Svenska Spel market abuse case dropped by competition authority
BOS complaint over betting and casino ads on lottery website dismissed by competition watchdog
Svenska Spel has not abused its dominant position in the Swedish lotteries market, according to a new judgment given by the Swedish Competition Authority (SCA).
Officials from the SCA dismissed the complaint, claiming marketing for Svenska Spel’s sports betting and online casino brands shown on the firm’s lottery brands did not constitute an abuse of its lottery monopoly.
The SCA ruled individual brands are not decisive in determining a customer’s choice of gambling operator and that existing market conditions, including the presence of international operators, reduced the risk of “damaging competition” in the sector.
Swedish operator trade association BOS submitted the complaint to the SCA in April, alleging that Svenska Spel was using unfair marketing practices in marketing sports betting and online casino to lottery customers.
In addition, the operator was also alleged to have provided incentives to lottery players to access its sports betting and online casino businesses.
Speaking to EGR Compliance, BOS CEO Gustaf Hoffstedt said: “I think it is unfortunate that the competition authority does not agree with us to the extent that they demand Svenska Spel to take measures to safeguard a level playing field on the Swedish gambling market.
“One obvious such measure should be to not use the Svenska Spel main logotype on the monopoly market as well as on the competition market,” Hoffstedt added.
Following the re-regulation of the Swedish market, Svenska Spel has retained a monopoly on lottery gaming, however online casino and sports betting have been open to external operators since January 2019.
As part of the re-regulation of the market, Svenska Spel split its business into three divisions: sport and casino, lottery and its land-based Casino Cosmopol operations. However, all still operate under the Svenska Spel parent company.
Fellow former monopoly operator ATG was also reported to the SCA by BOS for allegedly abusing its market position in April.