Brazilian Government Eyes Online Sports Betting Monopoly
It’s a desperate move that would take the Brazilian online gambling marketing in exactly the opposite direction of the rest of the world.
Brazilian lawmakers have been trying for years to wrangle enough support for regulated online gambling but have, so far, been unable to muster enough support to actually make it happen.
That standstill, however, looks to be coming to an end with a recent announcement from Interim President Michel Temer that government would be taking matters into its own hands. Temer suggested that the government form its own online sports betting monopoly.
What makes Temer’s plan different from traditional monopolies is that he plans to both work with a private operator and, eventually privatize the entire operation. The Brazilian government plans on keeping a share of the company once it goes private.
Government sources are predicting that the handover to private industry could generate more than $1 billion, not including residual income from their stake.
So exactly how long would Brazil maintain its sports betting monopoly? No one knows for certain but some sources, including CalvinAyre.com, are floating a number between 10 and 20 years.
That Brazilian lawmakers would even be considering such a move at a time when most European governments are dismantling their sports betting monopolies speaks volumes about the current state of affairs in that country.
Besides dealing with a corruption that’s reached to the highest levels of the Brazilian government, including the elected president, Brazil is also facing major budget deficits as a result of falling oil prices.
Brazilian officials are also looking at a similar plan for their country’s electronic lotto system.