William Hill Book Passage to India

William Hill Book Passage to India

A total of thirteen companies, including local operators, are vying for three licences in the Himalayan state of Sikkim and a decision is expected in two weeks, which should allow operators time to have services ready for the 2010 World Cup.

The UK teams are currently talking business tactics with potential partners as, under Indian law, foreign companies have to set up with local operators to launch in the country. It is thought that William Hill is talking to Sikkim firm Global Torrent International and Betfair is partnering with Agilisys Managed Services.

Successful bidding teams will be able to promote their services in Sikkim and expect to be able to take bets from across India. Although Sikkim has a population of less than 600,000, India is pushing past the 1.2bn mark and so it is likely that when gaming revenues start to grow, other states will fall in line.

Other interested parties include Ladbrokes - a spokesperson said: “We are watching the space to see what happens because there are several partner opportunities to get a licence in the province of Sikkim.' 888 is also considering bidding for a license in Sikkim.

It promises to be interesting.

At the moment, the only legal betting opportunities in India are horse racing (at the meeting) and casino gambling in two states – Goa and Sikkim. Official statistics state that these legal gaming operations make roughly $40m per year from a turnover of $20bn. However, the black market boasts a further $40bn in total bets, which helps illegal outfits reach the combined revenue of approximately $2bn.

The appeal of the market is clear but there is a grey area: it is not certain how the Sikkim licence will apply outside the state. It will be illegal for customers to place bets from other states but it is believed that criminal liability will be with the customer and not the licensed operator in Sikkim.

Source: iGaming Business November 2009