January 6 - Last week's disturbing news that the German government will ban
online gambling has been greeted with amazement and some bemusement. In
truth, this was an expected outcome as the Germans have been implying a ban for some
time.
Whilst the move is a setback for European online gambling, at least the
Germans aren't following the same hypocritical path to justify the ban but
are rather saying outright that that they are protecting their state monopoly.
Rumors are that numerous online gambling companies that target Germany will
counter the move through some sort of action, which is little surprise as so
much is at stake for a number of operators who have traditionally focused on the
German marketplace.
The ban cam about when sixteen German states voted in favor of maintaining
the exclusivity of their state-run gambling monopolies. This makes it illegal
for any party not licensed within Germany to offer services to German residents.
There has been a major outcry from industry observers as the move by the
Germans are in contradiction to European Union free market trading initiatives.
Companies speaking out against the German ban include the likes of BWIN
Interactive Entertainment AG and Fluxx AG. They have both appointed the same
legal representation, implying a possible legal challenge to the ruling.
German newspaper Die Welt reports that another law firm said they expect many
of the three thousands online gambling companies targeting German to take some
sort of action.
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