Gauselmann Group Acquires Crazy Buzzer, Expanding Online Gaming Portfolio
The Gauselmann Group has expanded its online gaming portfolio by acquiring Crazy Buzzer, marking the seventh company to secure a nationwide operating license in Germany. This move solidifies the Gauselmann Group’s position as a dominant force in the German online gambling sector.
Crazy Buzzer joins the ranks of other Gauselmann brands, such as Merkur and Mernov, a collaborative venture between Merkur and Novomatic. With Merkur and Mernov already holding licenses for multiple online platforms, the Gauselmann Group now controls six out of the ten brands authorized to operate within Germany.
The legal framework for online casinos in Germany was established by the Gambling Treaty (GlüNeuRStv) in July 2021. This treaty paved the way for online slot and poker businesses to operate nationwide for the first time.
The treaty also established a new national regulatory body, the Glücksspielbehörde (GGL), tasked with overseeing gambling regulations. Prior to this, regulatory responsibilities were held by the administrative office of Saxony-Anhalt.
The newly formed regulatory organization commenced operations on July 1st, 2022, a year following the ratification of the agreement. However, its current focus is solely on enforcing illegal wagering activities, not on overseeing the entire industry.
Despite the stringent regulations, the number of authorized operators remains restricted – only seven slot machine operators and zero online poker enterprises have been granted licenses since the regulated market was established.
These rules encompass a 5.3% share tax, a monthly €1,000 cross-operator deposit cap, and a €1 wager limit. The share tax, in particular, has been subject to criticism, with the German Sports Betting Association (DSWV) asserting that it will “hinder” the success of Germany’s new gambling regulations.
The association also highlights that the strict regulatory landscape will benefit unauthorized operators who will exploit the limitations faced by legal providers.
“The authorities must now issue licenses promptly and severely penalize those who continue to operate without authorization,” stated Matthias Dams, president of the DSWV.
“Legal providers cannot be taken advantage of. The market damage inflicted by some unlicensed entities continuing to operate unhindered undermines the country’s political objectives and must be halted at all costs. We urge the national regulator to take more decisive action.”
During the month of June, a mere quartet of operators were granted licenses. Meanwhile, the Saxony-Anhalt State Chancellery declared its intention to authorize an additional nine licenses for online slots and poker.
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