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Kindred Ends Operations in Poland Amid Regulatory Challenges
Kindred Group has announced its exit from the Polish gambling market, marking a pivotal shift in its operations strategy.
Facing strict gambling laws and a monopolized casino industry, Kindred is committing to regulated markets under new ownership.
Learn how regulatory challenges and a shift in business focus are reshaping Kindred’s operations and long-term goals.
Discover the implications of this exit for Poland’s gambling landscape and what it means for Kindred’s future.
Kindred Group Exits Poland: Another Step Toward Regulated Market Exclusivity
Key Points:
- Regulatory Pressure: Poland’s strict gambling laws and monopolized casino market prompted Kindred’s exit.
- Strategic Shift: Under FDJ ownership, Kindred is focusing exclusively on regulated markets with local licensing.
- Legal Battles: Ongoing disputes, such as Unibet’s conflict with STS, highlight the challenges of operating in restricted markets.
Kindred Group Ends Operations in Poland Amid Regulatory Pressures
In a significant strategic move, Kindred Group has ceased its operations in Poland. The decision, confirmed to Gamingo News, underscores the company’s commitment to focusing exclusively on regulated markets.
This includes the closure of Unibet, Kindred’s sports betting platform in Poland, mere weeks after halting poker, casino, and bingo services in the country. The exit is part of Kindred’s broader strategy under its new owner, French operator FDJ, to prioritize markets with local licenses or clear paths to regulation.
“As part of this commitment, Kindred will stop its international dot-com operations,” the company stated.
Regulatory and Legal Challenges in Poland
Poland’s strict gambling laws have made it a challenging market for international operators. Since the 2016 amendments to the country’s gambling law, online gambling has been heavily regulated.
- Casino games: Controlled exclusively by the state-owned Totalizator Sportowy, leaving no room for private operators.
- Sports betting: Permitted for licensed operators but bound by stringent local regulations.
Kindred’s brand Unibet had also faced a legal dispute with STS, Poland’s largest bookmaker, since 2021. STS alleged that Unibet was violating local laws by targeting Polish players through marketing and advertising without a Polish license.
Such hurdles have created an environment where maintaining operations was neither feasible nor aligned with Kindred’s strategic objectives.
Aligning with Regulated Market Strategy
Kindred’s departure from Poland follows a similar move in Norway, where the company has faced longstanding opposition from Lotteritilsynet, the Norwegian gambling regulator.
While Norway’s gambling market is monopolized, Kindred has been a vocal advocate for regulatory reform. The company argues that opening the market would enhance consumer protections and increase revenue for state-funded sports and volunteer programs.
Despite these arguments, Kindred has consistently maintained that it only “passively accepts customers residing in Norway,” a stance that reflects its limited operations in unregulated markets.
The exit from Poland also aligns with Kindred’s revised financial targets. Last month, the company acknowledged that leaving dot-com markets would impact its EBITDA goals, but emphasized that the move is essential for long-term sustainability.
Kindred Group’s decision to exit Poland marks a critical step in its journey toward operating exclusively in regulated markets. While this move reflects a commitment to compliance and sustainability, it also highlights the growing challenges for international operators in tightly regulated jurisdictions like Poland.
As Kindred continues to streamline its operations under FDJ ownership, the focus remains on aligning with local licensing requirements and navigating the complexities of global gambling regulation.
Poland’s gambling landscape, meanwhile, remains firmly in the grip of state monopolies, raising questions about the future of international operators in the market. With Kindred’s departure, the conversation around fair competition and consumer protection in Poland’s gambling sector is more relevant than ever.