Industry predictions for 2025: Latam-focused M&A and Dutch dangers

Brais Pena, Easygo chief strategy officer  

M&A on the agenda  

Next year should see lots of consolidation in igaming, as some markets become more regulated. It’s likely that operators will struggle without a local presence as they can’t advertise via conventional channels. 

Latin America is being talked about all the time. With so many operators expected to launch in Brazil’s regulated market when it opens at the start of the year, companies are likely going to have to double up in their efforts to gain market share.  

With incumbent operators already being household names there, it will be very tricky to compete without really knowledgeable local leadership.  

We could see consolidation in B2B as well, and the smaller suppliers will find it more difficult to survive as a result of the market getting smaller and operators continuing to bring tech in-house.  

Even some of the legacy brands might struggle to shift to meet the regulatory demands of the market.  

Online casino innovation  

While we have already spiced things up considerably in the online casino space in the past, we believe that 2025 will be the time for even more innovative and disruptive games to come to the fore. 

We have tried to shake things up with some of our Stake Originals such as Crash, Dice or Plinko. Original content really stands out in this industry. Bespoke games build brand identities and help players familiarise themselves with the offering that only a unique operator can provide. 

Traditional slot and table games will always be at the core of online casino offerings, but an innovative variation of these games and a cutting-edge live experience can ensure increased revenue streams going forward. 

I’ve seen a few projects in the market that will be coming live soon that are going to bring fresh ideas and formats. We are lucky that through our recently launched igaming incubating and accelerating program we’ll be participating and helping some of them. 

Gaming will go global  

It’s also very possible we will see the gaming ecosystem move towards more regulation. We have already seen many shifts in this direction in recent years, and the industry is in a very different place to where it was 10-15 years ago, when only a handful of markets were regulated.  

Brazil takes up much of the attention in Latin America, but we also shouldn’t forget about Peru, where the regulated market has already launched and major inroads are being made. There are other markets that could introduce regulations, such as Chile and more Argentinian provinces, so the region as a whole is of interest.  

There will probably be more movement in key Asian and African markets going forward as well, with major opportunities in countries such as South Africa, Nigeria and Kenya among others.  

Given that more than half the world’s population is based in Asia, their appetite for gaming is enormous. This may be a point of interest in the years beyond 2025 (in the short term). I believe central Asia is a big unknown that people will start discovering, but we anticipate the online digital gaming industry becoming even more global in the coming years. 

Mike de Graaff, BetComply chief compliance officer 

Watch out for Brazil’s black market 

As of 1 January, Brazil’s online gaming market is live. It’s taken years to get here, and there’s been a huge amount of excitement around it, but this is going to be a messy launch. 

Let’s not pretend that Brazil’s black market hasn’t been thriving for a long time now. Bringing those players over to licensed operators will not be easy. Several offshore brands are already well established, and will have greater freedom when it comes to bonusing, marketing and product offering. We’ve seen several markets struggle with channelisation, but Brazil might just be the toughest yet. 

Steps are being taken. Brazil’s finance ministry has blocked some 5,000 illegal gambling sites so far, but this is a game of cat and mouse that will be hard to win. The regulator will need to stay on its toes, be realistic and understand that taking pragmatic decisions to bring players into the licensed arena is the best approach for all stakeholders.  

Dutch disruption as operators struggle with compliance 

The Netherlands remains an extremely lucrative market, but many are struggling to adapt to the proactive enforcement approach taken by its regulator, the Netherlands Gambling Authority (KSA). Over recent years, the KSA has shown itself to be one of Europe’s most stringent overseers, not afraid to levy hefty fines. 

This will impact the market throughout 2025. Many operators are struggling with the KSA’s approach, which demands that licence holders display a clear understanding of the reasoning behind the rules, rather than merely abide by them. 

I would expect to see more licences surrendered or sold over the next 12 months, with some operators deciding the Netherlands is no longer worth the bother. 

But in turn, this will open a window for those who have invested in compliance and taken the time to get to grips with the KSA’s framework. Compliance has become a competitive edge in the Netherlands, and that will create some interesting market dynamics in 2025. We could see a very unique market develop. 

The dotcom shake-up continues 

With Curaçao’s parliament approving the country’s new regulatory framework (LOK) before Christmas, the stage is set for a dramatic shake-up across dotcom markets in 2025. 

The LOK abolishes Curaçao’s previous master licence set up, forcing all licensees to reapply under the new system, with the aim of improving the island’s negative reputation as a hub for money laundering.  

How this plays out, however, is yet to be seen. Some dotcom operators have already pivoted to the Anjouan licence, which is seen as more permissive than Curaçao’s new regime. Others are forgoing licences altogether, which is a worrying development for our industry as a whole. 

This is all happening at a time when black market revenues are soaring around the world. That trend is likely to accelerate in 2025, and will attract attention, particularly from those countries that have frameworks in place. Legal challenges could well be on the agenda.