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Italian esports set to receive regulation in wake of controversial venue shutdowns

The Italian government is looking to officially regulate and recognise esports, according to Italy’s Undersecretary of Finance Federico Freni.

The decision comes shortly after the Italian esports community was shaken on April 29th, when the local Customs and Monopolies Agency (Agenzia delle Dogane e dei Monopoli) seized all equipment from multiple gaming and esports venues across the country.

The reason publicly given by the Agency for the seizures was that the affected businesses were not compliant with Italian regulations. However, the existing Italian regulations classified LAN video gaming equipment under iGaming equipment like gambling, slot and arcade machines.

According to the Customs Agency, only three venues were shut down on the 29th. However, this caused widespread panic because fines between €5000-50,000 (~£4200-£42,000) per seized equipment can be issued by the Agency. As a result, many businesses shut down gaming operations to avoid being affected. Esports bars could continue to offer catering services,however, these establishments temporarily prevented customers from playing video games.

The move by the Agency was reportedly motivated mainly by slot machine business owners, who asked why LAN rooms and esports bars that provide gaming equipment as a service were not taxed or registered on the same terms. This resulted in gaming PCs, consoles, peripherals, and even driving simulators being seized and classified as not regular gear.

On May 3rd, Italian Chamber of Deputies members Luca Carabetta and Daniele Belotti, together with Senator Simona Pergreffi, were pushed by the community. In close contact with gaming and esports entrepreneur Alessio Cicolari, the individuals reportedly promoted conversations in Italian parliament for specific regulations for the market. 

The outcome appears to be that specific esports regulations will be developed in the country.

On May 4th, Federico Freni, the Italian Undersecretary of Finance, said in the Chamber of Deputies: “The government reserves the possibility to take into consideration the most appropriate regulations, for the purposes to guarantee a stable and efficient regulation as soon as possible.” Read More...

 

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