Svenska Spel Online Expansion Barred

Svenska Spel Online Expansion Barred

Friday, 9 November 2007

Whilst they may have an iron-clad grip on online poker and gambling in Sweden, Svenska Spel found out this week that it’s not completely free to do as it pleases after the Swedish government denied its request to expand its online poker site.

Whilst they may have an iron-clad grip on online poker and gambling in Sweden, Svenska Spel found out this week that it’s not completely free to do as it pleases after the Swedish government denied its request to expand its online poker site.
In reply to the request, the government asked Svenska Spel to continue its internal investigation into the existing license, which is due to lapse at the end of June 2008. Online expansion will not be granted until the investigation has been completed.
Svenska Spel reported a profit of almost 1.4bn Swedish Krona ($215m) for the third quarter of 2007, with profits for the whole of 2007 thus beyond 4bn SEK. When stopping the company from expanding its online operations further, the government told the company to consider the social effects of gambling alongside profitability.
Online gambling in Sweden is growing quickly, with Svenska Spel currently controlling 35% of the market. It does appear that the company, and Sweden's policy, is under serious scrutiny from the European Union though. The European law makers consider Sweden's online gambling monopoly to be unfair, instead preferring the Swedish government to allow open competition from companies outside of the country.



Tags: Poker News, Svenska, Spel, Online, Expansion, Barred