Germany’s Joint Gambling Authority of the Federal States (GGL) has called for more impactful measures to combat the black market following a review of its Google partnership.
Despite noting early success, including the removal of sponsored ads for unlicensed sites from Google’s search results, GGL CEO Ronald Benter acknowledged that more needs to be done as the black market implements increasingly sophisticated measures to bypass restrictions.
Following a ruling in 2024, the GGL legally requires Google to only show German consumers advertisements from licensed gambling providers.
Speaking at a recent industry conference hosted by Die Deutsche Automatenwirtschaft eV (DAW), Benter called for the introduction of advanced IP-blocking techniques to prevent access to unregulated sites.
Cloak and dagger
As with any new measure, the black market has sought out new ways to avoid detection and a growing threat to regulators in Germany is the use of a technique called cloaking.
The method enables operators to present different content to search engines and users, therefore circumventing restrictions and the efforts of search engines like Google to eradicate their presence.
In retaliation, Benter has long been an advocate of the implementation of advanced IP-blocking, a practice that involves restricting internet users from accessing specific websites that are deemed illegal or unlicensed.
Earlier this year, the Singapore government cracked down on illegal gambling in the country by banning over 3,800 illicit websites deemed to be targeting gamblers in the country.
Singapore’s government suggested that the websites may have contributed to more than 145,000 illegal gambling transactions, amounting to approximately SGC$37m (£22m).
Proponents of IP-blocking argue that the method can serve as an effective deterrent by reducing the visibility of black market operators, however, critics have pointed out that the restrictions can be circumvented by virtual private networks (VPNs).
A unified European front
Concluding his thoughts on how to combat the black market, Benter spoke about the need for greater cooperation across Europe in addressing issues to reduce the fragmented regulatory landscape.
By working together, Benter said that the European regulators can establish a consistent approach to issues such as the black market, improving enforcement efforts.
“This fight requires close cooperation with international partners. Equally crucial are clear and uniform frameworks for the legal market that ensure the protection of players and apply equally to all permitted providers,” said the GGL in its report of the conference.
