The chamber of deputies in Argentina passed a federal bill aimed at banning online gambling and sports betting advertisements nationwide by a vote of 139 in favor, 36 against and 59 abstentions on November 27. The bill will now go to the Senate, which will decide whether to take it further after taking into account the views of stakeholders such as Argentine soccer clubs.
The new legislation imposes strict restrictions on advertising and sponsorship for online gambling and sports betting across various platforms, including TV, radio, social media, streaming services, gaming platforms, and urban signage. Its main objective is to protect children and adolescents from the dangers of gambling by introducing a more centralized regulatory framework for advertising. Currently, the number of users of illegal websites reaches 78 percent of the 14.6 million users of gambling platforms in Argentina. Parliamentarians have pointed out that the focus should be on the use of biometrics in regulation in order to limit the access to illegal platforms of teenagers.
Moreover, the legislation prohibits gambling operators from sponsoring sports teams, stadiums, and cultural events, and bars influencers and celebrities from promoting gambling to prevent misleading aspirational messaging, which is poised to have significant financial implications for Argentina’s sports industry. Prominent football clubs like Boca Juniors and River Plate rely heavily on sponsorship deals with gambling operators, and the landing of the legislation will deprive them of important revenue stream. While the ban prioritises public health, it raises concerns about its economic impact. Media and sports stakeholders argue that eliminating gambling sponsorship could strain their financial stability.
For companies going abroad to Argentina, they should keep an eye on the latest developments in the bill and avoid gambling elements when carrying out advertising campaigns in order to minimize the risk of non-compliance in their marketing activities.
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