Surge in Web Traffic to Unlicensed Gambling Sites in Sweden Sparks Regulatory Concerns

A recently released report by AB Trav och Galopp, a prominent horse race betting provider, has brought attention to a troubling surge in web traffic directed towards unlicensed gambling companies in Sweden. The comprehensive report spans the timeframe from the first quarter of 2019 to the third quarter of 2023, unveiling a staggering tenfold increase in Swedish visitors engaging with these unauthorized platforms.

Expressing serious concern over these findings, Hasse Lord Skarplöth, CEO of ATG, emphasized that this trend underscores the inadequacies of the existing regulatory framework in effectively preventing the operation of such companies within the Swedish market. Skarplöth stressed the urgent need for a regulatory overhaul to bolster consumer protection measures, underscoring the persisting issue of unlicensed companies illicitly marketing their services to Swedish consumers.

"Investigation shows the weakness of the current regulatory framework and how difficult it is to keep the unlicensed companies away," noted Skarplöth, emphasizing the illegality of marketing to Swedish consumers by these companies. Despite legal restrictions, many unlicensed gambling entities continue to target Swedish consumers, exposing regulatory gaps and lapses in consumer protection.

Skarplöth further highlighted the economic factor, stating, "As long as it tastes more than it costs for gambling companies to operate without a permit in the Swedish gambling market, we do not have consumer protection to be proud of."

While the presence of unlicensed companies in the Swedish market itself is not illegal, the issue lies in their illicit marketing practices. The report disclosed significant data, including the notable increase in traffic to unlicensed sites and the revelation that a few specific companies, such as Infiniza Limited and North Point Management Ltd, were responsible for a substantial portion of the traffic in Q3. Additionally, it was unveiled that a majority of the top 20 most visited unlicensed sites employ the services of the same game providers as licensed companies.

The findings underscore the imperative need for more robust regulatory measures and consumer protection protocols to effectively address the escalating challenges posed by unlicensed gambling operators in the Swedish market.

By fLEXI tEAM