LAST WORD 42
Sharon Singleton
Managing Editor, AGB
Time to regulate Asian online gambling? While the land-based gambling industry is suffering an unprecedented crisis as a result of the coronavirus pandemic, its online cousin has been raking in the cash.
T
he online market in Asia is already huge and online gaming during the crisis, while Spain has also growing and it’s no stretch to imagine that warned operators to restrict their marketing efforts. That’s all very well in regulated markets, but in once players are locked down at home, they will turn to the internet for entertainment. Asia all bets are off. The Philippines has temporarily There are few reliable estimates as to the size of suspended operations of its Philippine Offshore Gambling the market in the region, given the fact that online Operators on concern employees cannot work from gaming is illegal apart from in the Philippines, but home. Elsewhere, online gambling websites are finding elsewhere there have been some interesting glimpses new and ever more imaginative ways to take bets. For example, a number of sites have sprung up as to how the crisis is pumping up the sector. In Australia for example, analytics firm AlphaBeta encouraging punters to place bets on the last digit of Advisors and credit company Illion, calculated there daily new cases announced by Singapore, Malaysia, was a 67 percent increase in online gambling activity Thailand and Indonesia. They can also bet on whether in the first week after pubs, clubs and casinos were shut the number is odd or even, or if the number is higher down. The survey was based on a sample of transactions or lower than the prior day. In the absence of regulation of 250,000 Australian consumers. and hence taxation, governments Similarly, in the U.S. online across Asia are undoubtedly social poker room Global Poker, losing vast amounts of revenue said it had seen a 43 percent In the absence to online gambling. This is also increase in the use of online poker of regulation and at a time when many are facing sites in the United States since their worst economic crisis in social distancing and lockdowns hence taxation, a lifetime. took effect, including a 255 governments So, could this finally be percent increase in first-time the tipping point for reluctant poker players. across Asia are administrations to consider In the U.K., online gaming undoubtedly losing legislation? Many jurisdictions site 888 Holdings told the stock were slow to wake up to the exchange that it’s seeing a hit vast amounts of potential of land-based casinos. to its sports vertical due to the revenue to online The path blazed by Macau with its pandemic, but that it expected new integrated resorts, followed a migration to its casino and gambling. by Singapore’s world-beating poker products to mitigate the properties lead to a change of impact, at least in the short term. heart, with many now embracing This spike in activity has not escaped the attention of regulators, who are casino investors with open arms. Much is likely to depend on the attitude of China, expressing concern over the potential increase in problem gambling. Especially if players are also on which many regional economies will be relying drinking more than usual and seeking escapism from for support. To date there has been no sign Beijing is interested in doing anything other than stamp out the grim global reality. The European Betting and Gaming Association online gambling targeting its citizens. However, there may be a case to at least allow some put out a guidance note in late March telling online gambling firms to act responsibly and strongly urged kind of convergence. There have been murmurings against the use of any reference to the coronavirus in that land-based properties should be allowed to offer advertising materials. It also warned against portraying some kind of online activity, especially in the sports gambling as a solution to potential financial woes betting field, or potentially live dealer operations. Those murmurings may swell into a chorus of and told firms to step up their know your customer demand if the crisis protracts and Asia’s casino floors and other best practices to mitigate harm. Portugal is considering imposing some limits on remain empty for too much longer.
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Asia Gaming Briefings | May 2020
