Back in August 2024, Brazil said that 113 sports betting websites applied for an online betting license in Brazil. After several months of deliberation and into each sportsbook, the Brazil Secretariat of Prizes and Bets (SPA) has finally made their decision. In total, Brazil Approves 71 Betting Licenses to operate an online gambling website.
This news comes right before the launch of Brazil’s license gambling market that is set to launch on January 1, 2025. According to gambling news, the final decision was made last Tuesday during a meted by the SPA. However, according to the leader of the Brazil SPA, there still remains 114 applications to evaluate.
Brazil Approves 71 Betting Licenses out of 270 Companies
Dudena refrained from revealing the identities of the successful applicants. Nevertheless, he confirmed that all operators within this group have been contacted for a final evaluation prior to the market’s launch. Brazil is set to inaugurate its regulated market on January 1, 2025, with compliance required beforehand for any operator to commence operations.
“The final requirements, in addition to certain technical specifications such as the certification of their betting systems, primarily pertain to financial matters, including the necessity for full capital, the establishment of a reserve account, and the payment of a concession fee,” Dudena stated.
“Consequently, 71 companies have been informed by the Ministry of Finance. They are allotted 30 days from the notification date to meet these final requirements.”
Thus, it means that companies that use a Bookie Pay Per Head to power their sportsbook are eligible for a license. Or at least, as long as the Pay Per head company uses a betting software that has the proper certification in Brazil.
For those looking to open a betting website in Brazil, with a PPH, we suggest looking at Pay per Head comparison sites. This way, you will know exactly what betting software the PPH use and whether it is approved by Brazil.
Dudena further disclosed that 16 of the successful initial applicants have already settled their concession fees. To date, the Ministry of Finance has collected a total of BRL480 million (£63.3 million/€76.4 million/$80 million) in fees, with each licensee required to pay a concession fee of R$30 million.
Which Sports Betting Companies in Brazil will Get an Online Gambling License?
The initial 90-day window for license applications commenced in May and attracted significant interest from operators. The application process extended beyond the original deadline, and by early November, more than 270 companies had submitted their applications.
Those who applied after the deadline are unlikely to have their licenses approved in time for the opening day. The regulatory authority has previously indicated that it will prioritize applications received during the initial period to ensure these operators can commence operations on January 1.
Among the companies that have submitted applications are Sportingbet, Caesars Sportsbook’s Big Brazil, Superbet, and Rei do Pitaco. Betano, owned by Kaizen Gaming, was the first to apply on May 26, shortly after the application window opened.
Analysts predict that Flutter Entertainment is poised to gain a significant advantage in Brazil. This week, Macquarie reported that the NYSE-listed company could increase its online market share in Brazil by 150% over the next five years, rising from 10% to 25%.
Rob Coldrake, the chief financial officer of Flutter, expressed optimism about the company’s prospects in Brazil during a post-Q3 earnings call. He stated, “We’re excited to take advantage of what we think is a really exciting market with a lot of opportunity.”
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