Italy’s New iGaming Framework to Reshape Market by 2026

Italy’s online gambling industry is bracing for one of its most far-reaching overhauls in recent history. With the government’s Reorganisation of Gambling decree advancing and the ADM’s new framework set to take effect in November 2025, the nation’s iGaming market is on the verge of a transformation that will define operations through the next decade.

A Consolidated Market Under New Rules

The new framework imposes a tougher entry barrier for operators seeking a foothold in Italy. Licenses now cost €7 million and last for nine years, alongside taxes of 24.5% on betting and 25.5% on casino gross gaming revenue. Additional obligations include an annual fee of 3% of net gaming revenue and a 0.2% responsible gambling contribution, capped at €1 million.

Currently, only 46 operators have advanced to the second stage of licensing — less than half the previous 93. Once the system takes full effect in March 2026, these remaining licensees will operate under far stricter compliance standards and new reporting requirements.

The ADM’s (Agenzia delle Dogane e dei Monopoli) reforms also reshape market structure by enforcing a “one domain per license” rule. This measure eliminates over 350 “skin” or affiliate-operated domains, shrinking the number of active betting websites from 407 to just 52. Of those, 315 had been run by Italian firms and 92 by international companies.

ADM officials explained that “The reform signals a turning point for the online gaming market, which — also in response to growing public concern — aims to raise safety standards for both operators and players.”

Larger Operators Poised to Benefit

The consolidation heavily favors established companies with strong financial backing. Global groups like Flutter Entertainment, Entain, bet365, and Lottomatica — already significant players in Italy — are expected to maintain a dominant presence. Flutter, for instance, controls Sisal, Snaitech, and Betfair Exchange, all under its Italian umbrella.

While the ADM cites transparency and player safety as the main objectives, many industry observers see the stricter framework as one that benefits large-scale enterprises over smaller entrants. The Ministry of Economy and Finance (MEF) has already collected €365 million in licensing revenue — exceeding its original goal of €300–350 million — highlighting the government’s success in monetizing the sector’s restructuring.

Francesco Papallo, Altenar’s Regional Director for Italy, believes this environment could ultimately strengthen the industry. “We expect a more consolidated and transparent market, committed to long-term investment, innovation, and responsible gaming practices,” he said. “In recent months, we’ve already witnessed major international groups making strategic acquisitions in Italy, which has further reduced the number of active operators.”

He added that, “This consolidation has resulted in a significant portion of the market being absorbed by large-scale entities, leaving less room for smaller operators.”

New Compliance, Player Protections, and Design Shifts

For bettors, the ADM’s new system introduces mandatory safety measures. Players will soon have to confirm new terms and set personal deposit and wagering limits before placing bets. These self-imposed thresholds must be submitted within six months, or betting privileges will be suspended — though reactivation remains possible for up to three years.

Beyond regulation, operators are being pushed to innovate. Papallo emphasized that the multi-brand model will disappear as companies focus on building stronger single-brand identities. Mobile-first experiences, AI-driven personalization, and enhanced responsible gaming tools are expected to become central to player engagement.

He noted that “Features such as Bet Builders, cashout, and real-time player markets — especially in football and basketball — will continue to gain popularity,” adding that “We also anticipate growing demand for live streaming, which increasingly enhances player engagement.”

Meanwhile, the government is expanding oversight to curb illegal betting by developing a “cyber security shield” in cooperation with state-owned tech provider SOGEI. Public internet venues — including cafes and gaming lounges — will be required to install this protective software or face penalties.

Looking Toward 2026

The upcoming SiGMA Rome event (3–6 November, Fiera Roma) will likely spotlight these sweeping changes, with Altenar among the exhibitors ready to discuss the road ahead. “Prepare your brand for Italy’s next chapter. Our local team is ready to help you navigate new regulations and unlock growth in 2026 and beyond. Let’s meet at SiGMA Rome,” the company announced.

With fewer competitors, longer concessions, and stricter transparency rules, Italy’s restructured iGaming landscape promises a smaller but more stable playing field — one that favors responsible growth and sustainable innovation.

Sources:

Italy’s iGaming shake-up: what operators need to know before 2026, gamesbras.com, October 28, 2025.