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But the court said that point did not affect the validity of the by-law, adding that it saw no evidence of a tax that would choke businesses.
The judges highlighted the number of gaming halls in the city remained largely stable after the increase.
The court also dismissed the equal-treatment argument, noting that gaming machines are taxed by the municipality while casino taxation falls to Hesse.
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The DOCV, another trade body representing licensed online casino operators in Germany, also expressed support for the prosecutorial efforts. However, it emphasised that the raid exposed regulatory gaps which had allowed organised crime to flourish.
Kevin O’Neal, a DOCV board member, argued the scale of the investigation calls the GGL’s broader black market estimates into question. He cited the regulator’s 2025 activity report, which put the 2024 share at 23% (€547 million in gross gaming revenue), against Nielsen data suggesting a share of around 56%.
The trade body has long been critical over the discrepancy between channelisation estimates made by the regulator, and other independent reviewers.
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A survey by Fullstory, a behavioral data analytics company, says that amid the evolution of yes/no exchanges, 60% of bettors said prediction markets are altering how they use sportsbooks with 35% admitting that they’ve reduced usage of traditional sports wagering platforms as access to sports event contracts increased.
“Consumers are being presented with more options for how they can participate in online gaming, creating a more competitive landscape where a seamless digital experience is increasingly becoming part of the value proposition,” said Jason Wolf, president of Fullstory, in a statement. “The brands that understand how consumers are navigating, comparing, and engaging with their platforms in real-time can identify where friction is getting in the way of trust and retention.”
A quarter of respondents said they use both prediction markets and sportsbooks depending on the event they’re considering wagering on. While the 35% reduced use figure may sound like a warning shot to gaming companies, a variety of other studies and surveys indicate that when bettors can choose between a sportsbook and an all-or-nothing exchange, they frequently opt for the former.
