. The operator earned 2.5M new customers in the past year. In 2024, Lottoland applied for Brazilian license.

Suppliers News

  1. EveryMatrix published a sponsored article on IGB on content localisation. They also disclose that the average bet size in Colombia is 0.34€ and 1.04€ in Brazil. European operators & affiliates also have to make sure to adapt their strategies to the locals and their preferences to make them chose your brand.
  2. GR8 Tech released AFF.TECH, its new affiliate platform which empowers clients to decide faster. The product stands out among competitors with real-time data control, flexible commission structures, and detailed campaign tracking, empowering operators to optimize performance and streamline affiliate management. Key features include dynamic smartlink systems and mobile accessibility,
  3. EveryMatrix will migrate MBet platform to EveryMatrix Technology, allowing the supplier to strengthen its references in Tanzania and DRC.
  4. BetComply scaled its ComplyCheck tool to the UK market. Launched earlier this year as a self-assessment tool, is also aiming Ontario & Estonia in the coming months.
  5. MicroGame and ReferOn partners in order to assit operators refining their affiliates strategy. It allows ReferOn to expand their reach in the Italian market with the leading provider.
  6. Booming Games gains certification to launch in Brazilian market. The iGaming provider met the standards set by SECAP. Players in Brazil would now be able to play popular titles such as Burning Classics, Gold Gold Gold, TNT Bonanza 2, Cash Pig, Buffalo Hold and Win Extreme, and Ronaldinho Spins.
  7. Xpoint won its trial against GeoComply’s patent infringement. Both technologies developed by GeoComply and Xpoint allows companies, particularly online gaming operators, to ensure that their services are accessible only to customers located within a specific jurisdiction.
  8. Greentube has expanded its presence in North America with the recent launch of its games in Connecticut, almost two years after being licensed (feb. 2023).
  9. GiG Software launches in Mexico, with the launch of its partner LuckyDays.

iGaming Affiliates News

General News

  1. Paolo Strano gives his views on the new licensing framework in Italy, arguing that « with fewer operators the landscape will become more competitive, but also more focused on quality and compliance »
  2. Gentoo Media scales its newcasinos.com website to 2 new markets : Sweden and Germany. Both sites have also been certified by QMRA
  3. Bwise Media announce a partnership with FotMob, the app of 20Millions users. Starting in 2025, this collaboration is set to deliver innovative advertising solutions, from native odds integrations to engaging widgets, bringing brands closer to passionate sports audiences in the US and UK mainly.
  4. QiH announces the arrival of its first CFO (they hired their first CTO few weeks ago). The affiliates is strengthening its team with senior profiles. Winder, arrived on November 1st from Spotlight Sports Group where he was Group Financial Directors. The affiliates living hypergrowth just completed its executives teams in a year.
  5. Casino Guru announced the release of an enhanced version of the Gamalyze self-assessment game, in partnership with Mindway AI (Better Collective Group). Players who complete the self-assessment game receive detailed feedback from Mindway AI. The analysis evaluates behavioural markers, including responses to rewards and losses, win frequency and overall risk levels

Interviews

  1. GameLounge’s CEO got interviewed by Gambling Insider and talks about culture within affiliates companies but also on the next challenges that the affiliate industry would likely face.
  2. Better Collective’s CEO discusses its M&A strategy, after having reached 35 acquisitions in 8 years.

Company Results

Affiliates

  1. QiH Group has posted 59% YoY increases in revenue to £20.59M and +43% FTDs. The affiliates also launched 3 icasinos thanks to Aspire Global white label products. The group aims to triple its headcount over the next 12 months and to reach 15% of revenues from sports betting vertical.
  2. Catena Media published its Q3 2024 report. The affiliates reported -33% in terms of revenues (-58% Adjusted EBITDA) and -32% in terms of FTDs. North America represents now 89% of the affiliates revenues, since it sold most of its other geos assets. The affiliates is now making most of its players and revenues through casino, and announce having scaled bonus.com to Mexico and Brazil.
  3. Gentoo Media published its Q3 2024 interim report, highlighting a 15th quarter of record. Q3 2024 is up to €30.4M and 112000 FTDs (41900 from Paid and 70100 from publishing), and a total of 359000 FTDs for the first 9months of 2024. We also learn that their diversification strategy is working, since revenues from non-top5 websites grew by 46%. Gentoo is expecting FY revenues to reach €125-135M. They’re still trying to recover from Google updates on their flagship casinotopsonline.com
  4. Better Collective published its quarterly results (€81M) and disclosed they laid off more than 300 staffs in their optimization projects, which should have produced its full effect by January 2025. The affiliate is slown down by the US and the Brazil, even though both are still valuable; since Revenues Share deals represent the main income of the company, but underperformed in the last three months. We can feel that BC is trying to reassure on its strategy and performance through the presentation deck.
  5. Gambling.com also reported its Q3. Third Quarter Revenue Increases 37% to Record $32.1 Million; Net Income Rises to $8.5 Million &Record Quarterly Adjusted EBITDA of $12.6 Million Up 108% Versus Year-Ago. The affiliates also got 116 000 FTDs during the previous 3 months, and raises its FY guidance, now expects full year revenue of $125 million to $127 million and Adjusted EBITDA of $46.5 million to $48.5
  6. Raketech published declining revenues for its Q3 2024, with €12.9M (-39% YoY)and 38 000 FTDs, mainly due to « Casumba decline following GCU and tax hike in Sweden », and announced having reduced costs by 18%.
  7. Acroud published declining revenues (€9M -6% YoY) and a strong fall of new depositing customers (41000; -43% YoY). The company aims to reallocate budgets to streamline its operations and reduce inefficiencies. The affiliates relies strongly on PPC (73% of its NDCs) but is highly built on RevShare (93%).

Operators & Providers

  1. Rush Street Interactive published Q3 2024 results in strong growth on YoY basis, reaching more than $232M ($169M in Q3 2023). The operator also highlight the ARPMAU split between NA operations ($332) and LatAm ($39)
  2. Star Enternainment reported an AU$18m loss for Q3 2024. The revenue, of AU$351M is below Q3 2023 by 18%. The operator is facing a fine of AU$15M for lack of compliance.
  3. Caesars Entertainment has reported significant boost in online gaming (+80% in iCasino – contributing to more than 40% YoY growth). Total revenues for Q3 2024 stands at $2.87billions (-2,6% fro Q3 2023). This decline is mainly due to tightening competition on landbased vertical.
  4. Kambi published a 2.2% increase in Q3 2024 revenues, reaching €43,01M, outpaced by a 4.6% rise in operating expenses to €29.48M.
  5. Zeal Network published its Q3 2024; and a huge growth in lotteries billing to €743M and a 1.3M active customers per month.
  6. Bally’s Corp has reported a marginal drop in revenue (0.4%) to $630.6M, even though its businesses in UK and NA are growing.
  7. Penn Entertainment highlighted ESPN Bet product improvements as driving better-than-expected revenues. The operator reported $244.6M in revenues (+24.6% from Q3 2023). Penn’s CEO shared his strategy, trying to focus on cross-sell opportunities between Penn Play databases (31M members) and the Digital database (3.8M members)
  8. Sportradar rises revenues expectations for FY2024 after a strong Q3 (+27% YoY) with €255M turnover. Mostly driven by 32% growth in its betting tech & solutions department, the sports Content, Tech & Services also grew by 8%. The provider that is about to acquire XLMedia Assets for €30M€ expects FY revenues to reach €1.09bn
  9. DraftKings on its side, lowers 2024 outlook despite 39% revenues growth that reach $1.10bn for Q3 2024. The company projects revenues to be around $4.85-4.95bn instead of $5.05-5.25. On average, DraftKings reached 3.6M MUP (+55% YOY).
  10. Banijay (Betclic Everest Group) reported a solid growth by 49.3% of its gaming business, reaching €342M. Sports Betting counted for €262M in those revenues (+55% YoY), pushed by Euro and the Olympics.
  11. Galaxy Entertainment Group reported solid performance in the third quarter; net revenues rose by 11%. (HK€10.7bn – €1.283bn)
  12. PlayAGS reported a 11% increase in Q3 revenues, reaching almost $100M, driven by the Electronic Gaming Machine (+8%)
  13. GAN has reported a 24% growth in 3rd quarter revenues, to $37,1M. This increase mainly increase from the B2B segment (+61% – to $16.4M). The B2C revenues also grew by 5.6%.
  14. Everymatrix net revenue up 66% in Q3 2024, the casino segment rose by 78% (23.8M€) and the sports betting segment rose by 87% to 1.5bn€.
  15. Flutter Entertainment grew revenues in all its market in Q3, by 27% to $3.25bn. Of course, the US was its biggest market with $1.25bn (+51% YoY)
  16. Codere Online reported net gaming revenue of €51.7M in Q3 2023, marking the third quarter of profitability, up 20% YoY, thanks to Mexico (€26.7M) and Spain growth.

Market Moves

NEWS FEED

  • UK Gambling Commission released further data on the gambling industry in GB. Slots active accounts increased in Q2 2024, up to 4.4M, 2.5M in « other gaming (iCasino included) & 5.3M in sports betting.
  • Softswiss Sportsbook sees eSport turnover double in Q3 2024. If football remains the top choice for bettors, eFootball is leading over Counter Strike 2
  • Dutch MPs introduced a motion urging the government to consult with Curaçao on tightening gambling oversight to combat money laundering, amid concerns Curaçao could end up on the FATF’s “grey list.” Curaçao is reforming its gambling laws, replacing the old two-tier license system with stricter regulations, which may drive businesses to relocate. Recently, major license holder Cyberluck declared bankruptcy due to unpaid debts.
  • GamblingInsider released an article tackling markets on the rise.
    • UAE: Growth in tourism and hotel spending with plans for a new casino by 2027.
    • Sports Betting & Match-Fixing: Increase in suspicious activities, notably in Brazil and the Philippines.
    • Regional Revenue Trends: Asia surpasses Europe in revenue growth for Evolution in 2024.
    • South Africa: Strong recovery in Gross Gaming Revenue post-COVID.
    • Macau: Stricter regulatory measures for betting operators starting October 2024.
  • German iGaming stakeholders raise concerns on the direction gambling market is taking. Regulated in 2021, the German market did not evolve enough. Moreover, it’s perceived as too restrictive and leading to a decline in revenues (€9.4M in sports betting in 2021 vs €7.7M in 2023 – the land based spendings are on average €93 but the online part is only €23). Some argues that the €1 stake limit, the €1000 monthly deposit limit of the five-second spin delay are redirecting players to illegal websites
  • NEXT.IO released the NEXT iGAMING MARKET FOCUS for South Africa. South Africa’s iGaming market has grown significantly in recent years, with Gross Gambling Revenue (GGR) reaching ZAR59.3 billion (€3.1 billion) for FY 2023/24, reflecting a 25.7% year-on-year increase. The betting sector, driven largely by online sports betting, dominates the market, making up nearly 61% of the total GGR. However, online casino games remain illegal due to an outdated regulatory framework.
  • eSports betting on the rise in Europe, with countries legalizing the product (Sweden, Denmark, UK, Italy, Spain) but others are left behind (such as France, Germany or Netherlands).
  • iGaming Express released a very interesting report about the use of AI in the iGaming. AI is used by Respo.vision as a personnalization tool for operators, but it also allows a better data analysis and forecasting. Softconstruct on its side, use AI on customer services duty, allowing an answer 24/7.
  • Flashscore announces the expansion of Flashscore News into the US and Austria.
  • UK’s Lotteries council insists free draws should comply with Gambling Commission regulations to ensure all lottery are governed equally.
  • Softswiss released an iGaming trends for 2025 (in which we’re proud of having contributed by the way).
  • Spain Ministry of Social Rights and Consumer Affaires issued sanctions totalling €65.3M to online operators in the first semester of 2024. Some operators got hit by €5M fines (unlicensed ones). Codere and Entain’s Electraworks got fined by €325.000.
  • The AGA released a Casino reports, highlighting that almost half of the land based casinos are facing decrease in revenues.
  • Betideas predict a slow down in Sports Betting growth by 2029, because of market saturation.

M&A Moves

  1. Traffic Lab announce the acquisition of the websites Casinowings from Tahoba. The amount was not disclosed, but it strengthen the asset lists of the affiliates in the Nordics.
  2. Flashscore acquired Besoccer, the football focused-livescore app that counts more than 100M downloads. Amount not disclosed so far.
  3. OKTO has announced the full acquisition of Aplauz CH GmbH, the swiss subsidiary of Aplauz Financial Services Ltd. It allows the company to expand its customer base and introduce innovative payment services in the market
  4. GRV Media sells its entertainment assets to DigitalBox and is o looking for NHL and MLB websites in order to aim new verticals within the US. Website aimed by the deal are:
    • CelebrityTidbit.com
    • RealityTidbit.com
    • TheFocus.news
  5. GameLounge announces the acquisition of Two Kings Consultant, owner of Meneer Casino in Netherlands.
  6. PointsBet dismisses the rumors launched November 8th concerning its potential sale.
  7. Aristocrats sells Plarium to Modern Times Group (sweden listed mobile games provider) for $620M. The deal will allow Aristocrats to focus on growth in its core land-based gaming, real-money gaming and social casino segments.
  8. Endeavor confirms $450M agreement to sell its OpenBet and IMG Arena businesses to OB Global Holdings in a management buyout (MBO), backed by Endeavor’s CEO and OpenBet execs.
  9. MoveUp Media (french affiliates operating in BR, India and LatAm) announces the acquisition of thefreeagent.fr, a sport media dedicated to american sports. Amount not disclosed.

Marketing

  1. Performance marketing in troubled waters ? USiGaming Hub shares views on why it’s becoming hard for some affiliates to stand out.
  2. Google updated its « Gambling and Others Games » advertising policy. Only authorised gambling operators and intermediaries with GGL-issued licences may advertise via Google Ads, hitting PPC affiliates that are not licensed. On top of that, comparison websites are excluded from advertising eligibility under the new policy.

Regulatory Updates & Whispers

🇺🇸

USA

Missouri: The vote in favor of sports betting ended on November 5th and the market should be opened in December 2025 at the te latest. UPDATE : Per a 19 November tally by the Missouri secretary of state, the count was 1,468,306 for versus 1,463,940 against. That’s a difference of 4,366 votes, so that could lead to a recount of votes.

Louisiana considers hiking online betting tax rate to 51%. Under the current law, Louisiana has a 15% GGR tax on online sports betting but the proposal would align the state with New-York’s one, the highest. For HB22 to become law, it would need to secure a two-thirds majority in both the House and the Senate

🇳🇴

Norway

Norway has introduced new regulations for the bingo industry, effective in 2025, to enhance player protection. The legislation requires stricter registration for online bingo from January 1, and loss limits will be implemented in electronic bingo halls starting September 1. These measures aim to protect vulnerable players and align with responsible gambling efforts

🇨🇦

Canada

The Canadian Senate has passed Bill S-269, which mandates a national framework for regulating sports betting advertisements. Introduced by Senator Marty Deacon, the bill focuses on limiting ad volume, defining ad locations, and restricting celebrity endorsements. It also prioritizes studying the effects of such ads on minors and vulnerable populations. Now moving to the House of Commons, the bill will undergo further debate and committee review before potentially becoming law

Alberta: the province aims to open its market in late 2024 or early 2025, transitioning from a government-operated monopoly under Play Alberta to a competitive commercial structure, by adopting a framework inspired by Ontario’s model

🇵🇭

Philippines

President Ferdinand R. Marcos Jr. has officially mandated a nationwide ban on Philippine Offshore Gaming Operators (POGOs) through Executive Order No. 74, halting all offshore and internet gaming activities within the country, by 31.12.2024.

🇧🇷

Brazil

  1. Former Finance ministry advisor warns against banning online betting. The legal market is expected to launch on January 1st 2025, but Senator Sergio Petecao proposed a bill to ban online betting. José Francisco Manssur argue that it will likely contribute to offshore betting.
  2. Another 1443 websites have been banned for illegal gambling in the Country. The list made by the SPA have been sent to National Telecommunications Agency (ANATEL) to be blocked, but it could take few days since ANATEL have to notify all the telecoms providers around the country.
  3. Ministry of Finance listed the conditions to get the « .bet.br » TLD for licensed operators. It looks like, the use of this domain name isn’t mandatory, but will reserved to legal bookies.
  4. Regulation is on its way but many concerns are raised about young people and addictions. Luiz Fux also announced that the judgement on law constitutionality will be held in the first semester of 2025, letting operators and affiliates in troubled waters.
  5. Brazilian Supreme Court confirmed the forbidden use of Bolsa Familia and under age advertising.
  6. National Consumer Secretariat prohibited all kind of advertising advertising of rewards related to advance payments and bonuses offered by operators.

🇦🇺

Australia

Australia plans to limit gambling ads during live sports events, particularly targeting digital sideline ads at popular games like AFL and NRL, due to concerns over youth exposure. but it got postponed for now.

Advocates, including Tim Costello from the Alliance for Gambling Reform, urge a comprehensive ban to protect young fans. Communications Minister Michelle Rowland supports the changes, with additional restrictions like banning betting logos on team jerseys

🇬🇧

UK

iGaming Professionals are relieved, since the UK Budget doesn’t include hikes on gambling taxes.

The government announced new measures to fight gambling addiction.

Those measures aim to protect vulnerable individuals by:

  • Stake limits for online slot games, set between £2 and £15 per spin, to prevent excessive financial losses.
  • A mandatory levy on gambling companies to fund addiction prevention and treatment programs.
  • Affordability checks for players to identify and support those at risk of harm.

🇫🇷

France

The horseracing industry got angry against the government project to rise gambling taxes. Budget Minister is in favor of excluding the horseracing from the rise, but still, nothing is decided so far.

iCasino consultation have started with the main stakeholders in order to draft the online casino regulation.

🇵🇾

Paraguay

Discussions about cutting the gambling monopoly are ongoing.

🇫🇮

Finland

Finland has submitted a revised, business-friendly gambling law proposal to the European Commission. The new draft transitions the industry from a state monopoly to a licensed model, easing marketing restrictions and allowing bonuses under specific conditions. Horse racing will also be opened to licensing, and implementation is expected by mid-2026. The European Commission should answer in the next 3 months.

In their regulatory project, Finland is aiming to ban affiliation marketing.

🇵🇪

Peru

As the market is growing fast (it could become the 3rd largest online betting market in South America), is probably going to suffer from a consumption tax,  which would require operators to pay a 1% levy on the value of every bet.

🇳🇿

New-Zealand

The New Zealand government is moving towards the full regulation of online casinos in 2026 with the goal of providing consumer protections which are currently unavailable through the unregulated offshore casino market. The current gray market is the next target of the government, willing to create a gambling license for the operators. The government aims to limit to only 15 online casino operators.

🇳🇬

Nigeria

The Supreme Court rules in favor of states regulations regarding lottery, after discussions that even started in 2008 with Lagos State Government.

🇦🇪

UAE

The UAE Lottery, the first licensed gambling operation in the market, launched ticket sales ahead of its first draw later this month. Tickets are sold online but are only available for customers physically located in the UAE. The operator called The Game is a subsidiary of Momentum and secured its license this summer. Smartplay International secured its vendor licence in October, suggesting they’re probably launching early 2025.

🇱🇹

Lithuania

Lawmakers have approved new rules concerning gambling advertisement. On TV, Radio and the Internet, advertising will be limited to a 15-second spots per hour between 6am and 6pm.

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