Italy’s Online Gambling Licensing Extended to November
In a significant update, Italy’s Agenzia delle Dogane e dei Monopoli (ADM) has announced that the approval period for new online gambling licenses will now extend until November 12. This decision allows ADM to conduct thorough evaluations of applicants for these licenses.
Initially slated to wrap up by September 17, the extension provides the agency with additional time to ensure that all applications undergo rigorous scrutiny. However, it’s worth noting that the agency has not provided clarity on whether this revised timeline will affect the operational plans of current license holders. Previous statements indicated that existing operators would be permitted to continue their activities until March 2026, beyond which only newly licensed entities would be allowed to operate.
The Competition for New Licenses
On May 30, ADM wrapped up its tender process for online gambling concessions, resulting in a total of 46 applicants receiving initial approval. Among the notable names in the list of successful contenders are prominent operators like Betfair, Snaitech, and Sisal, all under the umbrella of Flutter Entertainment. Other key players, including 888 Italia (Evoke), Hillside (Bet365), LeoVegas, Betsson, and William Hill, also secured approval to proceed.
To advance to the next stage, each applicant must pay a substantial licensing fee of €7 million (approximately $8.2 million) for every vertical linked to their brand. This steep fee marks a dramatic increase from the previous license cycle, which had a fee of €200,000, potentially posing challenges for many operators looking to enter the Italian market.
Comparing the Current Licensing Round to Previous Years
While this most recent licensing round saw 46 applications, the previous round in 2018 attracted 93 submissions, with 81 receiving the green light to operate online gambling services in Italy. This disparity illustrates a more competitive landscape amidst increasing regulatory hurdles.
Emerging Regulations for Online Gambling Operators
As the Italian online gambling landscape evolves, operators will face a series of new regulations aimed at refining market operations and enhancing player protections. Experts suggest that the latest reforms could stimulate consolidation within one of Europe’s largest online gambling markets.
Key regulatory changes include an elevated tax rate, now established at 24.5% for online sports betting and 25.5% for casino operations, alongside an additional annual fee of 3% on gross gaming revenue (GGR).
Moreover, licensed operators are mandated to invest a minimum of 0.2% of their GGR into responsible gambling initiatives, capped at €1 million. They are also required to implement robust player protection measures, enabling customers to set personal limits on deposits, expenditures, and gaming duration, as well as facilitate self-exclusion from online platforms.
These developments signal a critical shift towards a more regulated and responsible online gambling environment in Italy, which may reshape the landscape for both existing operators and aspiring entrants.