ATG Highlights Improvements and Challenges in Sweden’s Gambling Market
Increase in Player Channelization Towards Licensed Operators
ATG has recently released its quarterly analysis of Sweden’s gambling sector, noting a rise in the number of players choosing regulated and licensed gaming platforms. However, the presence of offshore gambling operators continues to pose significant challenges to the local market.
Channelization Rate Now Between 74% and 85%
The report reveals that Sweden’s channelization rate, which measures how many gamblers use legal operators, has improved to an estimated 74-85%. This is a positive shift from the previous rate of 70-82% reported in the third quarter of 2024. Although these figures align closely with estimates from the Swedish Gambling Authority, they indicate that Sweden has yet to reach its ambitious channelization target of 90%.
According to ATG, this uptick suggests that more players are gravitating towards licensed betting companies. This trend may be attributed to enhanced efforts by Swedish authorities to curb illegal gambling activities.
The operator also suggests that by restricting access to offshore operators—who often attract players with lucrative bonuses and exclusive games—players are more inclined to participate with regulated platforms. These limitations diminish the appeal and accessibility of unregulated sites, promoting safer, legal gambling options.
ATG has consistently advocated for tougher regulations and stricter enforcement to build a secure gaming environment. The company supports robust player protection measures and clearer penalties for rule violators as essential components in this effort.
Concerns Over Current Restrictions and Enforcement
Despite progress, ATG’s research found that many of the largest unauthorized gambling sites in Sweden operate using the same software providers as licensed firms. Additionally, several top offshore sites permit direct payments via BankID—a popular Swedish identification system—despite lacking official licenses.
Although the Swedish Gambling Authority has banned some illegal sites, many continue operating, raising questions about the effectiveness of current enforcement strategies.
ATG emphasizes that gaining a deeper understanding of these illegal operators is critical for combating the black market and encouraging Swedish players to use legitimate gambling services.
Latest Industry Developments from the Swedish Gambling Authority
ATG’s insights follow closely after the Swedish Gambling Authority released its third-quarter report, which showed a moderate 0.5% growth in the local gambling market compared to the same period in 2024. The sector’s total revenue reached approximately SEK6.71 billion (around $709 million).
In regulatory news, the authority has issued a warning to SkillOnNet for failing to display mandatory responsible gambling messages on the logged-out version of Prime Casino’s website, highlighting ongoing efforts to maintain player protections.
