Channelisation efforts in Norway

Channelisation rates for online casinos across Europe are a key factor in determining a market’s success. In Norway, significant steps have been taken with the foreign market for operators in Norway shrinking, and the state-run Norsk Tipping posting ever-increasing turnover. 

Foreign market shrinks in Norway

In a report published on April 24, 2025, the Norwegian Gambling Authority stated that the illegal foreign market turnover from players in its jurisdiction had declined by 18%. This is a decrease from NOK1.6 billion to NOK1.3 billion, which was recorded in 2023.

The authority also confirmed that this loss for foreign operators has also resulted in a shrinking of their market share from 35% in 2023 to 22% in 2024. 

Norwegian gambling monopoly 

This is welcome news for the Nordic nation, where the legal industry consists of state-run Norsk Tipping’s pari-mutuel racing monopoly, Norsk Rikstoto. They offer casino games and sports betting in competition with foreign online casinos. 

The Government of Norway has been actively blocking these foreign gambling operators with bans on gambling advertising and collaborating with Google and Facebook to police black market access. This April alone, the authority has blocked 57 unlicensed websites.

The authority has also expressed that it expects Norsk Tipping and Norsk Rikstoto to reduce their own marketing.

Norsk Tipping turnover increases

This report has not only highlighted a waning of the foreign market serving Norway but also a boost to the state-run operators. Significantly increasing its revenue of NOK2.6 billion in 2023 to NOK3.1 billion, marking a 19% increase. 

This has also been accompanied by Norsk Rikstoto reporting a 5% growth in player base, up to 175,000 active players. 

Channelisation

In the context of iGaming, channelisation is a regulatory effort by a government or licensing body to direct players to legally operated casinos that are fully licensed to offer games and sports betting in that particular country.

The goals of this structure are to:

• Increase tax revenue from a well-regulated market.

• Protect consumers by providing a fair framework, effective responsible gambling tools, and adequate dispute resolution.

• Combat illegal activities by operators engaging in money laundering or other criminal activities.

In Norway’s case, these efforts seem to be gaining success with a decrease in foreign operator presence and a boost in legal activity being key markers for this.

The method throughout Europe

As Europe’s mature gambling market continues to evolve and regulate, the issue of channelisation has become of increasing concern for nations that work with a monopoly or comprehensive licensing system. 

In countries with older regulations, such as the UK or the Netherlands, channelisation is still a key factor, but far easier to regulate. It has been highlighted that the UK has one of the most impressive channelisation rates of about 97% - 98%. 

Although their licensing systems vary, Norway’s approach to achieving channelisation mirrors the UK.

Firstly, Norsk Tipping and Norsk Rikstoto have been well-positioned to offer Norwegian players an attractive and regulated online gambling market. Efforts have also included effective measures to make unlicensed operators less appealing or accessible. Awareness campaigns, payment blocking, and advertising restrictions.

Challenges faced by others

Conversely, there are still some nations lagging. For instance, Sweden reported an overall 77% channelisation rate in 2023. This comes as little surprise, however, a recent survey concluded that 72% of Swedish consumers are unable to differentiate been a legal or illegal product.  

Channelisation can also be harmed by overregulation, such as has been seen of late in nations such as Brazil.