ISLE OF MAN GAMING SECTOR BOOMING

The Isle of Man’s gaming sector is booming, with the country reporting a dramatic rise in license applications from global operators. 

The British Crown dependency located in the Irish Sea has seen a thirty percent increase in demand this year, with the number of licensees to be supervised by the Gambling Supervision Commission now at 55 and several more in the pipeline. This equates to an increase of 21 in the last 12 months, in comparison to 8 licence approvals in 2019.

As reported last month, even 5Dimes, which has been synonymous with offshore gambling since it was established way back in 1996, announced it had secured an online sports betting and casino license in the Isle of Man – a major part of its push to overhaul its image and compete in the legitimate, regulated arena. The new generation of esports-first betting and tournament platforms like Luckbox and Rivalry.gg have also found success with Isle of Man licenses and bases.  

The introduction of a new software supplier license has contributed to a surge in applications, and various service providers have also reported a significant uptick in enquiries from businesses considering relocating to the island. Notably, the Isle of Man is weathering the COVID-19 crisis better than most countries, having completely eliminated the virus from the island, and lifting all control measures – though its borders are still closed to non-essential travel. 

Regarding the situation, Steve Brennan, Chief Executive of The Isle of Man Gambling Supervision Commission, said: “We are exceptionally busy at the minute processing a significant rise in the number of applications for online gambling operators. We continued to work throughout lockdown, and over the last 10 months, we have received or completed a considerable number of applications. By the time we have closed those out and added recent applications, we will have 60 licences to supervise.

Explaining why operators are choosing the Isle of Man, Jade Zorab, Director of Amber Gaming, added: “The Isle of Man has proven to be at the forefront of the more notable eGaming jurisdictions over the years. It has a combination of a stable political and economic environment, low tax and advanced IT infrastructure in addition to a cluster of experienced and reliable professional organisations – all of which has created a compelling proposition for eGaming companies both locally and further afield.

“The Island also offers a flexible licensing regime with a pragmatic and efficient regulator, which is especially valuable during a time where there is so much global uncertainty and regulatory changes in several other jurisdictions which brings the prospect of significant operational challenges. Given the Island’s strong reputation and open and innovative approach in the evolving gaming landscape, the future outlook is positive and it is no surprise that the Isle of Man is experiencing an influx of eGaming ventures, which we are proud to support.”

While Lyle Wraxall, Chief Executive at Digital Isle of Man, commented: “A key strength of the Isle of Man is its commitment to the development and continued success of the eGaming companies domiciled here. Digital Isle of Man supports this by striving to build and maintain solid foundations for our Island businesses to flourish, offering quick fire advice and tackling obstacles to ease business decisions and burdens along the way.

“We have strong heritage and credentials in the eGaming sector and are renowned for our premium regulation which is becoming more and more important to businesses. As businesses licensed elsewhere seek security and continued business growth, the experience and expertise based in the Isle of Man is the logical next step for businesses to mature and grow.

“The Isle of Man has a track record of being a safe and secure place for businesses to grow, and boasts a confident, stable economy, with no market restrictions, ensuring minimal disruption to business progress and opportunities.”

AYO.NEWS says:

Although the Isle of Man has long been attractive to gaming and tech companies, events in competing jurisdictions, along with increased investment on the part of the Manx government, are now making its offering much more compelling. 

Malta and Gibraltar, the Isle of Man’s main rivals in terms of gaming, are both facing severe challenges. In Malta, endemic corruption and its risible handling of the COVID-19 crisis are joining other factors like increasingly difficult access to banking, ridiculous living costs, crumbling infrastructure, and unbelievable environmental degradation, to make it unattractive to both companies and workers. In Gibraltar, continued uncertainty regarding Brexit, especially in terms of workers living in Spain, is making recruitment and long-term planning painful. Meanwhile, across the Atlantic, regulatory and political uncertainty is diminishing the appeal of Curacao as a licensing jurisdiction.  

However, the Isle of Man, which has never been part of the European Union but still, in non-COVID times at least, has unfettered access to a huge talent pool in the United Kingdom and Ireland, has handled the pandemic extremely well, focused on maintaining regulatory, financial, and political integrity and stability, and invested heavily in tech infrastructure and administrative support – exemplified by the Digital Isle of Man agency.

Notably, the Isle of Man has also very much grasped the synergies between iGaming, video games and esports, fintech, and blockchain – especially when it comes to regulation, infrastructure, and recruitment. Indeed, at the end of last year, AYO.NEWS’ very own Simona Pinterova caught up with Chriss Kissack, Head of Esports, at Digital Isle of Man, to find out what makes the island such a great location for esports and gaming businesses.