Italy’s communications watchdog has issued fines totaling more than 3 million euros ($3.3 million) to Twitch and Google for violating the country’s gambling advertising ban. [Image: Shutterstock.com]
Big penalties
Italy’s communications watchdog has issued fines totaling more than 3 million euros ($3.3 million) to Twitch and Google for gambling advertising violations. Google-owned YouTube must pay a fine of €2.3 million ($2.5 million), while Twitch faces a fine of €900,000 ($982,251).
Both parties were asked to remove more than 20,000 videos
The Autorità per le Garanzie nelle Comunicazioni (AGCOM) also asked both parties to remove more than 20,000 videos promoting various forms of gambling and ensure that they prevent similar problems in the future. She noted that the two companies have video makers on their platforms that show gambling content that is not permitted in Italy.
A track record of violations
Google has already been on the receiving end of financial penalties in Italy for similar crimes. AGCOM ordered the company to pay €750,000 ($818,543) in August 2022 and €100,000 ($109,139) in October 2020 for the advertising violations.
The company successfully appealed these two fines. A court ruled last September, in relation to the case worth 750,000 euros (818,543 US dollars), that the company was not responsible for the ads because it was a hosting provider and had certain protections.
AGCOM also investigated TikTok in its latest investigation before concluding that any gambling content was not the platform’s fault. As a result, TikTok avoided a fine.
Comprehensive ban on gambling advertisements
Italy imposed a complete ban on gambling advertising in July 2018. This has had a detrimental impact on operators who rely on marketing messages to win new customers.
People in Italy spend about €25 billion ($27 billion) a year through black market gambling
A report by local newspaper La Gazzetta dello Sport in October showed that people in Italy spend about 25 billion euros ($27 billion) annually through black market gambling. This means that the country loses about 1 billion euros ($1.1 billion) in tax revenue every year due to illegal offers.
These findings have led the European Gaming and Betting Association to ask Italian lawmakers to reduce the blanket ban on gambling advertising so people can learn about legitimate options.