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BOS op-ed: “Svenska Spel’s betting company must be sold by the state”

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Dagens Nyheter – Sweden’s largest morning paper – today published an op-ed signed Gustaf Hoffstedt, Secretary General of The Swedish Trade Association for Online Gambling. Hoffstedt is urging the government to sell the betting and online casino part of the governmental gambling operator Svenska Spel.

We are pleased to bring you the English version of the editorial which you can read in full below:

Sell Svenska Spel

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Since 2019, Sweden has had a licensing system for gambling companies. Anyone who wants to operate in the Swedish gambling market must have a state license. As of 2019, there are two types of gambling markets; partly a monopoly that mainly offers lotteries, for example, the popular Trisslotten. In this market, private profitmaking gambling companies are not allowed to operate. Partly a commercial competitive gambling market that mainly offers online casinos and betting, for example betting on horses and football. In this market, private commercial gambling companies can apply for and be awarded a license to operate in the Swedish gambling market.

Through Svenska Spel, the state is active in both of these markets, but now the time has come to divest Svenska Spel Sport & Casino, i.e. the part of the company that is active in the commercial, competitive gambling market.

Around 70 gambling companies are fighting for market share in the part of the gambling market that is open to competition and offers online casinos as well as betting on horses, football, other sports, and even who will win the next parliamentary election or Schlagerfestivalen. One of these companies is stateowned: Svenska Spel. It is difficult to find arguments for continued government commercial involvement in that market.

Normally, the state usually engages in business activities when the market itself has failed, above all in terms of competition. There may be too few players in a market and the few that exist may have too dominant a position for competition to function. Then the state steps in as a commercial actor with the ambition of countering that market failure. However, no one who has followed developments in the Swedish gambling market can claim that there is too little competition between the 70 companies that operate in competitive gambling. Competition is fierce and would remain so even in the absence of the state as a commercial casino operator and bookmaker in betting.

Another argument for conducting stateowned commercial gambling activities could be a desire to act as an example for all other companies on the market, for example in not producing as much gambling advertising as the competitors. Anyone who has followed Svenska Spel’s marketing since the reregulation knows, however, that the company is one of Sweden’s largest advertisers in all categories, i.e. including gambling but also other large advertising buyers such as grocers and car manufacturers. Svenska Spel’s extensive advertising purchases rather force the private gambling companies to make larger advertising purchases on their part than would otherwise have been the case.

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“A stateowned gambling company that operates in direct competition with others is, in principle, like any other gambling company,” says the government investigation from 2017, which was the basis for the Swedish reregulation of the gambling market. That’s exactly how it is; Svenska Spel Sport & Casino has exactly the same license as other gambling companies. They follow exactly the same responsible gambling regulations, and they do it no better or worse than their competitors. They pay exactly the same gambling tax as all other gambling companies. Therefore, the logical consequence already became apparent to the Gambling License Investigation six years ago: “The conclusion is, according to the investigation, that the best alternative would be to divest the competition part.” [A reregulated gaming market, SOU 2017:30, p. 34]

So the only remaining question is why hasn’t the company been sold yet?

Perhaps an argument for keeping the company under state auspices could be its return to the state. But the idea is of course not for the company to be liquidated, but on the contrary to be sold to the highest bidder and then continue to be run, albeit privately. With the same requirement to pay gambling tax.

Not entirely surprisingly, there is a classic division here between political parties on the right and the left. Parties on the left view positively that the state owns companies and runs businesses, while parties on the right do not. This is also the case in this matter, and before the reregulation, the center-right parties had to waive stricter demands for the divestment of Svenska Spel Sport & Casino in order for the Social Democratled government to agree to introduce the gambling license system we have today.

Now that time is over and we have a new government, which together with the Sweden Democrats forms a majority in the Riksdag. The moderates have long advocated a divestment of Svenska Spel Sport & Casino, as have the Sweden Democrats. The voters who have given the center-right parties the power to rule Sweden have very reasonable expectations that the government will now move from words to action.

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This is really nothing new for a center-right government. The last time Sweden had such a government, it concluded that the fact that the Swedish state had then become one of the world’s largest producers of alcohol was not in line with the government’s idea of what a state should do. Thus Vin & Sprit AB was sold in 2008, with the Absolut brand, for 55 billion kronor to France’s Pernod Ricard, which still runs the business for the benefit of Scanian grain farmers, among others.

It is now high time that our own contemporary anomaly, the state’s role as a casino operator and bookmaker, found an end. And unlike the longawaited introduction of gambling licenses, which took place at the initiative of the Social Democrats, it would be desirable for this to happen during a center-right wing government in power. What else should it have the power for, if not to implement what it said in opposition it wanted to do?

Gustaf Hoffstedt
Secretary General, The Swedish Trade Association for Online Gambling

[Gustaf Hoffstedt is among the speakers of the Prague Gaming & TECH Summit which will be held between 29-30 March 2023. More details about the summit can be found here.]

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SIS and Premier Greyhound Racing reveal improved greyhound race time schedule

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Sports Information Services (SIS), the leading multi-content supplier of 24/7 live betting services, and Premier Greyhound Racing (PGR), the media rights company supplier of greyhound racing to the betting industry and direct to viewers, have collaborated to offer a revised race time schedule starting from 20 May.

Designed to protect the long-term future of UK greyhound racing, the new schedule will see morning fixtures start slightly later – moving from 10.47 to 11.01 and 10.54 to 11.09. Additionally, there will also be a slightly later start time for some evening fixtures aimed at a retail audience, with the first evening fixture now starting at 18.08.

Commenting on the improved schedule, Terry Mahoney, Head of Business Development at ARC, said: “The new race times will help make it easier for customers to navigate busy racing schedules as well as improving operations trackside. We will continue to listen, monitor, and adapt schedules where and when needed as we move forward to deliver the best service possible for betting operators as well as punters.”

Paul Witten, Managing Director at SIS, added: “We are passionate about delivering a greyhound racing service that benefits all of the sport’s stakeholders. Together with Premier Greyhound Raxing, we have introduced a revised racing schedule that benefits operators and their customers.

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“Our approach to greyhound racing is grounded in sustainability and flexibility. This collaboration with fellow service providers allows everyone to enjoy all the high-quality action produced on a daily basis from tracks across the UK and Ireland.”

SIS has long-term agreements in place with bet365, William Hill, Paddy Power and Betfred to deliver its greyhound content across UK and Irish retail and digital channels. SIS also promotes this content across dozens of leading international operators, as well as through SISRacing.tv.

PGR offers greyhound action, cards, video replays, results, news and info on greyhounds.attheraces.com, and regular live broadcasts on Sky Sports Racing. Premier Greyhound Racing is a joint venture between Arena Racing (ARC) and Entain, the global sports betting, gaming and interactive entertainment group. Between them, the two companies own nine of the 20 licensed British greyhound tracks and ARC manage the media rights for five independent tracks.

The post SIS and Premier Greyhound Racing reveal improved greyhound race time schedule appeared first on European Gaming Industry News.

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The Importance of Data Quality Review Checks in the Gaming Industry

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By Lorenzo Nardini, Head of Technical Compliance and Maths Services

In the dynamic world of online gaming, data plays a pivotal role. Databases containing personal and financial information, often referred to as “Safe” databases, serve as the backbone of any gaming platform.

In this short article, I focus on control databases (CDBs) – that is how Safe databases are referred to in the Dutch landscape – and why it is important to ensure their completeness, accuracy, and consistency through continuous data quality review. In any case, the topics here covered apply to most regulated markets.

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Control databases contain critical information related to player accounts, financial transactions, game rules, and security protocols. Essentially, they ensure the smooth functioning of the entire gaming ecosystem. It is no wonder that the Dutch regulator (KSA) enforces specific technical regulations on them and often perform audits on these systems that can result also in fines in cases errors are detected.

Data quality review checks

Data quality review checks play a pivotal role in maintaining the integrity of control databases, ensuring continuous compliance. Here are some key reasons why they are essential:

  1. Accuracy and Consistency: Control databases handle vast amounts of data, including player profiles, game logs, and financial records. Ensuring accurate and consistent data is crucial for fair gameplay, financial transparency, and regulatory compliance.
  2. Player Experience: Imagine a player losing progress due to a database glitch or loss of connectivity. Such incidents can lead to frustration and loss of trust. Data quality checks ensure that the control database is correctly functional, and the information therein contained can be used to handle such incomplete games, enhancing the overall player experience.
  3. Regulatory Compliance: Gaming companies must adhere to strict regulations regarding data privacy, security, and fairness. Regular reviews ensure compliance with industry standards and legal requirements.

Most importantly, regular reviews can help gaming companies reducing the risk of an unsuccessful audit that could typically lead to a fine and negative PR.

Ideally, data quality reviews should be ongoing. Real-time monitoring is crucial for identifying issues promptly. Additionally, scheduled audits—monthly or quarterly—help catch any long-term discrepancies or trends.

Key areas of data quality reviews

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When performing checks on the quality of CDBs, the following are the main areas to consider:

  1. Data Completeness: Ensure that all necessary fields are populated correctly. Missing or incomplete data can lead to errors downstream.
  2. Data Accuracy: Cross-check data against reliable sources. For example, player balances should match financial records.
  3. Data Consistency: Verify consistency across different databases and systems. Inconsistencies can cause confusion and operational inefficiencies.

Starting from the specific Dutch case and then expanding to other markets, here at ComplianceOne Group we have developed a data quality review service using our experience in dealing with this form of analysis. Leveraging feedback obtained directly from regulators, we created a testing procedure that performs the following:

  1. Tests on triggering reports from staging environment. We access the client’s staging environment with test accounts and perform actions that are aimed at triggering specific reports in the control database. We then check that these have been correctly generated and that they contain all necessary information, checking their accuracy against the back-office.
  2. Data quality tests on production environment. We download a large number of reports directly from production and run a battery of tests that we have designed and that is tailored specifically at checking completeness and consistency of the information contained in the control database.

All findings are promptly reported to the client and, if needed, we can assist with solving any issues found.

Conclusion

When I started being exposed to control databases, I understood that for many this is a very technical area and that maintaining this environment functioning correctly can be quite cumbersome. Nevertheless, a commitment to data quality is a necessary for ensuring continuous compliance of gaming platforms. If you are interested in running regular data quality reviews, or even just a one-time overall check, contact me and I will be happy to assist!

 

The post The Importance of Data Quality Review Checks in the Gaming Industry appeared first on European Gaming Industry News.

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7777 gaming signs a strategic iLottery content deal with Scientific Games

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7777 gaming, a leading provider of digital gaming solutions, has announced a significant strategic partnership with Scientific Games a global leader in retail and digital lottery games, technology, analytics and services, to deliver digital lottery games through the SG Content Hub Partner Program.

The SG Content Hub Partner Program is a unique platform and game content partnership program featuring an expanding, highly curated selection of iLottery games from best-in-class, game studios worldwide in a variety of play styles appealing to all player types in multiple languages, as well as access to select licensed properties from the largest licensed brands portfolio in the lottery industry. Scientific Games currently serves 150 lotteries in 50 countries.

 

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Elena Shaterova, Chief Commercial Officer at 7777 gaming, expressed enthusiasm about the partnership: “Partnering with Scientific Games represents a significant milestone for 7777 gaming, solidifying our position as a global leader in digital lottery solutions. Through this collaboration, we are poised to deliver unparalleled gaming experiences to players worldwide, driving innovation and growth in the lottery industry.”

 

Steve Hickson, VP of Digital Games at Scientific Games commented: “We are delighted to welcome yet another top-class lottery game studio to the SG Content Hub Partner Program. The addition of 7777 gaming and their fantastic games aligns perfectly with our goal to make a variety of digital lottery content available to existing and new Scientific Games customers. Our SG Content Hub Partner Program is developing at pace as we continue to provide our customers with frictionless access to the very best content in the industry.”

The SG Content Hub Partner Program offers a one-stop solution for accessing multiple iLottery game studios, seamlessly integrating with a lottery’s existing gaming systems and iLottery technology. It streamlines operations, simplifies tech integrations, and enhances data analytics to drive game development and iLottery portfolio management.

7777 gaming is renowned for its ability to deliver high-quality iLottery games tailored to the unique requirements of different lotteries. The company ensures that its game content meets stringent government regulations and operators’ expectations for customization. With custom-made lottery concepts, 7777 gaming guarantees enhanced player satisfaction and fosters a deeper sense of connection and loyalty to the brand.

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The post 7777 gaming signs a strategic iLottery content deal with Scientific Games appeared first on European Gaming Industry News.

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