Central Europe
A Q&A session with Endorphina’s Head of Legal!
Recently, Jakub (Head of Legal at Endorphina) had an interview and dropped some professional insights and thoughts about Germany, their new regulations, the treaty, and more.
So, big things are happening in Germany, right?
Yes, Germany was always a rather complicated market. The need for new gambling legislation to fully legalize online gambling was very urgent. Finally, there is hope when the new legislation has been introduced in 2020. And in spring 2021, the number of states to approve the new gambling treaty was met and Germany’s State Treaty on Gambling aka “Der Glücksspielneuregulierungstaatsverag” will become effective from the 1st of July 2021.
The Treaty on Gambling becomes effective in July, does that mean that starting from July all operators must have a respective gambling license issued by German regulator?
No, it does not mean that. Germany is not that far in the process and the new regulatory body must first be established. Work to establish this body is underway, and sources suggest it will be fully operational by the end of 2022.
When the regulatory body is not established yet, how will Germany apply or enforce new rules introduced in the Treaty on Gambling?
The transitional regime has been introduced and does stipulate guidelines that certain online gambling offerings, namely those of virtual slot machines and online poker, which are actually not yet permitted under the current Interstate Treaty on Gambling, will be exempt from enforcement if operators meet certain requirements that are recognized as technically feasible. Basically, it is some sort of “gentleman agreement” between operators and the government saying: “follow the rules and we will leave you alone”. However, such “guidelines” cannot be mistaken with an effective law!
What requirements must be met in order to comply with the guidelines of the transitional regime?
It is a set of various rules. For example, for virtual slot games, the maximum bet must be 1 euro, the spin duration must be at least 5 seconds, no jackpots or auto-spins are allowed, reality checks must be triggered after 60 minutes session of un-interrupted duration and after that, the player must take a 5-minute cool-down break, where they are unable to place a bet, etc. As you can see, the new Treaty on Gambling really focuses on player protection and preventing gambling addiction.
Are there any problematic parts of the new regulation?
There are always some problematic parts and challenges from the regulatory point of view. On one side, the regulator tries to protect players but on the other side, games still must remain attractive compared to other markets. So, we can see those lacking jackpots, spin duration, and EUR 1 maximal bets could potentially cause some issues with the attractiveness of games and that is even before we will get into taxes.
What is wrong with taxes?
There is a proposal of new taxation of poker and online slots in the amount of 5,3% from all stakes. Considering that the average RTP (return to player) rate from slot games is 96%, such taxation would mean that the operators would be losing money on slots. Actually, to make the revenue from slots equal as without the proposed tax, the RTP of the slots would have to be reduced. And here we come back to the attractivity of games for players. Why would you play a game with a lower RTP when, just a click away, you can play the very same game with a higher RTP, only in an unregulated casino? This is why many experts are afraid that such taxation would drive players to the black market, which is very risky, especially if the jurisdiction is just opening. This taxation is still not yet agreed upon, but unfortunately, there is a high probability that it will actually happen. Even with bet limits or spin durations, Germany is still a very interesting market so we can only hope that the German parliament will reconsider their tax proposal.
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SYNOT Games has accelerated its growth in the Slovak market through the delivery of branded games exclusively for SazkaHry.sk. Building on its extensive experience and success in the Czech Republic, the company is reinforcing its commitment to providing high-quality, customised gaming experiences tailored to local audiences.
As part of this expansion, two branded SYNOT Games titles originally created for Sazka CZ, Pirátska Plavba and Výlet do Vegas 27, have been translated into Slovak. These are not only localised games but exclusive, tailor-made titles that have already been successfully running on the Czech platform. Their adaptation for the Slovak market for the SazkaHry.sk offers a uniquely personalised and immersive experience for local players.
Martina Krajčí, CCO at SYNOT Games, said: “Our long-term partnership with Sazka in the Czech Republic continues to bring excellent results, and we are proud to expand our expertise to Slovakia for Allwyn Slovensko. By providing exclusive localized content for SazkaHry.sk, we ensure a more tailored and engaging experience for players, while continuing to uphold the highest standards in certified, secure gaming.”
Jan Horyna, member of the Allwyn Slovensko Board of Directors, said: “We’re pleased to cooperate with SYNOT Games in Slovakia. Offering branded games exclusive for SazkaHry.sk in the Slovak language is a natural step in offering original content that resonates with Slovak players and builds our position as a trusted operator.”
The post SYNOT Games Delivers Bespoke Games Exclusively for SazkaHry.sk in the Slovak Market appeared first on European Gaming Industry News.
Aquisitions/Mergers
NOVOMATIC successfully completes sale of ADMIRAL Austria to Tipico and focuses on international growth markets
Europe’s leading gaming technology group has successfully completed the sale of ADMIRAL Austria to Tipico. This transaction underscores NOVOMATIC’s long-term focus on global expansion and marks another important milestone in its international growth strategy. ADMIRAL Austria will remain an important technology partner under its new owner Tipico and will continue to rely on NOVOMATIC’s innovative technology solutions in the future.
Stefan Krenn, Executive Board Member of NOVOMATIC AG, emphasized: “The completion of this transaction marks an important step in our global expansion strategy with a clear focus on international growth markets. ADMIRAL has developed into an established market leader over the past decades, and we thank all ADMIRAL employees for their great commitment. We are pleased to have found a strong and reliable technology partner in Tipico, who will successfully continue the company’s operations in Austria.”
Axel Hefer, CEO of the Tipico Group, stated: “We are delighted about the successful completion of this transaction. ADMIRAL is a leading Austrian company with a strong legacy, and clear potential for future growth. Both companies are synonymous with state-of-the-art technology, innovative products and a high focus to player protection. Our future collaboration is very good news for our customers.”
The closing of the transaction followed the receipt of all required regulatory approvals.
The post NOVOMATIC successfully completes sale of ADMIRAL Austria to Tipico and focuses on international growth markets appeared first on European Gaming Industry News.
Central Europe
Promatic Games and SYNOT Interactive Announce Strategic Partnership to Strengthen iGaming Expansion in Central and Eastern Europe
Promatic Games, a recognized provider of innovative iGaming content and one of the leaders of the Polish market, and SYNOT Interactive, a dynamic technology company headquartered in the Czech Republic, have officially announced a strategic partnership. The objective of the cooperation is the distribution of the Promatic Games portfolio to SYNOT Interactive’s aggregation customers, with a focus on the strategic markets of the Czech Republic and Slovakia. The cooperation will accelerate growth for both parties by combining Promatic Games’ tailored gaming portfolio with SYNOT Interactive’s proven platform and extensive presence in regulated European markets.
SYNOT Interactive will be the first aggregation partner for Promatic Games in the Czech and Slovak markets.
“Up until now we have taken a few important steps to enter the Czech and Slovak markets. We have a portfolio of certified games for those markets, and we have integrated with a few platform providers. We have also launched our games with several operators. But obviously, cooperation with a brand like SYNOT Interactive brings new perspectives to our business there,” said Maciej Makuszewski, Head of iGaming at Promatic Games. “We are excited to work with SYNOT Interactive’s aggregation customers to generate great value for them. We are confident that our content will match customers’ tastes in these strategic markets, just as it has been proven in Poland, where we are one of the leading iGaming suppliers. We are of course looking forward to scaling up in the Czech Republic and Slovakia, but we are also ready for other challenges with our strategic partner. SYNOT Interactive’s Central European footprint aligns perfectly with our expansion strategy.”
By integrating Promatic Games content into SYNOT Interactive’s modular platform, operators in multiple jurisdictions will gain access to Promatic Games quickly and efficiently. The cooperation will begin with Slovakia and the Czech Republic—both highly regulated markets where SYNOT already maintains a strong operator base—and will later extend to Romania, Croatia, and other Balkan markets. This geographic overlap between Promatic Games’ strategic goals and SYNOT Interactive’s established infrastructure makes the partnership especially powerful.
“At SYNOT Interactive, we are dedicated to building partnerships that create lasting value for both operators and players. We know Promatic Games’ content is strong in Poland, and we believe that, given the content’s quality and type, it can be a great fit for our Central European casino partners. By joining forces, we can accelerate innovation and deliver an enhanced player experience in regulated markets. We appreciate the technology that Promatic Games provides, and we are confident it will work well on the scale that SYNOT Interactive can offer,” said Petr Březina, Head of Sales, from SYNOT Interactive.
The agreement underscores how strategic alliances are shaping the future of the iGaming industry. With regulatory landscapes becoming increasingly complex, operators require diverse gaming content that meets local compliance standards. The cooperation between Promatic Games and SYNOT Interactive demonstrates how combining expertise can generate synergies in distribution, compliance, and player engagement, creating mutual benefits for both companies and their partners.
The post Promatic Games and SYNOT Interactive Announce Strategic Partnership to Strengthen iGaming Expansion in Central and Eastern Europe appeared first on European Gaming Industry News.
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