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Friday, 1 June 2012 - Spain awards licenses for online gaming |
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      Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Home Business Business Home Economy Technology Media Small Business Legal Deals Earnings Social Pulse Business Video The Freeland File Markets Markets Home U.S. Markets European Markets Asian Markets Global Market Data Indices M&A Stocks Bonds Currencies Commodities Futures Funds peHUB World World Home U.S. Brazil China Euro Zone Japan Mexico Russia India Insight World Video Reuters Investigates Decoder Politics Politics Home Election 2012 Issues 2012 Candidates 2012 Tales from the Trail Political Punchlines Supreme Court Politics Video Tech Technology Home MediaFile Science Tech Video Tech Tonic Social Pulse Opinion Opinion Home Chrystia Freeland John Lloyd Felix Salmon Jack Shafer David Rohde Bernd Debusmann Nader Mousavizadeh Lucy P. 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As many as 59 firms have applied to operate in the cash-strapped country. Companies will pay tax at the rate of 25 percent of gross gaming revenue, Bwin.party said. Spain has raised around 70 million euros ($87 million) in back taxes in recent weeks from companies who fell foul of decades-old decrees governing gambling. Future income from taxing online gaming will be a useful source of revenue for Spain as it struggles to rein in its deficit. Bwin.party, the world's largest online gaming company, said around 4 percent of its revenues were generated in Spain last year. The company is known in Spain through its shirt sponsorship of soccer champions Real Madrid. William Hill, Britain's biggest bookmaker, and online gaming company 888 both said they had been granted licenses. A number of European markets are regulating their online gaming markets, helping to take them out of a legal grey area that has worried investors. "We are moving towards an environment that is highly taxed and highly regulated. That is where operators wants to be, although it will cost them money," said analyst Nick Batram of Peel Hunt. He said the license awards were good news for operators in Spain but noted that the market would initially be crowded as many companies fight for share. Spain is a major sporting power and revenues in the sector are estimated to be over 800 million euros in 2014, according to gaming association Jdigital. Spain's Treasury said it was informing companies of the outcome of their license applications on Friday but would not release a full list of those who had been successful until next week when sites can go live. Spain is one of Sportingbet's main markets and the company's operations there have been suspended since March because of a legal injunction won by Spanish casino group Codere. "The grant of the eGaming license negates part of the injunction, which was imposed on Sportingbet's Spanish business on 27 March 2012 and thus allows Sportingbet's Spanish business at www.miapuesta.es to commence trading when this regulated market opens," Sportingbet said. The company is applying to a court in Madrid to have the rest of the injunction lifted. (Additional reporting by Sarah White in Madrid; Editing by Hans-Juergen Peters and Jon Loades-Carter) Tech Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. 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Add yours using the box above.   Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter   Facebook   LinkedIn   RSS   Podcast   Newsletters   Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us   Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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