Danish Gambling Monopoly Opening to PartyGaming

Posted: January 12, 2010

Updated: October 4, 2017

Since 1948, a company called Dansk Spil has held a monopoly over all games of chance in Denmark. The Danish government controls

Since 1948, a company called Dansk Spil has held a monopoly over all games of chance in Denmark. The Danish government controls 80% of this company. Games of skill are not held under this monopoly, though they are only allowed in casinos.

For several years, Dansk Spil has also been the only official provider of online gambling in Denmark. Their site offers sports betting, bingo, keno, and a range of card and arcade games. The government, however, is now in the process of partially liberalizing Denmark’s online gambling market, and new draft legislation is being considered that would regulate the sector, opening it up to foreign operators.

While these changes to Danish gambling laws are not expected to happen until next year, the effects are already visible, as Denmark already sees its first foreign online gambling deal. PartyGaming, one of Europe’s largest online gambling operators, has just signed an exclusive 5-year contract with Dansk Spil.

Under the agreement, PartyGaming will provide online poker and online casino services in to Dansk Spil, for use on their existing online internet gambling website. PartyGaming chief executive Jim Ryan described the agreement with Dansk Spil as a “landmark” deal, and said “we look forward to building a significant and profitable enterprise as soon as the newly regulated Danish online gaming market opens.”

Because the online services that Dansk Spil already operates currently supports a member base of 500,000 players, the site will be in an excellent position when the country’s gambling laws change, and the online poker and casino markets become subjected to competition from foreign gambling operators.

The financial details of this new partnership are still being ironed out. The cost of the deal has not been released, but it is suspected that PartyGaming won the contract against stiff competition.

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