Consolidation of Gamers and Government Regulations Gathers Speed
It would seem that the phrase has morphed from its original message to another entirely and would now be, “If you can’t beat ‘em, buy ‘em.
Australia and Australians have long enjoyed, long by current standards, of unprecedented choice and competition when it came to the selection of betting agencies.
There was some consolidation at points in the past when the internationals realised the potential of the market represented by Australia and those internationals took over some of the homegrown agencies, but the momentum of that trend seems to have taken on a whole new scope of the news that The Stars Group is after not one, but two Australian online bookmakers.
The Stars Group is based in Canada and is the owner of the PokerStars platform and Full Tilt Poker.
Combined with new government regulations seemingly devised to reign in what could be viewed as deceptive practices by the bookmakers and the latest revelation concerning bookmaker consolidation, it would appear obvious that the environment for online wagering will soon be very different than the environment that currently exists.
This has the potential to be a major shift in the paradigm and the full implications are yet to be fully understood.
The Star Group is in the process of purchasing Great Britain based Sky Bet for over $6 billion.
The number of independently run bookmakers is declining along the lines of a little fish being swallowed by a bigger fish, only for that bigger fish to be swallowed by an even bigger fish…ad infinitum.
Wagering, online or by any other means, at one time seemed to be a benevolent monopoly overseen by the government. The explosion of the internet was a seismic shift in the order of the day.
Now, the natural evolution of the laws of supply and demand have brought economies of scale into the equation and it might not be long until the number of choices of which Australian punters can avail themselves is going in a direction opposite to that of the interests of those punters.