Vixio Regulatory Intelligence, the leading provider of regulatory and business intelligence for the global payments and gambling industries, recently released a report on the potential of the online gambling sector in Brazil. The report, titled “Brazil Online Outlook,” was unveiled just in time for the ICE 2024 convention in London.
The report delves into the online gambling regulations in Brazil, analyzing strategic processes related to compliance and licensing. It also explores the competitiveness of the iGaming sector in the country, along with potential growth opportunities through lotteries or advertising.
Vixio’s report estimates that the iGaming vertical in Brazil may generate $3.7 billion by its third year of operation, and $4.9 billion by year five. This highlights the significant potential for growth in the Brazilian online gambling sector.
In December, lawmakers in Brazil added a provision for online gambling as part of legislation seeking to legalize sports betting in the country. This was seen as a crucial step in paving the way for the potential legalization of iGaming activities in Brazil.
However, Vixio also emphasizes that the success of the online gambling market in Brazil is contingent on several conditions that are yet to be determined. Factors such as the taxation of online gambling, licensing fees, and the possibility of offering bonuses or incentives will play a crucial role in determining the attractiveness of the sector.
Mike Woolfrey, CEO of Vixio, noted that Brazil has been a focus for the company over the last 15 years. He highlighted the enthusiasm of companies looking to enter the online gambling market in Brazil, especially given the challenges faced by the expansion of land-based casinos and bingo halls in recent years.
James Kilsby, Vixio’s chief analyst and co-author of the report, underscored the importance of online casino legislation in Brazil. He believes that this legislation has the potential to position Brazil as a major market on a global scale, rivaling the likes of the UK and Italy in terms of regulated online gambling jurisdictions.
Overall, the regulation of the online gambling sector will play a pivotal role in shaping its growth and attractiveness, according to Vixio’s analysis. With the potential for significant revenue generation and a growing market, Brazil’s online gambling sector presents a promising opportunity for operators and investors.