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Tackling latency in next-gen gaming

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Mathieu Duperré, CEO at Edgegap

Anyone that’s played a video game online has almost certainly experienced some kind of lag and connectivity issues. Despite huge infrastructure advances in the last few decades, latency remains a constant thorn in the side of gamers and detracts from the real-time experience that’s expected today.

Delivering a consistent experience to gamers playing on different devices with varying connection speeds – many of which are separated by thousands of miles – is a complex challenge. Massively popular online games like Roblox and Fortnite are just two of the many games which have benefited from years of investment into infrastructure in order to support millions of concurrent players. As the below chart from SuperJoost shows, multiplayer and online gaming is becoming the preferred way to play games amongst the most active gaming demographic, with all the technical challenges that this creates.

Games which can be played seamlessly across mobile, PC and console (so-called cross-play games) are also pushing the limits of what current internet infrastructure can deliver. Add in a new generation of streaming cloud gaming services like Stadia, Blacknut Games and Amazon’s Luna – plus Microsoft’s Game Pass and Sony’s revamped PlayStation Plus service, and you can see how the promise of console-quality performance over a broadband connection risks overloading networks that were never designed for this level of gaming.

So how can game companies, telcos and ISPs deliver on the performance promises being made to gamers? That’s where edge computing comes in.

 

Lag, latency and the Edge

When talking about latency it’s important to make it clear exactly what we mean. Latency refers to the amount of time it takes for game data to travel from one point to another. From the gamer’s perspective, it’s the delay between their command and seeing it happen in-game. How much latency a gamer experiences is dependent on the physical distance the data must cross through the multiple networks, routers and cables before it reaches its destination.

To use an extreme example, NASA’s Voyager 1 has made it about 14.5 billion miles from our planet so far, and it takes about 19 hours for its radio waves to reach us. Here on Earth, your latency is (hopefully) measured in milliseconds rather than hours; and gamers need around 30ms for the most optimal performance. Anywhere above 100ms can lead to noticeable lag and a frustrating experience.

This is where Edge computing comes in. As the name implies, Edge computing brings computation and data storage closer to the sources of data, placing it on the edge of the network where the performance gain is the greatest. As you’d expect, reducing unnecessary travel drastically speeds up the process providing an almost lag-free experience.

 

More players equals more chance for latency to be a problem

In the early days of gaming, local, couch play was part and parcel of the gaming experience. Today, a game where hundreds or even thousands of players are in the same session is nothing out of the ordinary, and there are Battle Royale games now, a whole genre of games where a hundred or more players are whittled down to a single winner.

The sheer scale of some online games dwarfs many of the most popular streaming services. Whilst Netflix remains the most successful streaming video site with 222 million subscribers, kids game Roblox has 230 million active accounts and Fortnite has over 350 million registered players. So if we assume these games reflect a growing trend, the demand on server networks is only going to increase, and gaming companies will have to look for more innovative solutions to continue meeting demand.

 

Cross-Platform

The ability for gamers on different devices and platforms to play and compete together is becoming an increasingly common feature of AAA multiplayer games like Apex Legends, Fornite and Call of Duty. EA Sports recently confirmed that FIFA 23 will be joining other heavy hitters in exploring cross-platform play. Considering the large amount of games on the market, and the various game modes for each game, studios are looking at crossplay to increase the amount of players who can play together. One of the main driver is to lower matchmaking time and prevent players from having to wait hours before opponents are ready to play with them.

From a latency perspective, different infrastructure across platforms means lag and downtime are far more likely. When it comes to cross-play, studios can’t use P2P (peer-to-peer) since console vendors don’t support direct communication (i.e. an Xbox can’t communicate directly with a playstation). On top of that, P2P may be limited by player’s home network (restrictive natting for example). That’s why studios typically use relays in a handful of centralised locations. Relays are seen as cheaper than authoritative server. They although have large flaws like making it harder for studios to prevent cheating, which is becoming more and more important with Web3 & NFT. This causes  higherlatency since traffic needs to travel longer distances between players. For example, when Apex Legends went cross-platform, players were inundated with frame rate drops, lags and glitches.

Edge computing allows studios to deploy cross-play games as close as possible to their players, significantly reducing latency. Which can negate some of the delay issues around differing platforms.

 

VR and the Metaverse

Despite hitting shelves in 2016, VR is only now slowly making its way into mainstream gaming. Advances in technology have gradually improved the user experience, while also bringing the price of hardware down and closer to the mass market – not to mention the metaverse bringing renewed attention to the tech. But latency issues still present a serious hurdle to wider adoption unless it’s addressed.

Latency impacts the player experience far more in VR than in traditional gaming as it completely disrupts the intended immersive experience. A 2020 research paper found latency of over 30-35ms in VR, had a significant impact on players’ enjoyment and immersion, which was far lower than acceptable margins on a controller.  But when it comes to the metaverse, achieving this might not be enough. Latency between headset and player has to be sub 5ms to prevent motion sickness.

In a recent blog, Meta’s VP, Dan Rabinovitsj, explained that cloud-based video games require a latency of around 75–150ms, while some AAA video games with high graphical demand require sub 35ms. Comparatively, Rabinovitsj suggests metaverse applications would need to reduce latency to low double or even single digits.

For better or worse, we’ve seen glimpses of what the metaverse has to offer already. Decentraland’s metaverse fashion week gave major brands like Dolce & Gabbana an opportunity to showcase virtual versions of their products. But attending journalists reported that the event was fraught with lag and glitches.

Gamers are a fickle bunch, so early adopters will simply move back to other games and platforms if they have poor initial experiences. Google’s Stadia promised to revolutionise gaming, but its fate was sealed at launch as the platform simply couldn’t compete with its competitors’ latency. Today, Google has ‘deprioritised’ the platform in favour of other projects.

If the metaverse goes to plan, it should encompass a lot more than traditional gaming experiences. But if it’s going to live up to players’ lofty expectations, akin to Ready Player One, more thought needs to be given to scalable and optimised infrastructure.

 

Unlocking next-gen gaming

The pace at which modern gaming is evolving is astounding, making the components discussed here work lag-free and as players expect will be a huge undertaking, and even more so when developers attempt to bring them all together in the metaverse.

The issue of latency may be less headline-grabbing than virtual fashion shows, NFTs and Mark Zuckerberg’s slightly unsettling promotional video, but the ability to seamlessly stitch all of these elements together will be critical in making the metaverse live up to expectations, and therefore, to its success.

 

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BiS Brasília projects growth and boosts betting debate in Brazil

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Event will bring together leaders and experts at a time of high visibility for the sector

With an expected 20% increase in attendance, BiS Brasília reaches its second edition in a scenario of strong prominence for the sports betting market in Brazil.

Regulatory advances and growing public interest have placed the sector at the center of strategic discussions, boosting the event’s relevance this year.

Held at the Royal Tulip Brasília Alvorada, the gathering will bring together experts, executives, and authorities to discuss market trends, challenges, and opportunities, with a focus on innovation, integrity, and the sustainable development of the industry.

“The BiS Brasília arrives at a decisive moment for the Brazilian market, bringing together leaders to discuss the paths of regulation, innovation, and sustainable growth of iGaming and sports betting in the country.

It will be a strategic opportunity to promote qualified dialogue and strengthen an increasingly professional and transparent ecosystem,” explains Flávio Figueiredo, co-founder of BiS SiGMA.

Based in the federal capital—epicenter of Brazil’s main political and economic decisions—the event reinforces Brasília’s role as a convergence point for the different stakeholders involved in shaping the new regulatory landscape.

This edition is expected to consolidate itself as a milestone in the maturation of the debate on the legality of betting in Brazil.

About BiS Brasília

In its second edition, BiS Brasília is an event dedicated to the iGaming and betting ecosystem, promoting dialogue between the private sector, government, and society on the development of the regulated gaming, casino, and lottery market in Brazil.

The event brings together business leaders, authorities, and experts to discuss strategic topics such as Brazilian regulation, taxation, integrity, innovation, responsible gaming, compliance, AML / anti-money laundering, licensing, sports integrity, government relations, advertising, and CONAR.

BiS SiGMA South America is part of the event portfolio of SiGMA World Group, one of the leading global platforms for B2B business and event organization focused on the gaming and betting industry.

The post BiS Brasília projects growth and boosts betting debate in Brazil appeared first on Americas iGaming & Sports Betting News.

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Nuevas reglas del CMN y SPA reorganizan el tablero del iGaming y las apuestas deportivas

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Rafael Brunati y Celso Basílio, abogados de Silveiro Advogados especializados en mercados regulados, derecho corporativo y derecho de la competencia, analizan las recientes medidas adoptadas por el Consejo Monetario Nacional (CMN) de Brasil y la Secretaría de Premios y Apuestas (SPA/MF), así como su impacto en la industria del iGaming y las apuestas deportivas.

En este artículo, examinan cómo el nuevo marco regulatorio redefine los límites entre las apuestas, los instrumentos financieros y los modelos emergentes de mercados digitales, al tiempo que refuerza la Ley N.º 14.790/2023 como pilar central de la regulación del sector.

Por Rafael Brunati y Celso Basílio

El conjunto de medidas adoptadas recientemente por el Consejo Monetario Nacional (CMN) y la Secretaría de Premios y Apuestas del Ministerio de Hacienda (SPA/MF) representa un nuevo capítulo en la consolidación regulatoria del mercado brasileño de iGaming y apuestas deportivas.

Más que una respuesta puntual a los llamados mercados predictivos, las iniciativas señalan un intento más amplio de reorganizar los límites entre apuestas autorizadas, instrumentos financieros y actividades consideradas irregulares en el país.

La Resolución CMN N.º 5.298/2026 prohibió la oferta y negociación de derivados vinculados a apuestas, eventos deportivos, juegos en línea y temas políticos, electorales, culturales o de entretenimiento sin referencia económico-financiera.

En la misma línea, la Nota Técnica SPA/MF N.º 2.958/2026 encuadró las plataformas de mercados predictivos como explotación ilegal de apuestas de cuota fija, lo que derivó en el bloqueo de decenas de plataformas por parte de la Anatel.

El movimiento refuerza de manera clara la centralidad de la Ley N.º 14.790/2023 como marco regulatorio exclusivo para la explotación de apuestas de cuota fija en Brasil.

En la práctica, el gobierno ha comenzado a delimitar con mayor precisión quién puede operar en este mercado y bajo qué condiciones.

Las plataformas que buscaban posicionarse como mercados financieros, contratos de eventos o estructuras tecnológicas alternativas pasaron a ser tratadas materialmente como operadores de apuestas.

El mensaje regulatorio es directo: si el producto compite por el mismo público, utiliza una lógica económica similar a las apuestas y conlleva riesgo asociado a eventos futuros, tiende a quedar dentro del perímetro regulatorio de la SPA.

Desde la óptica regulatoria y de competencia, esto genera un efecto relevante para los operadores autorizados.

Las empresas que invirtieron en licencias, cumplimiento normativo, prevención de lavado de dinero, integridad deportiva, políticas de juego responsable y estructura regulatoria dejan de competir con plataformas que operaban al margen de estas exigencias mediante encuadres jurídicos alternativos. Se produce así un fortalecimiento indirecto del valor económico de la licencia regulatoria otorgada por la SPA.

Al mismo tiempo, este fortalecimiento viene acompañado de un aumento significativo de las obligaciones operativas y de cumplimiento.

Las recientes medidas también reabren un debate importante sobre los límites regulatorios de las llamadas betting exchanges y los modelos peer-to-peer.

La propia Nota Técnica SPA/MF N.º 2.958/2026 reconoce que la negociación entre apostadores y la existencia de precios dinámicos no desnaturalizan necesariamente la condición de apuesta de cuota fija. Esta interpretación es relevante porque acerca los mercados predictivos a las estructuras de bolsas de apuestas ya previstas en la Ley N.º 14.790/2023.

Este punto podría abrir espacio, en el futuro, para modelos regulados de betting exchange en Brasil, siempre que estén dentro del perímetro autorizado por la SPA.

Sin embargo, la regulación operativa de este formato aún no ha sido desarrollada por la autoridad, lo que mantiene un nivel importante de incertidumbre para los operadores interesados en innovación de producto.

Desde otra perspectiva, las medidas también tienden a generar una intensa judicialización. Existen debates relevantes sobre los límites de la competencia del CMN para restringir ciertos tipos de derivados, sobre la actuación interpretativa de la SPA respecto a los mercados predictivos y sobre el bloqueo de plataformas sin orden judicial.

Independientemente del desenlace de estas disputas, lo cierto es que el mercado brasileño de iGaming y apuestas deportivas entra en una nueva fase.

La lógica regulatoria deja de centrarse únicamente en la autorización formal para operar y pasa a incorporar de forma más intensa temas como integridad financiera, protección de usuarios vulnerables, gobernanza de datos, trazabilidad de pagos y supervisión operativa continua.

El sector continúa creciendo, pero ahora dentro de un entorno significativamente más sofisticado —y más exigente. Para los operadores autorizados, esto representa simultáneamente una barrera de entrada para competidores irregulares y un aumento relevante en los costos de cumplimiento. En un mercado cada vez más regulado, la diferencia competitiva tiende a depender menos de la capacidad de ofrecer apuestas y más de la capacidad de operar con seguridad regulatoria, integridad operativa y rápida adaptación a las nuevas exigencias del Estado.

Rafael Brunati, abogado en las áreas de Derecho Societario, Contratos, M&A y Private Equity, así como del sector bancario en Silveiro Advogados, es graduado en Derecho por la Universidad Presbiteriana Mackenzie, posee un LL.M en Derecho Societario por INSPER y es miembro de la Comisión de Derecho Bancario de la OAB/SP.

Celso Basílio, abogado en las áreas de Mercados Regulados, Telecomunicaciones, Contratos y Derecho de la Competencia en Silveiro Advogados, es máster en Derecho por la FGV Derecho SP, posee un LL.M en Derecho de los Contratos por INSPER y es graduado en Derecho por la Universidad Presbiteriana Mackenzie.

The post Nuevas reglas del CMN y SPA reorganizan el tablero del iGaming y las apuestas deportivas appeared first on Americas iGaming & Sports Betting News.

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New CMN and SPA rules reorganize the iGaming and sports betting landscape in Brazil

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Rafael Brunati and Celso Basílio, lawyers at Silveiro Advogados specializing in regulated markets, corporate law, and competition law, analyze the recent measures adopted by Brazil’s National Monetary Council (CMN) and the Secretariat of Prizes and Betting (SPA/MF) and their impact on the iGaming and sports betting industry.

In this article, they examine how the new regulatory framework reshapes the boundaries between betting, financial instruments, and emerging digital market models, while reinforcing Law No. 14,790/2023 as the central pillar of regulation in the sector.

ByRafael Brunati and Celso Basílio

The set of measures recently adopted by the National Monetary Council (CMN) and the Secretariat of Prizes and Betting of the Ministry of Finance (SPA/MF) marks a new chapter in the regulatory consolidation of Brazil’s iGaming and sports betting market.

More than a targeted response to so-called predictive markets, these initiatives signal a broader effort to redefine the boundaries between authorized betting activities, financial instruments, and operations considered irregular in the country.

CMN Resolution No. 5,298/2026 prohibited the offering and trading of derivatives linked to betting, sports events, online games, and political, electoral, cultural, or entertainment themes without a financial-economic reference.

In the same direction, SPA/MF Technical Note No. 2,958/2026 classified predictive market platforms as illegal fixed-odds betting operations, leading to the blocking of dozens of platforms by Anatel.

The move clearly reinforces Law No. 14,790/2023 as the exclusive regulatory framework for fixed-odds betting in Brazil.

In practice, the government has begun to draw a sharper line around who can operate in this market and under what conditions.

Platforms that previously positioned themselves as financial markets, event-based contracts, or alternative technological structures are now being materially treated as betting operators.

The regulatory message is direct: if a product targets the same audience, uses similar economic logic to betting, and involves risk linked to future events, it is likely to fall within the SPA’s regulatory perimeter.

From a competitive and regulatory standpoint, this produces a meaningful effect for licensed operators. Companies that have invested in licensing, compliance, anti-money laundering controls, sports integrity, responsible gaming policies, and regulatory infrastructure are no longer competing with platforms operating outside these requirements under alternative legal interpretations.

This indirectly strengthens the economic value of the license granted by the SPA.

At the same time, this strengthening comes with a significant increase in operational and compliance obligations.

The recent measures also reopen an important discussion on the regulatory limits of so-called betting exchanges and peer-to-peer models.

SPA/MF Technical Note No. 2,958/2026 itself acknowledges that betting between users and the existence of dynamic pricing do not necessarily alter the nature of fixed-odds betting.

This interpretation is relevant because it brings predictive markets closer to exchange-style betting structures already contemplated under Law No. 14,790/2023.

This point could, in the future, open space for regulated betting exchange models in Brazil, provided they fall within the SPA’s authorized perimeter. However, operational rules for such formats have not yet been defined by the regulator, leaving a significant area of uncertainty for operators seeking product innovation.

From another perspective, these measures are also likely to generate substantial litigation.

There are important debates regarding the limits of the CMN’s authority to restrict certain types of derivatives, the SPA’s interpretative role regarding predictive markets, and even the blocking of platforms without judicial orders.

Regardless of the outcome of these disputes, the fact is that Brazil’s iGaming and sports betting market is entering a new phase.

Regulatory logic is no longer focused solely on formal authorization to operate, but increasingly incorporates issues such as financial integrity, protection of vulnerable users, data governance, payment traceability, and continuous operational supervision.

The sector continues to grow, but now within a significantly more sophisticated—and more demanding—environment. For licensed operators, this simultaneously creates a barrier to entry for unregulated competitors and increases compliance costs.

In an increasingly regulated market, competitive advantage is likely to depend less on the ability to offer bets and more on the capacity to operate with regulatory security, operational integrity, and rapid adaptation to new state requirements.

Rafael Brunati is a lawyer specializing in Corporate Law, Contracts, M&A, Private Equity, and Banking Law at Silveiro Advogados.

He holds a Law degree from Universidade Presbiteriana Mackenzie, an LL.M in Corporate Law from INSPER, and is a member of the Banking Law Commission of the São Paulo Chapter of the Brazilian Bar Association (OAB/SP).

Celso Basílio is a lawyer specializing in Regulated Markets, Telecommunications, Contracts, and Competition Law at Silveiro Advogados.

He holds a Master’s degree in Law from FGV Direito SP, an LL.M in Contract Law from INSPER, and a Law degree from Universidade Presbiteriana Mackenzie.

The post New CMN and SPA rules reorganize the iGaming and sports betting landscape in Brazil appeared first on Americas iGaming & Sports Betting News.

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