Multiple Canadian gaming industry officials have said that Alberta could launch a competitive online gaming market as early as 2025 and that provincial government officials remain motivated to do so.
During a panel at the SBC Summit North America on Thursday (May 9), Paul Burns, CEO of the Canadian Gaming Association, and Bruce Caughill, managing director overseeing Canada for Rush Street Interactive (RSI), said they believe next year is a realistic timeline given the province鈥檚 desire to join Ontario with a competitive regulated market.
鈥淚t鈥檚 been interesting to see it unfold because there is a desire in the Alberta government to make this happen yesterday, but I think they鈥檙e starting to understand that to make things happen, even quickly, it takes some time,鈥 Caughill said.
鈥淎lberta鈥檚 had some of the highest per capita spend for gambling in the country for many years, actually [all of] western Canada has had that, it used to go lower as you would come east,鈥 Burns said. 鈥淪o it is a very robust gaming marketplace, already.鈥
Caughill highlighted two encouraging signs that the government continues to move quickly, the first being that he expects legislation to be approved by the province鈥檚 Legislative Assembly 鈥渟hortly鈥 that would permit the government to create a separate 鈥渃onduct-and-manage鈥 entity for online gaming, similar to the function that iGaming Ontario serves.聽
Canadian federal law requires provincial governments to 鈥渃onduct and manage鈥 all forms of gambling in the country, which Ontario complied with by creating a new entity under the umbrella of the Alcohol and Gaming Commission of Ontario (AGCO). Under the unique setup, the AGCO regulates gaming while the sister organization, iGO, is legally responsible for gaming activities.聽
In addition, Caughill, who helped launch online gaming in Ontario as the former chief legal officer of the AGCO before joining RSI, said Alberta may go a step further in borrowing from the Ontario model.
鈥淭here seems to be every indication they鈥檙e going to simply white label the Ontario licensing regime,鈥 Caughill said. 鈥淭here鈥檚 nothing specific, but that鈥檚 sort of the hope that you can transition right into that model if you鈥檙e already in Ontario.鈥
Brent McCurdy, chief legal officer for the AGCO, said the regulator would be open to working with their Albertan colleagues to create more harmonization if that is the direction the province elects to go.
鈥淲hen we put together our regulatory framework, we looked, we borrowed, and stole shamelessly from the UK and areas of the US and picked what we thought was the best of all worlds,鈥 he said. 鈥淲e鈥檙e always looking to update to make sure that they鈥檙e effective and targeted, and we鈥檙e always happy to have a conversation with those doing the same thing.鈥
Ontario regulators permitted operators who were already offering online gaming in the province when it was considered a grey market to not only become regulated, but continue operating as grey market operators while they transitioned into the regulated space as long as they did so within a few months of the market鈥檚 April 2022 launch.
鈥淭he thing about the Ontario model is I found it to be very sober-minded, very realistic about what you can do as a province, and as Canada too,鈥 said Geoff Zochodne, a journalist for Covers. 鈥淵ou probably weren鈥檛 going to see a detachment of Mounties sent to some tropical island to start kicking on doors.
鈥淪o you have an approach where you can, for lack of a better phrase, catch more flies with honey and bring them in and take some of these operators at their words when they say we鈥檙e willing to be regulated if you have some sort of framework that can accommodate them, and so that bluff was called and operators did sign up.鈥