In a significant development for the online gaming industry, Betsson AB Group has officially obtained a licence to operate in Brazil’s newly regulated market. The milestone, effective from 25 February 2025, marks a crucial step in Betsson’s strategy for geographical expansion and solidifies its position in the burgeoning South American gaming sector.
A decade of presence pays off
Betsson’s journey in Brazil didn’t start with this licence. The company has been actively involved in the Brazilian market for over a decade, committing to the region long before the recent regulatory changes. This long-standing presence has undoubtedly contributed to Betsson’s successful licence acquisition.
Pontus Lindwall, President and CEO of Betsson expressed enthusiasm about this new chapter: “We welcome the introduction of a local regulatory framework in Brazil and are pleased to have obtained a licence. This step aligns with our strategy to grow via geographical expansion, and we look forward to offering Brazilian customers a secure and high-quality gaming experience”.
Brazil’s evolving gaming landscape
The timing of Betsson’s license couldn’t be more favourable. Brazil officially opened its online gaming and sports betting markets on 1 January 2025, ushering in a new era of regulated gaming in South America’s largest country. This move has attracted numerous operators, with the Secretariat of Prizes and Bets (SPA) issuing a flurry of licenses in recent weeks.
Earlier this month, the SPA granted 21 new definitive fixed-odds betting authorisations, demonstrating the government’s commitment to building a robust and competitive gaming market. This rapid expansion of licensed operators is hoped to transform Brazil into one of the most dynamic gaming markets in the world.
Navigating regulatory waters
While the Brazilian market offers immense potential, it also comes with its share of regulatory challenges. Just last week, following directives from the Ministry of Finance, the SPA announced enhanced Anti-Money Laundering (AML) requirements for licensed operators. This development highlights the need for operators like Betsson to remain agile and compliant in an evolving regulatory landscape.
Betsson’s South American stronghold
Betsson’s success in securing a Brazilian license is not an isolated achievement but part of a broader South American strategy. The company already holds licenses in other key markets in the region, including Argentina, Colombia, and Peru. This extensive regional presence positions Betsson as a major player in the South American gaming sector.
Recent financial performance and partnerships
Betsson’s expansion into Brazil comes on the heels of impressive financial results. In its Q4 & FY 2024 financial report, the company posted a remarkable 22% year-on-year revenue increase, reaching €1.1bn ($1.15bn). This strong performance provides Betsson with a solid foundation for its Brazilian operations.
The company has also been actively strengthening its position through strategic partnerships and sponsorships. In Argentina, Betsson recently renewed its sponsorship deal with the iconic football club Boca Juniors until December 2028.
Additionally, Betsson AB Group entered into a partnership with GamepIAI in January, a move that includes coverage of several major football leagues. This partnership will likely enhance Betsson’s offerings in Brazil, where football is not just a sport but a national passion.
The road ahead: challenges and opportunities
The Brazilian gaming market is expected to be highly competitive, with numerous international and local operators vying for market share.
In a recent interview, Pontus Lindwall acknowledged the complexities ahead, particularly in the short term. “It’s going to be a challenging and interesting time,” he noted, referring to the competitive landscape in Brazil. However, Lindwall also expressed confidence in Betsson’s experience and local presence, which he believes will give the company an edge in navigating the market.
Bridging the gap between operators and regulators
As Betsson embarks on its Brazilian adventure, the company is also mindful of the broader industry challenges, particularly in Europe. Lindwall has been critical of tightening regulations in key European markets like Germany and the Netherlands.
“There shouldn’t be a cliff between regulators and operators,” Lindwall stated, emphasising the need for closer collaboration between the industry and regulatory bodies. This perspective could prove valuable in Brazil, where the regulatory framework is still evolving.
A new era for Betsson and Brazilian gaming
Betsson’s acquisition of a full gaming license in Brazil marks the beginning of an exciting new chapter for both the company and the Brazilian gaming market. With its extensive experience in South America, strong financial performance, and commitment to responsible gaming, Betsson is well-positioned to make a significant impact in this emerging market.
As Brazil’s gaming landscape continues to evolve, all eyes will be on operators like Betsson to see how they navigate the challenges and opportunities ahead. One thing is certain: the entry of established international operators like Betsson is set to elevate the standards of gaming in Brazil, potentially setting a benchmark for the entire South American market.
