The 2022 year was full of advancements in the Latin Americanindustry. This included South American country. The moment of glory that was meant to bring about countries such as Brazil and Chile turned out to be the consolidation of markets such as Argentina and Peru.
SBCAmericas analyzed which markets would be the most appealing to pursue in 2023.
Peru
Since multiple years, the Peruvian market is operational. Online gambling regulations were only implemented in 2022. The industry has much work ahead of it.
Mincetur, who has 45,000 jobs and is on its way to recovering 92,000 lost work, was responsible for updating the sector in the country. The industry, currently in a difficult political and socio-economic position, faces Mincetur.
It will be crucial to monitor these developments and determine if they have any impact on the industry.
Argentina
Both the City of Buenos Aires and its Province have markets that are already in operation and include the largest companies and local entities in South America.
Multiple companies continue to pay attention to these territories because of their affinity for soccer and betting.
Beyond Buenos Aires provinces such as Cordoba and Mendoza already have the necessary regulatory framework in place. They just need the approval to launch new markets or continue their existing processes.
These measures are expected to be repeated in other provinces in 2023, even though it is an election year in Argentina. Therefore, there will be a lot of legislative activity.
Colombia
It can seem repetitive to mention Colombia as an example of the country in this region. The country is expected to remain at the forefront in the sector with a variety of games and verticals by 2023.
What can Colombia do in order to innovate? Latin America will need to find the stability it lacks in its other industries. This is where Latin America’s challenge lies.
Although the regional history can be complex and long, Colombia appears to have simplified all processes to benefit clients and provide security. In 2023, the task will be to determine what next steps should be and how they could improve on a product already in use and excelling.
Uruguay
Since several years, the Rioplatense has tried to regulate online gaming. To discuss how the market might be created, the discussions which began at the close of 2021 were reopened in the third quarter 2022.
According to different insiders, Uruguay’s gross revenues could range from $45m-$55m per year.
The Chamber of Deputies has yet to vote on the main points of this project. To be able to obtain an online casino license, one must have a license. This means that only companies with an offer already exist would have access to the online market.
Uruguay has a very small market. This is Uruguay’s greatest advantage. Therefore, taking advantage of current land-based players can be viewed as an advantage for 2023 in order to establish the online market.
Brazil
Many different analyses can be made about Brazil. However, there’s one thing that everyone agrees on: Brazil failed to capitalize on the opportunity to launch 2023 with an online gaming and betting market.
The fight for votes will continue in various commissions and chambers. In the hopes that Lula will eventually accept a proposal, interested parties should resume their efforts to win.
The man who is Brazil’s President will be starting his third term on January 1, and he has previously stated that he would work with Congress to allow the regulation.
It is anticipated that industry activity will resume in 2023 with multi-billion-dollar estimates. However, it remains to see if heavy legislative activity during Lula’s first month of his presidency will slow down its momentum.
Chile
Chile, contrary to international trends and particularly in Latin America decided to limit the industry in 2022. The Chamber of Deputies passed a ban on sponsorships at the end of November. While this issue is currently being discussed by the Sports Commission in order to determine its future, it has already been decided.
The same Commission also asked FIFA president Gianni Intino to investigate the relationship between the National Association of Professional Football and the ANFP, even though 11 of 16 top-league teams have already signed agreements.
Chile is also working on an online regulatory market. While the majority of the operators are in place, they have been charged with operating without a license despite being most keen to be regulated by State.
Chile must decide what it expects to gain from gaming in 2023 and how this ban on sponsorships might affect bookmakers and sports organizations.
Puerto Rico
The US House approved a bill in mid-December that permits Puerto Rico to have a referendum on whether it wishes to join the 51st State, or remain independent and free from the US.
Although it’s likely the Senate will pass the bill, there is still a chance that it might survive. However, it would not hurt to have a discussion in 2023 about how the legislation could impact the regulation of betting in the unlikely event that an island decides to become independent.
Puerto Rico has an existing regulation due to the 2018 repeal of PASPA at the federal level.
The local Gaming Commission granted seven licenses to the following companies after its launch in 2021: Ballers Puerto Rico Sportsbook LLC, LMG, CCHPR Hospitality, LLC, (Casino Metro), and CCHPR Hospitality, LLC, as operators. Swish Analytics Puerto Rico Inc., US Integrity Inc., Continent 8 and Caesars Digital PR Inc were approved as suppliers.
Over the past few years, Puerto Rico has been called “The Entry Point to the USA” by regulators for Latin American businesses, and the US entry point for Latin American corporations.
Puerto Rico will continue to assert its dual power if it votes for independence or will it strengthen itself using a different structure than those seen in the US.
