Sweden’s online gaming market originally operated as a monopoly. The government-backed Svenska Spel supplied both land-based and internet gaming to the country.
However, this setup eventually failed for multiple reasons. The one-operator system didn’t give consumers any variety to choose from.
Many gamblers began looking outside of Sweden towards offshore operators, who were happy to take Swedish customers in light of the country’s weak regulatory body.
Other European countries complained to the EU about Svenska Spel’s monopoly. They argued that Sweden was engaging in anti-competitive practices.
The Swedish Parliament eliminated many of these headaches by passing the Gambling Act and Tax Act in 2018. These laws created the Swedish Gambling Authority and provided a stronger gaming regulatory system.