German state of Saxony receives online slots license for its monopoly

Posted: November 8, 2022, 11:41 a.m.

Last update: November 8, 2022, 01:05 a.m.

The German online gaming industry continues to grow, but not as fast as others. There are now 14 operators licensed to offer online slots only, with the state of Saxony and its monopoly being the latest to receive a license.

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

The Saxony-Anhalt The State Administration Office, which is responsible for issuing online gambling licenses throughout Germany, has approved the state monopoly petition in Saxony. The bureau’s latest list of approved licensees reflects the change, expanding the list weeks after a few more operators were added.

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

German online gambling slow to progress

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

Saxony will offer virtual slot machines via the Sachsenlotto.de domain. It is not yet known which games the state provider will roll out.

In October, Novo Interactive, Interwetten and Tipico were able to obtain permission to legally enter the German iGaming market. They, along with a handful of others, can operate in states that do not have closed gambling monopolies.

These additions came well after the creation of the German Gambling Society (DGGS, for its German acronym), formerly Mernov, last May. The process of adding new operators was slow and sometimes erratic. But Germany continues to advance.

Sächsische Spielbanken was launched in 1994 and operates casinos in Dresden, Leipzig and Chemnitz in the Free State of Saxony. The management and representation of the gambling business is the responsibility of the Sächsische Spielbanken, while the shares of the company are wholly owned by the Free State of Saxony.

Digital life is gaining momentum

While countries like the United States and others have attacked digital gambling with great zeal, this is not the case in Germany. The country has been much slower to adopt online casinos and sports betting, partly due to a lack of digital integration.

In the official index of the European Union, Germany ranks 11th among digital societies. It’s not exactly pioneering, but Germans are easily open to technology and change. Like most other countries, the smartphone plays an important role for almost all German citizens.

This explains why digitization of the gaming industry can become an accepted expansion. Those who have not yet had contact with the game are often hesitant to enter land properties. Therefore, online gambling could lower the hurdle and make it easier for some people to try it.

James R. Rhodes