Lottoland Makes Grand Offer to German Offer


Lottoland wants to operate in Germany and has a big idea for how they can make that plan happen without incurring the ire of the German government. It’s a simple, yet radical, plan that involves handing over all the revenue it earns from German lottery wagering. The proposal could cost the company €100 million worth of revenue, but that’s a gamble they’re willing to take in an effort to avoid the sorts of costly legal battles they’ve incurred recently in Australia.
The digital lottery company’s unusual offer was first reported by the German language newspaper, Frankfurter Allgemeine Zeitung on Tuesday. According to their report, Lottoland CEO Nigel Birrell has approached German authorities with an offer to give them all the revenue the company earns from wagering on German lotteries. In exchange, Lottoland would be issued a gaming license and be allowed to operate in the German market. The company would keep any revenue earned from wagering on international lotteries.
Of course Lottoland is already operating in the German market, much to the chagrin of local lottery officials. The new deal is designed to both quell those complaints and head off any expensive legal challenges to their controversial business model. (Lottoland offers wagers on the outcome of state lotteries.)
So far there’s no word on what German officials actually think of Lottoland’s offer. It should be noted that the €100 million figure is based on Birell’s hope that other digital lotteries follow Lottoland’s lead and hand over their German revenue directly to the government, which is far from a sure thing.
Lottoland’s offer does, however, show how far the company is willing to go in hopes of staying ahead of the troubles they’ve encountered while attempting to operate in Australia.