On March 10th, the Netherlands Gaming Authority (KSA) issued three decisions, sanctioned by the Dutch administrative courts, granting a single entity exclusive rights to run the national lottery.
A crucial distinction lies in the fact that, given the lottery’s objective is to maximize participation through authorized vendors, it’s essential to avoid market fragmentation by numerous suppliers.
This suggests a potential risk that no single provider will possess the necessary strength to offer a prize pool sufficiently large to effectively channel a maximum number of patrons towards legal offerings. This is particularly relevant considering the greater frequency of lottery draws compared to charitable lotteries, along with the significantly lower proportion of revenue allocated to charitable causes by lotteries.
The department concluded that the licensing framework exhibits sufficient discrepancies to ensure consistency, thereby justifying the preservation of the lottery license monopoly.
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