Danes Softening on Internet Gambling - 04-29-08

April 29 - A reasoned opinion issued against the Danish government by the European Commission last year, over the country's unnecessary and disproportionate measures taken against internet gambling, may have kick-started the softening of Denmark's stance.

Until today, internet gambling in Denmark has been run on a monopoly basis by the state-owned Danske Spil organization which, under the country's Pools and Lottery Act, is the only entity allowed by law to offer games, lotteries and bets to Danish citizens.

In recent months, however, there has been a general trend of opinion calling for these laws to be relaxed in order to allow other companies to compete in the market. So much so, in fact, that one of Europe's most popular gambling companies, Unibet.com, published a press release from its CEO, Petter Nylander, promising to work together with the Danish government to create a "modern, regulated and responsible Danish gambling market."

Last year, the European Commission issued its 'reasoned opinion' against the country, establishing that the Danish exclusivity policy is incompatible with Article 49 of the European Union Treaty. The country was warned that the matter might need to be taken to the European Court of Justice if the government did not find a way to allow the free movement of sports betting services, and remove the hold that Danske Spil has on the local market.

Denmark is not the only country that has experienced warnings from the European Commission. Others that face legal action over their policies include France, the Netherlands, Hungary, Greece, Austria and Italy.

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