German State of Saxony Receives Online Slot License for its Monopoly

Posted on: November 8, 2022, 11:41h. 

Last updated on: November 8, 2022, 04:58h.

Erik Gibbs Read More
Expertise: Asia Pacific Gaming, Gaming Business, Global Gaming.

Germany’s online gaming industry continues to grow, although not as fast as some others. There are now 14 operators that have permission to offer only online slots, with the state of Saxony and its monopoly the latest to receive a license.

Semperoper Dresden
Semperoper Dresden, the opera house of Dresden in the German state of Saxony, at dusk. The state is the latest to receive an online gaming license. (Image: Deutsche Welle)

The Sachsen-Anhalt State Administration Office, which is in charge of issuing online gaming licenses across Germany, approved the state-run monopoly’s petition in Saxony. The office’s latest list of approved licensees reflects the change, expanding the list weeks after it added a couple of other operators.

The introduction of online gaming in Germany has been controversial. There have been complaints about the regulations that are being implemented, as well as restrictions the government expects to maintain. However, the online gaming segment continues to advance and attract more players.

Sächsische Spielbanken GmBH is the state-run operator of casinos in Saxony. Like Thuringia, Saxony opted for a gaming monopoly when Germany introduced its latest gambling reform last year. Saxony is the first state monopoly to receive a license.

German Online Gaming Slow to Advance

Saxony will offer virtual slots via the domain Sachsenlotto.de. It is not yet known which games the state provider will deploy.

In October, Novo Interactive, Interwetten, and Tipico secured permission to legally enter the German iGaming market. They, as well as a handful of others, can operate in those states that don’t have a closed gaming monopoly.

Those additions came well after the German Gambling Society (DGGS, for its German acronym), formerly Mernov, started this past May. The process of adding new operators has been slow and sometimes erratic. But Germany continues to move forward.

Sächsische Spielbanken launched in 1994 and operates casinos in Dresden, Leipzig, and Chemnitz in the Free State of Saxony. The management and representation of the gaming activity is the responsibility of Sächsische Spielbanken, while shares of the company are held entirely by the Free State of Saxony.

Digital Life Catching On

While countries like the US and others have been attacking digital gaming with great zeal, that isn’t the case in Germany. The country has adopted online casinos and sports betting much slower, partly because of a lack of digital integration.

In the official European Union index, Germany is in 11th place among digital societies. It’s not exactly a pioneer, but Germans are readily open to technology and change. Like most other countries, the smartphone plays an important role for almost every German citizen.

This explains why digitization of the gambling industry can become an accepted expansion. Those who have not yet had any contact with gambling often shy away from entering land-based properties. Therefore, online gambling could lower the hurdle and make it easier for some people to give it a try.