Online game, the lawyer Courage (DLA Piper): "Substantial reform approved which represents a significant change compared to the past"

Below is an article by the lawyer Julius Courage (in the photo), partner and location head of the Intellectual Property & Technology department of the law firm DLA Piper in Italy, published on ufficioaldigitale.com:

“The Italian Council of Ministers has approved the new draft legislative decree that determines the legal framework for online gaming in Italy, including the regime for the assignment of new concessions for remote gaming. The Italian Council of Ministers has approved a substantial reform regarding remote gaming which represents a significant change compared to the past.

The Gaming Reorganization Scheme Legislative Decree is very complex, but the most relevant provisions can be summarized as follows:

1. There will be a tender for the assignment of 50 new concessions for online gaming which, according to the text of the law, must be assigned by 31 December 2024 as all current concessions will expire by that date. The times seem very tight, but this is what the legislator envisages;
2. The price for each concession lasting 9 years will be 7 million euros to which will be added an annual fee for the management of the concessions equal to 3% of the GGR net of gaming taxes. Furthermore, operators will have to invest an amount equal to 0,2 of their GGR net of gaming taxes in responsible gaming campaigns. Groups of companies cannot hold more than 5 concessions and this could represent a problem in the event of a concentration or aggregation of companies;
3. There are very stringent requirements to meet the eligibility criteria and potential sanctions have increased so as to represent a deterrent for operators;
4. Strong limitations are introduced on skin/white label sites as each operator will have to have a website with an Italian domain name and its logo displayed on the site. No provisions have been introduced to allow additional skins for a fee;
5. Refill Points of Sale (PVR) must be registered in a specific register and pay an annual fee of €100 per shop. Furthermore, it appears that any gaming activity or withdrawal of funds from stores is limited;
6. More stringent rules have been introduced against the offering of games with cash prizes in Italy through unauthorized and unlicensed gaming sites, including through the implementation of payment blocking measures.

This is a high-level summary of the most relevant changes introduced. We will publish updates on specific issues in the coming weeks."