Related content for Svenska Spel Backs Out Of Baltic States Deal

In Sweden, the marketing activities of the monopoly gaming operator are under police examination but the focus of an inquiry to recommend changes to the country’s gambling laws is blurring as the new government becomes accustomed to the realities of power.

Swedish gambling monopoly Svenska Spel has been prolific in its announcements of overseas expansion in 2007 but as the year draws to a close it is becoming clear that many of the deals were never approved by the Swedish government and now face being unwound.

Swedish monopoly gaming operator Svenska Spel is combining psychology, artificial intelligence and behavioural science in a high tech effort to prevent its customers gambling too much but critics are questioning the value of a system that, above all, aims to keep players playing.

While Sweden’s right to set its own gambling policy has recently been upheld by the ECJ, its domestic courts must nevertheless assess whether penalties for the promotion of gambling organised abroad are discriminatory.

Ministerial rhetoric on reshaping gambling monopoly Svenska Spel into a more socially responsible operator has evidently not been communicated to Brussels, as time runs out for Sweden to answer EU concerns. The appointment of a new chairman for the operator, widely regarded as unsuitable for the role, has also raised questions about government indecision.

In a 19 page official response to the EU Commission’s Reasoned Opinion from June, the Swedish government has chosen to defend the Swedish gaming monopoly, despite threats from the EU commission and dissent within Sweden itself.

Moderate Party members voted at their congress last weekend in favour of a proposal to liberalise the country’s gambling market but the Swedish Government still advocates taking a more cautious approach towards regulation.

PokerStars is believed to have gained a significant foothold in Sweden's online poker market while state-owned monopoly Svenska Spel joined Nordic rivals in reporting a sharp drop-off in poker revenues during 2009.

Svenska Spel’s Jesper Kärrbrink announced yesterday that he is to step down from his role as CEO of the company. The announcement comes less than three weeks after the appointment of a new chair to the Svenska Spel board, and furthers speculation that the state-owned gaming operator is likely to witness a restriction in its room to manoeuvre in the Swedish market over the coming months.

With Sweden’s monopolistic gambling laws under pressure from juridical bodies at both a national and European level, speculation is mounting that the Government could be preparing less restrictive gaming legislation that will licence international operators.