Italy’s online gambling market is undergoing a major restructuring, with its regulatory body, the Agenzia delle Dogane e dei Monopoli (ADM), officially pushing back the deadline for completing the current licensing process. Originally slated to conclude on 17 September 2025, the closing date has now been extended to 12 November 2025 to allow more time for thorough evaluation of documentation and eligibility checks for all applicants.
The extension follows the conclusion of ADM’s tender process on 30 May, which saw 52 applications submitted by 46 distinct entities. The extended timeframe will allow regulators to manage what ADM described as “procedural complexity,” citing the need to handle an extensive volume of required materials.
According to ADM’s figures, the application stage has already produced €365 million in licensing fees, exceeding the Ministry of Economy and Finance’s (MEF) target range of €300 to €350 million. This revenue stems from a revised licence fee of €7 million per vertical per brand—significantly higher than the €200,000 fee from the previous 2018 round.
Among the operators securing initial approval are industry giants like Betfair, Snaitech, and Sisal, all under Flutter Entertainment, along with Evoke-owned 888 Italia and William Hill, Hillside’s Bet365, LeoVegas, and Betsson. Once awarded, licensees will have 35 days to submit final documentation and a six-month window to launch operations under Italy’s updated framework.
Regulatory Changes Spark Market Shifts and Potential Consolidation
The revamped rules governing online gambling in Italy signal more than just a procedural update—they reflect a substantial shift in how the sector will operate. Under the new regime, operators will face a gross gaming revenue (GGR) tax of 24.5% for sports betting and 25.5% for casino offerings, in addition to a 3% annual levy on GGR.
Furthermore, licensees are required to allocate at least 0.2% of their GGR—capped at €1 million annually—towards responsible gambling campaigns. Enhanced consumer protections are also mandatory, with operators expected to implement features allowing players to set personal deposit limits, time caps, and self-exclusion options.
The stricter guidelines and elevated costs have already impacted operator interest. Compared to the 2018 cycle, which drew 93 applications and resulted in 81 approvals, this round has seen only 46 applications gain initial clearance.
Still, the sector is gearing up for fierce competition. Lottomatica and Flutter have each secured five licences—the maximum permitted—and are making strategic investments. Flutter International CEO Dan Taylor described the firm’s Italy-focused initiative as a “multi-million euro ‘Flutter Edge’ investment,” aimed at advancing technology and streamlining operations across its brands, including a revamped SISAL offering spearheaded by Tombola.
Foreign operators such as Novomatic, Eurobet, Betpoint, Stake, DAZN Bet, and Marathonbet are all positioning themselves for a greater share of the market, alongside major European firms like Cirsa (via E-Play24), Winamax, and MGM-owned LeoVegas. Analysts predict that this crowded field may trigger a wave of mergers and acquisitions, with Italy potentially emerging as the next major M&A hub in Europe’s gambling sector.
Advertising Ban Under Scrutiny as Sports Law Reform Looms
Parallel to the licensing overhaul, political efforts are underway to review one of Italy’s most controversial gambling-related policies—the Dignity Decree. Enforced since 2018, the law bans gambling advertisements and sponsorships across sports and media platforms.
Minister for Sport Andrea Abodi is reportedly preparing a legislative package that could repeal or amend the ban as part of a broader New Sports Law initiative scheduled for the autumn. Abodi has repeatedly criticized the decree as “a blunt populist tool,” arguing it has deprived Italian sports of vital funding while failing to curtail gambling harm.
According to Serie A club representatives, the advertising ban has resulted in €180 million in lost sponsorship revenue since its implementation. One unnamed executive commented, “The ban didn’t clean up gambling. It just turned off the lights.”
The potential revision of advertising restrictions, combined with a modernized regulatory environment and enhanced industry contributions to tax revenues, suggests a comprehensive transformation is underway. Government agencies now appear to be shifting from a punitive posture to a more balanced regulatory model—one that aims to legitimize and capitalize on the sector’s economic potential.
As the ADM prepares to finalize the new licensing process by November, Italy’s online gambling landscape is poised for sweeping changes – driven by competition, investment, and policy reform.
Source:
Italy extends online gambling licence process, igamingbusiness.com, July 25, 2025
