Saturday, May 19, 2012

Danish Online Gaming worth ?250m in 2012

  • Business | 18th May, 2012 | Taastrup, Denmark | Danish Gambling Authority ? Website
  • Denmark opened its doors to legal internet gambling for the first time on January 1, 2012 and the Danish Gambling Authority published the first quarter results today.

    Online casinos and betting won DKK 185m (?24.9m) and DKK 285m (?38.3m), respectively during the quarter and are forecasted to reach DKK1.135bn (?152.6m) and DKK 1.87bn (?50.3m) for the full year.

    iGaming in DenmarkThe Danish Gambling Authority issued 38 operator licenses that went into effect with the establishment of the new regulatory framework in January. Among the operators awarded licenses include 888, Betfair, bwin.party, PKR, PokerStars and Unibet. A total of almost 200 domain names are currently allowed to offer online gambling in Denmark.

    Total results for the Nordic region?s southern-most country first quarter online operations accumulated DKK 470m (approximately ?63.2m) gross income with the full year 2012 forecast at DKK 1,87bn (?251.4m).

    Gross income, defined as the turnover from Danish players less the winnings paid out, is DKK 285m (?38.3m) for betting during the first quarter. This covers all regulated sports books and wagers where players guess the result of an event, such as Oddset and football manager games. The sector is forecast to generate DKK 1.135bn (?152,6m) for the full year.

    For online casinos, including poker and skill-based games, gross income amounted to DKK 185m (?38.3m) during the first quarter with the sector being worth an estimated DKK 735m (?98.8m) for the full year. This forecasts the industry at a total of DKK 1,87bn (?251.4m) for 2012.

    iGaming in DenmarkUnder Danish gambling legislation, licensed operators are required to pay 20 percent tax of their total net earnings to the Danish government.

    Thus, for the first quarter of the year, the new gambling legislation has earned the Danish state DKK 94m (approximately ?12.6m).

    Denmark is the latest in a growing line of European countries to implement a new online gambling structure. The Danish Parliament and European Commission approved the motion in 2010 and has implemented a successful regulatory policy for licensed operators to offer a full selection of online casino games, slots and tables, poker, bingo and skill-based games.

    Demand for regulatory compliance is high during the early stages of the market growth and to ensure games are fair and comply with Danish law, independent certification agency eCOGRA provides the testing and certification for the regulated Danish market.

    At a regulators conference held in Copenhagen last year, Director of the show Rory Credland, remarked, ?The [Danish Gambling Authority] have worked tirelessly to progress to where we see them today, being bold enough to place a high importance on continually challenging and engaging with the successes and lessons to be learnt from their European counterparts.?

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