In an extraordinary announcement dated Apr. 8, 2024, online iGaming giant Betway, owned by Super Group Limited, informed its affiliate partners that it had ‘taken the difficult decision to cease [its] trading activity in the Japanese market by 30th April 2024.’
Affiliates received the news in a Betway Partners Alert ‘Japan update’ in which Betway also expressed ‘sincere gratitude for the partnership.’
The communication to its partners revealed scant details about why Betway had decided to pull the plug on its Japanese operations.
Partners have been informed that Betway will honour existing payments up until Apr. 30, after which partnerships for Japan will cease, explaining that ‘all outstanding revenue share will be calculated as of the date of market closure and will be paid out in the usual way.’
Scaling Back of Operations
This news could indicate that Betway is starting to scale back on its global operations. Particularly in markets which are proving difficult to maintain profitability or establish a presence.
In Oct. 2023, Betway announced that it would be pulling out of the India market following major changes to the iGaming tax laws in the country that resulted in unviable business operations. Bet365 also withdrew from the Indian market.
At the start of 2024, there were strong rumours that Betway could pull the plug on their US operations too. Recently, Matthew Waters, assistant managing editor for Legal Sports Report, a Catena Media product, questioned whether Super Group’s flagship brand would be the next sports betting company to leave the US. This as the company started “assessing a range of options” in relation to the market as indicated in Super Group’s 4Q 2023 Earnings Review Guidance section.
Waters quoted Super Group President and CCO Richard Hasson’s remarks made during the 4Q and FY2023 earnings call. “Everything is on the table for the US market including reconsidering current states, potentially focusing on iGaming states, or a sale of assets,” Hasson said.
In the communication its partners, Betway encouraged them to “use the Betway Partners website to explore other territories and opportunities with us.”
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