Italy's journey toward implementing a new framework for online gambling concessions has reached a significant milestone. This initiative, now under the supervision of the European Commission (EC), is in its final legislative phase. Italy, as a member of the European Union (EU), is required to notify the EC of any legislative projects or amendments that may impact its domestic market and competition rules. This process ensures transparency and allows for a thorough review by other EU member states and stakeholders.
In line with its obligations, Italy has submitted the technical rules of its new gambling licensing regime for an open consultation with the EC. This consultation serves a critical purpose: gathering feedback on how the new licensing framework will affect Italy's Information Technology (IT) sector. While gambling regulations are typically managed by individual EU member states, the EC's role in this context is to oversee the broader implications of the licensing regime on the internal market.
A mandatory three-month "standstill" period has now commenced for the Italian gambling license's technical rules. This period, which concludes on October 18, 2024, allows other EU member states and interested parties to review and comment on the proposed regulations. The standstill period is a crucial step in the legislative process, providing an opportunity for potential objections or suggestions to be raised. It ensures that the proposed rules align with the broader objectives of the EU and do not unfairly impact the internal market or other member states.
’’ While gambling laws and practices are under the jurisdiction of individual EU member states, the EC’s consultation aims to gather feedback on how the new licensing regime will impact Italy’s IT sector.’’
Assuming there are no significant objections or required changes during the standstill period, Italy’s Agency of Customs and Monopolies (ADM) is expected to launch the new online gambling licensing regime. The tender for these licenses is anticipated to be released in late December 2024 or early January 2025. The Ministry of the Economy and Finance (MEF) has already set the price for each new online gambling license at €7 million, with each licence being valid for a nine-year period.
The new framework outlines specific technical requirements that licensees must adhere to in order to operate and manage remote gambling services. A key aspect of these requirements is ensuring secure communication with Sogei, Italy's state IT service provider. Additionally, all gambling platforms must base their IT infrastructure, including any cloud solutions, within the European Economic Area (EEA). This requirement is designed to ensure compliance with EU data protection laws, which are among the strictest in the world.
The new rules also emphasize the importance of responsible gambling practices. To this end, the framework enforces strict measures to prevent gambling addiction. These measures include mandatory self-exclusion tools, self-limitation options, and features that allow users to block themselves from gambling activities. Such provisions are integral to the government's broader strategy to protect consumers and promote safe gambling environments.
Further stipulations within the licensing framework address the provision of services by operators to other concessionaires. The new rules confirm a ban on ‘affiliated online websites’ or “skins.” However, ADM licences will permit the use of separate applications for each game type, including betting, casino games, poker, and bingo. This provision allows for greater flexibility in how operators can deliver their services while maintaining strict regulatory oversight.
Source:
''Italy to launch new licensing regime upon completing EC inspection'', sbcnews.co.uk, August 13, 2024.