LI participated in PGS 2016. As they could converse with the regulator, operators and Peruvian manufacturers, how was the first half of the year for the local industry and what challenges must be overcome in the remainder of the year?
Because the Peruvian market is a regulatory model for mature gaming markets in Latin America, we enjoy doing business in the region and watching local regulators, suppliers and operators flourish. However, though mature, the Peruvian market is still growing as new and important investments enter the marketplace and the gaming industry advances. We are proud to have spent the first half of the year supporting our clients in Peru by providing consultation for various areas of business, like certification for gaming devices and online systems. Peruvian operators are extremely professional, making business with them productive, advantageous and cutting-edge. The main challenge that Peru, and the entire Latin American region, will face is iGaming activity, regulation and control. As the iGaming industry continues to evolve, Peruvian regulators will need to develop regulations to make sure that the game is fair to everyone. Along similar lines, another challenge will be dealing with an increase in sports betting operators in the market and more coming to invest. Suppliers and operators looking to enter the Peruvian market will need to fully understand the submission process in order to obtain product approvals when regulated. GLI can play a key role in understanding the needs of regulators, suppliers and operators by helping to ensure a better understanding of the jurisdictional requirements.
In his speech opening the conference cycle PGS, Manuel San Román mentioned as a favorable point for operators and manufacturers wishing to do business in Peru the fact that the country has a single controller. Is this a determining factor when defining the markets in which you wish to operate? What benefits can offer the countries with more than one regulator?
GLI works with more than 475 jurisdictions around the world, and we have seen both models work in different jurisdictions. We consider a clear definition of the competences per the law that governs each regulatory body the key to success. This is crucial in order to secure their goal and ability to regulate the industry and effectively control it.
San Román also reported to have prepared a bill to regulate online sports betting and indicated they expect to present to Congress before year-end. According to the knowledge you have about other jurisdictions, what regulatory model would be more beneficial to Peru?
Each country has its specific needs and reality, so there is not a specific regulatory model that would be more beneficial over another for Peru – many models are successful, despite their differences. However, on the technical side of things, we have established GLI-19, a standard comprised of best practices from jurisdictions around the globe. With GLI-19, suppliers can achieve the entrance to jurisdictions with much reduced additional testing and certification efforts. As San Román stated, the key to good regulation and control is to know the different stakeholders and listen to them and their dialogue in order to determine the best regulatory model for their region.
In recent months there were several events for the Latin American game industry. Do you think it is desirable to have as many events so close on the calendar? What is most effective for you?
We strategically analyze events to determine our level of participation. We evaluate the amount of local suppliers we serve and the potential business opportunities, the regulatory status of the jurisdiction where the show is taking place, and the message that we should focus on based on this information. Latin American events allow us to personally meet with our current and potential clients in order to discuss their very specific needs on a face to face basis – that is one of the many added values that GLI offers to our clients. It is important for us to know the needs and current status of our regulators, suppliers and operators so that we can better serve them. In addition, we understand that not everyone can attend every show. Therefore, we want to be available as often as possible, and that is why we frequently visit different markets. With so many changes going on in the Latin American jurisdictions and suppliers specifically seeking updated regulatory information, we understand the importance of spreading our knowledge.