Senate bans betting ads but exempts football
The Science and Technology Commission gave the green light to the bill that bans all promotion on TV and social media. However, the rapporteur Damares Alves agreed to transfer the debate on sports sponsorships to the Constitution and Justice Commission (CCJ) to avoid the financial strangulation of clubs.
The advertising clampdown on the gaming industry in Brazil is tightening. This Wednesday, February 4, the Science and Technology Commission (CCT) of the Senate approved the substitute text of Bill 3563/2024, an initiative by Senator Randolfe Rodrigues that proposes to radically prohibit advertising, sponsorship, and promotion of sports betting in all media.
Although the approved text is severe, contemplating fines of up to BRL 10 million (USD 1.7 million) and license revocations, the session revealed the industry's survival strategy: sports.
The clubs' "lifeline"
During the debate, Senator Efraim Filho (Union-PB) raised the alarm about the devastating economic impact this measure would have on professional and amateur sports. Filho requested excluding sponsorships of jerseys and stadiums from the ban, arguing that disciplines such as judo, rowing, and aquatic sports depend almost exclusively on this income to survive.
The bill's rapporteur, Senator Damares Alves (Republicans-DF), acknowledged the validity of the claim but opted for a legislative maneuver: to approve the base text now and discuss the sports exception in the next stage so as not to hinder the overall progress of the law.
The final battle will be in the CCJ
"There are already similar bills in the Constitution and Justice Commission (CCJ). We agreed to pass this matter now and, in the CCJ, all proposals will be gathered," explained Damares. The senator confirmed that there is a consensus to create a unified text (substitute) in that commission that "meets the clubs' demands," balancing child protection with the financial sustainability of sports.
This means that, although today's headline is prohibition, the political reality indicates that Brazil is heading towards a hybrid model: severe restrictions in mass media and social networks, but with special permission for the sports ecosystem, similar to the model attempted by other European countries.
Tags: Brasil, Brazil betting advertising, betting advertising regulation