Google to soon require gambling advertisers to have GGL license

Google is tightening its advertising rules for gambling products in Germany, with the search engine and Internet company set to roll out a new update on September 25, 2024, which will require advertisers who promote games of chance to seek a permit from the Gemeinsame Glücksspielbehörde der Länder (GGL), the regulator.

Google tweaks gambling advertising regime in Germany

This move is designed to significantly narrow the pool of bad actor participants in the gambling advertising market, but mostly – to ensure that Google does not fall foul of existing German laws, by allowing rogue and ill-meaning third parties access the market. There might be unintended consequences, however.

Google is keen to ensure that its advertising code is aligned with local regulations in Germany, with the country maintaining a robust regulatory regime that is meticulously detail-oriented and wants to ensure that every facet of the experience is air-tight. To promote gambling products, brokers and gambling operators would first need to obtain a GGL certification.

In other words, only licensed entities could promote gambling products in the German market. Once they have GGL-issued licenses, concerned parties may apply to Google for their advertising certification to promote gambling products. The company’s terms and conditions regarding these types of products will still apply.

As to the potential unintended consequences, these moves will most likely impact affiliate websites which could be listing a number of operators on their pages, including reviews, user feedback, and other analytics. Websites that operate worldwide would have to carefully curate their offers before they may continue.

Fears that Google’s new policy would harm competitiveness

Services that are exclusively advertising and focusing on the German market are far less likely to be impacted, which could be the desired effect. Naturally, there are fears about competition, as operators and advertisers that have already received their GGL certification, as part of their operations in the country, would be left to reign alone over the German market come September 25, 2024, the implementation date of the new update.

As for the rest, they would have to temporarily put their advertising efforts on halt, and thus lose market share, which could ultimately lead to players channelled to fewer gambling websites. Germany has already had a problem with its channelization into the legal gambling market, several groups and surveys have claimed. Doing more to restrict the plurality of the market could further add to this issue.

Image credit: Unsplash.com