BERLIN, June 17, 2010 /PRNewswire/ -- The World Cup is currently the top source of online sportsbetting, and many football fans and gamblers across Germany are placing theirbets with private online companies registered outside the country. Since2008, when Germany's State Treaty on Gambling was approved to reduce gamblingaddiction, online gambling through private providers has been prohibited andadvertising of gambling services banned. Along a broad spectrum of regulatorypolicies in Europe, Germany falls into the category of an extremelyrestrictive regulatory model.

In a new study, Berlin-based consultancy Goldmedia(http://www.Goldmedia.com) shows the negative effects of the restrictivereform. Among them are sharp revenue declines, more use of gambling offersfrom abroad, and high fiscal slumps for the German state - totalling EUR2.4bnsince 2005.

Altogether, the gross gaming revenue in Germany for 2009 amounted toEUR10.3bn, including both the regulated market (services that are permitted)and unregulated segments (private services, either having an unclear legalstatus or being forbidden). In 2009, the share of the unregulated market wasone-fifth. If current trends persist, the share will reach almost a third in2015.

Significant market shares are captured by foreign providers.At 94 percent, the foreign market share is by far the largest in the bettingsegment. Of EUR7.8bn in revenue, only about EUR240m went to regulatedproviders such as Oddset/DLTB football sweepstakes.

Massive revenue declines for state-run gambling providers canbe observed. Wager revenue for the regulated lotto market fell by aboutEUR1.8bn from 2005 to 2009. Wager revenue for the sports betting serviceOddset experienced the strongest decline, with a decrease of 60%, since 2005.

Senior Consultant Dr. Michael Schmid says, "Today, we find an extremelycontroversial political discussion. The upcoming renewal of Germany's StateTreaty on Gambling in 2011 provides an opportunity to correct the law'sundesirable effects, especially in the rapidly-expanding online gamblingsegment."

Source: Betting & Gambling Market Germany 2015

Key Facts for free: http://www.Goldmedia.com

Katrin.Penzel@Goldmedia.de, +49-30-246266-0