In recent weeks, the sports betting and online gaming sector in Brazil has faced an image erosion campaign that deserves attention. "Reports in various media have only presented a negative view of the segment, associating it with illicit activities and generalizing problems that do not represent the reality of most companies operating in the market," states Leonardo (Gadelha) Sampaio, chief innovation officer of Grupo Silvio Santos.
It is undeniable that combating organized crime is an urgent and fundamental issue for Brazil. However, by placing all companies in the sector under the same spotlight, these articles create a mistaken perception about the betting & games sector.
It is crucial to distinguish the serious companies committed to regulatory compliance from those that may be involved in illegal activities.
The regulated sector has specific rules for the operation of betting houses, which will start to apply from January 1st. It is important to highlight that the pre-existing laws in the country continue to be valid for this sector.
Thus, illegal practices must be curbed and, once proven in process, the involved parties must be punished. Regulation is crucial to distinguish criminal groups from those who wish to offer legitimate betting and gaming services.
Brazil is at a crucial moment in regulating the sector, which, if well conducted, has the potential to become a global example of a reliable and safe market.
Well-structured regulations will ensure the safety of Brazilians and strengthen the market's integrity, creating a favorable environment for investments and job creation, and distancing criminal activities.
This sector will play an important role in the economy, contributing significantly to the collection of federal taxes. For this potential to be fully realized, discussions about the market need to be balanced and informed.
The experience of major international markets shows that regulation is the key to the sustainable growth of the sector:
- England and Italy: Significant increase in tax revenue and job creation.
- Australia and the United States: Market growth with better consumer protection.
- Canada and the Netherlands: Regulation models that promote responsible gaming practices.
Todos Querem Jogar (TQJ), a company that Grupo Silvio Santos is part of, does not aspire to be #1 in market share, but rather #1 in responsible gaming and in the collective satisfaction of Brazilian bettors and players.
Companies in the sector should lead a constructive dialogue that focuses on developing a transparent, reliable, and safe market for all Brazilian families. Only then will it be possible to build a promising future for the Betting & Games sector in Brazil.
Leonardo (Gadelha) Sampaio
CIO / Grupo Silvio Santos
Executive leader with international experience and notable achievements in business development management and strategic partnerships for digital, media, and technology companies. He was country manager at Stages, VP of business development LatAm at WarnerMedia, and director of business development LatAm at Netflix.
