Playtech Not Pleased
The Danish land and online casino gambling market has been the brunt of a lot of
investigation and discussion over the past several years because Denmark, like
several EU countries, actually has a state monopoly in place designed to keep
foreign gaming companies out of the market. As the European Commission demands
more open markets and compliance, Denmark conceded by allowing the state
monopoly to sign an exclusive licensing deal with Party Gaming. Party Gaming is
but one of the top software development companies working in the international
market and the other companies are crying foul that Denmark is not fully opening
the market, but rather giving one single company foreign access.
The Danish market is in the right process of liberalizing the market, but the
blocks that are still in place against competition from other online casinos and
software companies is not going over well right now. The deal between Danske
Spil and Party Gaming would have been the first of its kind – and possible
indicative of future deals once more liberalized regulations were put in place.
Instead, Playtech’s complaints went to the right people in the Danish government
and the deal has been stopped – meaning there is still only a partially
liberalized and mostly monopolistic online casino gambling industry operating in
Denmark currently.
The online casino gambling industry simply has to wonder if this was the right
move by Playtech. Although Party Gaming would have had exclusive access to the
Danish market up front, this could have proven as an integral next step for the
country’s attempts to open up and include more liberal internet gambling
regulations in compliance with European Commission demands. |