According to a document from Vixio, the development of the industry in Brazil could lead it to capture more than 50 percent of the sector in five years.
Brazil.- Driven by Brazil's recent growth, the regulated online gaming sector in Latin America is expected to increase by more than five times, reaching USD 12.300m by 2028. The forecast comes from the report 'LatAm Online Gambling Outlook' conducted by Vixio. The study provides an updated view on the regulatory status in the main countries of the region, with a special focus on Brazil, which, according to the projections included in the report, is expected to be responsible for more than half of the iGaming industry in Latin America.
The report offers an overview and an in-depth analysis of the online gambling markets in Latin America, highlighting key developments and trends shaping the sector. It also includes a detailed update on the regulatory status of key countries in the region, providing stakeholders with essential information on the evolution of the online gambling landscape.
Among the main data highlighted from the research are:
The National Association of Games and Lotteries (ANJL) published a projection of what the year 2025 should look like for the gaming industry, which will begin to operate in a regulated manner starting January 1. According to the entity, the expectation is that the sector will generate more than R$ 20.000m (USD 3.300m) in grants and taxes for the Brazilian government, in addition to generating more than 60,000 jobs just in 2025.
This collection should be achieved by adding the payment for operating licenses with the collection of 12 percent of the Gross Gaming Revenue (GGR), which corresponds to the earnings of betting companies, and some fees. This tax burden can reach around 36 percent.
In terms of job creation, the Association estimates that new job positions, both direct and indirect, should be formed at different points in the service chain that make up the universe of betting, such as entertainment, advertising, technology, and legal.
According to the ANJL, the Brazilian betting market should become the largest in Latin America and possibly the third or fourth in the world. The institution explained that, starting in January, only websites with the domain “bet.br” will be able to operate, which increases the transparency of the sector.
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The regulation of the sector will oversee the platforms to prevent minors from accessing tools such as facial recognition. Part of the sector's fiscal resources will be allocated to the Ministry of Health to prevent and combat gambling addiction.
Despite the good expectations, the ANJL still observes challenges to overcome in the sector, such as the difficulty in blocking illegal websites, something that the president of the National Telecommunications Agency (Anatel), Carlos Baigorri, affirmed.
Another problem observed by the ANJL is that taxation, which in the entity's opinion is already high, could be even higher with the possible approval by the National Congress of the inclusion of sports betting in the list of the Selective Tax. For the institution, the excessive tax could increase the disinterest of serious companies to operate in the country and increase the market of irregular platforms.
