Ontario Online Gaming: Should International Players Be Allowed?

Ontario’s online gaming landscape is at a crossroads. A court ruling, potentially set for the fall of 2025, could determine whether the province will permit its residents to compete with international players on online gaming platforms.

Given the rapidly growing online gambling sector, this case carries substantial financial consequences. Whether Ontario opens its doors to the global gaming market or maintains its current insular model will significantly affect both the province’s revenues and players' experience.

What is Ontario’s current iGaming market?

Ontario opened its regulated iGaming market in 2022, becoming the first Canadian province to allow private operators to offer online casinos and sports betting. Governed by the Alcohol and Gaming Commission of Ontario (AGCO), the province’s framework ensures operators meet strict standards for consumer protection, fairness, and security.

At present, Ontario’s iGaming system is somewhat limited to in-province players, which means Ontarians can only wager against other residents on online gambling platforms. This restricted market contrasts with many international markets, where cross-border play is common.

The push for international play

There’s growing momentum in Ontario to expand the online gambling market by opening it up to international players. Advocates argue that this move would increase competition, provide a broader variety of gaming experiences for players, and boost revenues.

With the inclusion of global players, Ontario could potentially attract higher-stakes gamblers and introduce new gaming cultures. This would create a more diverse and dynamic market for Ontarians to enjoy, helping the province stay competitive in the global online gambling industry.

However, there are valid concerns surrounding this shift. Integrating international players into Ontario’s regulated system raises issues related to fairness, consumer protection, and the potential exposure of local players to unregulated or under-regulated gambling platforms. Balancing these benefits with the risks is central to the ongoing legal debates.

Potential legal and regulatory challenges

At the heart of the case is the question of whether Ontario’s current gaming laws should be amended to allow international play. Proponents of this move argue that the existing framework is too restrictive and prevents the province from fully capitalizing on the potential for market growth.

On the other hand, critics caution that increased exposure to international gambling platforms could undermine the integrity of the provincial regulatory system. Many international sites do not adhere to the same robust consumer protection measures that Ontario Casinos enforce, which could leave local players vulnerable to fraud and unfair practices.

What if the court rules in favour of international play?

If the court rules in favour of allowing international play, the change could be transformative for Ontario’s iGaming industry. By opening up the market, Ontario would significantly expand its player pool, making the gaming experience more varied and competitive. This could result in more players participating on regulated platforms, thereby driving up the province’s gaming revenue.

In addition to increased participation, Ontario’s operators would likely need to enhance their offerings to cater to a global audience. This could include adding more diverse games, improving user interfaces, and upgrading payment systems.

Potential risks of expanding to international markets

While the potential benefits are considerable, expanding Ontario’s online gambling market to international players also comes with risks that must be carefully managed. The three main concerns raised were:

• Regulatory oversight of foreign operators: Ontario will need to implement measures that ensure all participating platforms meet local standards for fairness, consumer protection, and responsible gambling.

• Revenue regulation and tax collection: It might become more difficult to track and regulate the flow of gambling revenue, posing challenges for both operators and regulators.

• Increased problem gambling: Access to a broader market could lead to more opportunities for excessive gambling. Ontario would need to implement robust responsible gambling measures, such as self-exclusion programs, monitoring tools, and public education campaigns.

How it could affect Ontario’s players

To better understand the implications of allowing international play, consider the example of popular online poker games. In Ontario, poker players often face limited competition due to the relatively small pool of local players. Expanding the player pool by allowing international participants could result in larger, more competitive poker games, offering Ontario residents a richer and more varied experience.

However, the introduction of international players has sometimes led to concerns about the fairness of play. For example, in England and Germany, international poker pools are regulated to ensure compliance with local laws and to provide transparency in how operators handle player funds. Ontario would likely need to adopt similar measures to ensure that local players are adequately protected when competing against a more diverse group of international participants.

Final thoughts

Ontario’s decision on whether to allow international players will have a lasting impact on the province’s iGaming market. While expanding to a global pool of players could drive growth and make the market more competitive, it is essential that regulators address the risks to ensure player protection and prevent the spread of unregulated gambling practices.

Ultimately, the court’s ruling will set a precedent not only for Ontario but also for other Canadian provinces considering similar moves. By balancing the benefits of international play with the need for regulatory control, Ontario can position itself as a leader in the evolving online gaming landscape.

Sources

• CBC: Ontario wants to allow online gamblers to play with non-Canadians

• Durham Post: Court to decide if Ontario gamblers can play with international players

• PointSpreads: Ontario seeks to allow online gamblers to play with non-Canadians