France Initiates iCasino Talks with Industry Stakeholders

At the end of October, we reported on France’s Minister Delegate for the Budget and Public Accounts announcement the government would no longer consider the legalization of iGaming, with lawmakers taking a stake back in light of economic concerns. 

France and Cyprus are the only EU member states that continue to prohibit iGaming.

Now, roughly two weeks since the intense and dramatic debate surrounding the government’s proposed amendment on online casino regulation in an open and competitive market that was subsequently withdrawn after facing significant opposition from land-based casino operators and more than 100 mayors, lawmakers are set to meet with key gambling stakeholders. 

Looking for Potential Paths Forward

Representatives from France’s gambling sector and government officials will come together today (November 6) to discuss potential paths forward on the complex issue. 

Stakeholders who will attend the discussion will include major brick-and-mortar casinos including Partouche, Barrière, and Circus, as well as their representative body, Casinos de France (CdF). 

Online operators like Betclic, Winamax, and Unibet will also be involved in the discussions. 

While the government’s original amendment proposed a market model that would enable various operators to participate, provided they met compliance and licensing requirements, the scenario was only appealing for online operators, but not land-based ones. 

The latter have consistently opposed the model, advocating for an exclusivity period during which only CdF members would be allowed to operate digital casinos.

CdF’s vice president and Partouche’s board member, Fabrice Paire, recently explained this position, noting that one reason for the respective stance was to avoid repeating the mistake made with the 2010 OSB and poker regulations. 

The said regulations allowed long-established online operators who were targeting France with extensive databases to enter the market and quickly secure dominant market shares.

To bridge the divide, one proposed solution would allow members of the trade body representing the country’s regulated online betting operators, AFJEL, to manage the digital offerings of land-based casinos. 

This approach would allow these casinos to benefit financially from a regulated online market without taking on extensive operational responsibilities. 

However, further details, including the exclusivity period, are yet to be clarified.

Regulatory Changes, Inevitable

Time constraints are pressing, with CdF emphasizing that it will not be rushed into making a decision and AFJEL seeking a resolution before the parliamentary session concludes.

While timings remain uncertain, industry sources suggest that regulatory changes are inevitable. 

This sentiment is underscored by the strong influence of Française des Jeux (FDJ), the operator of France’s and the Republic of Ireland’s national lottery games, which has government support and is exerting lobbying influence through its ownership of Kindred Group.

Last month, the online gaming operator published a new financial update as part of its tender offer by the FDJ.