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A419 - SUPERENALOTTO: SISAL TO BE INVESTIGATED OVER ALLEGED ABUSE OF ITS DOMINANT POSITION


PRESS RELEASE



PRESS RELEASE

SUPERENALOTTO: ANTITRUST AUTHORITY TO INVESTIGATE SISAL OVER ALLEGED ABUSE OF ITS DOMINANT POSITION


The company is alleged to have prevented competitors from connecting to the IT network for the online receipt of plays in the nationally totalised numbers games (Superenalotto and Superstar) with knock-on effects on receipts for other on-line games. The Authority is beginning proceedings to adopt precautionary measures that force Sisal to allow authorized parties to access the network.

The Italian Competition Authority, at its meeting on 27 July 2009, decided to launch an investigation into whether Sisal abused the dominant position it occupies in access to the IT network for the online receipt of plays in the nationally totalised numbers games (Superenalotto and Superstar).

At the same time, the Authority began proceedings to adopt precautionary measures to force Sisal to allow authorized parties to access the network. The Antitrust Authority fears Sisal's conduct may irreparably prejudice the offerings of those companies which are already authorized to receive online entries for public games and which may be interested in remotely accepting entries in the nationally totalised numbers games.

Nevertheless, before the Antitrust Authority decides upon such measures, Sisal will be given the opportunity to put its point of view.

The investigation was begun following a complaint received from a company authorized by the Amministrazione Autonoma Monopoli di Stato [State Monopolies Board] to receive entries online for games and gambling, which unsuccessfully asked Sisal for the communications protocol needed to start up the activity. In its capacity as sole licensee, it is Sisal's duty to set up the technical and operative methods for accessing the IT network, without which it is impossible to connect to it.

In the Antitrust Authority's view, Sisal, by preventing access by other companies to its IT network and at the same time beginning remote acceptance of Superenalotto entries may be trying to acquire a competitive advantage over its potential competitors: this would represent a barrier to market entry. Furthermore, by leveraging its position with regard to access to the IT network and in particular the drawing power of Superenalotto, Sisal could extend its dominant position to the wider downstream market of online receipts for games and gambling.

Rome, 28 July 2009