PlayOLG.ca

It didn’t take too long after British Columbia launched PlayNow.com a few years back for other provinces in Canada to take notice and decide to take advantage of the ever-expanding online gaming industry.

Now Ontario, the province with the biggest population in Canada, is setting its sights on moving into online gaming with its existing lottery site, offering the full suite of online games to consumers in the province.

The Ontario Lottery and Gaming Corporation (OLG) will now be adding its name to the North American legal, government-run online gaming brands with PlayOLG.ca.

Much like PlayNow.com, the site will expand its core lottery products, and consumers will be able to buy online Lotto 6/49, Lotto Max, and Encore tickets.

By the end of the year, a complete suite of casino-style games will be added so that residents of Ontario can log on and place bets on everything from poker to lotto, sports wagering, skill games, bingo, and any game you would find in a typical online casino.

Executive Quote on Modernization

\"The move into internet gaming is an exciting step in OLG's modernization,\" said Rod Phillips, president and CEO of OLG.

Revenue Expectations

Obviously, the potential for huge gaming revenue was the deciding factor in moving forward with the full-fledged online gaming site.

The province aims to make about $375 million from the site just in the first five years. That number may sound aggressive, but considering it’s estimated that Ontarians are currently spending about $400 million annually on mainly offshore gaming sites, that number should be easy to reach with the right marketing and product offerings.

Launch Timeline and Provider Selection

The province estimates having the site up by late 2013 and has already decided on the gaming software provider. In an extensive tendering and selection process, one of the biggest online gaming software providers was selected: the gaming giant Spielo G2.

Phillips credited Spielo G2 as an \"experience company\" that would \"help OLG provide an interactive gaming experience that will be a secure option.\"

Spielo G2, otherwise known as Gruppo Lottomatica and its Boss Media division, will handle all gaming operational duties and the full suite of games, including back-office and player services.

\"Spielo G2 is pleased to provide a solution that will support and enhance OLG’s modernisation plan to become a more innovative and sustainable organisation while continuing to be a North American leader in responsible gambling,\" said Walter Bugno, President and Chief Executive Officer for Spielo International.

Spielo G2's Expansion in North America

Spielo G2 has been aggressively pursuing the North American market and has just been approved for an interactive online poker license in the US state of Nevada. They signed a five-year agreement with OLG that includes one- and three-year extensions with a 2-year option.

Profits from the online gaming site will go toward health care and community infrastructure.

Spielo G2 is no stranger to Canada, which is why they were most likely selected by OLG. The company launched the first legal online poker network in North America, the Canadian Poker Network, in December 2010. They made agreements to handle the poker network for the British Columbia Lottery Corporation, Loto-Quebec, and Manitoba Lotteries Corporation.

By the looks of it, Spielo G2 has cornered the online poker industry in Canada, especially now with Ontario in the mix.

Security Measures and Oversight

One of the biggest concerns for any government-run gambling institution is player security, protection, and responsible gambling controls. These are paramount to ensure everything runs smoothly for a major brand like this.

The new site will be overseen by the Alcohol and Gaming Commission and will require player registration. It features a stringent process where players verify their age and identity to protect minors from accessing the website.

Long-term Community Benefits

Gaming in Ontario has a long history of giving back to the community. Over the years, gaming revenue has supported hospitals, athletes, provincial charities, employed 18,000 people, and amateur sporting events.

It would be wise for US state lotteries to watch closely how Canadian provinces are handling the expansion of online gaming and making it work. After all, online gaming isn’t going to stop; now is the time to embrace it and take full advantage of its potential to improve communities while providing fun and entertainment to residents who would otherwise turn to offshore sites.