Research note


Swedish Gambling re-regulation, is more licenses an advantage?

It is now about three months left to the start of the new Swedish license system for online gambling, and we had a look at who has applied for a license so far. In this, we have spotted some interesting data regarding the number of licenses the operators have applied for.

Based on the latest info from The Swedish Gambling Authority (Lotteriinspektionen) they have received 59 applications so far, and almost all of relates to online casino, betting and/or lottery. In the list, we have several of the big Swedish online gambling companies such as Kindred, Betsson, LeoVegas, MRG, Global Gaming, and Cherry. We also have some of the major global online gambling companies such as 365, Betfair and 888.

The interesting thing is that most operators have so far applied for one license, for example, LeoVegas and Kindred. However, some of the operators have applied for many more licenses than is necessary considering the number of platforms used. The company that stands out the most is Cherry. They have two gambling platforms, but they have not applied for two licenses. So far, they have applied for eight licenses! Cherry Casino Sweden Ltd, Co-Gaming Ltd, ComeOn Sweden, Casinostugan, Hajper Ltd, Snabbare Ltd, MOA Gaming Sweden Ltd* and XC Gaming Sweden*.

It should be noted that applying for an online gambling license cost SEK 400 000, and SEK 700 000 if you apply for both casino and betting. Also, holding a license and renewing a license will have some cost connected to them, as well as in-house resources for handling the licensing process. So there must be a good reason behind applying for all the licenses.

The reason behind this strategy can be several:

  • That they want to recycle churned players with new bonus offerings. This since the operators only are allowed to offer one bonus (one welcome bonus) per license.
  • That they want to push some of these brands on the edge of what is allowed according to the regulation, i.e., risking losing the license. From this, they can then learn how they should act with the main brands that they don’t want to risk.
  • They might see issues with getting the license to some of the brands, due to the setup. So, they don´t want the setup for one brand to delay any license for their other brands.

See the full list below:

*We are not 100% sure that MOA Gaming Sweden Ltd and XC Gaming Sweden is owned by Cherry, but they are registered on same address on Malta as their other companies. And the application has been handed to The Swedish Gambling Authority at, more or less, the same time as their other applications.

Download our latest Research Report from 2018-09-10

Download full report icon-download