Entain has preserved, so far, the jobs of its team in Brazil while other companies in the sector continue to lay off workers, according to the Latam head, Antonio Forjaz.
Justice Luiz Fux, rapporteur of the cases at the Federal Supreme Court (STF), stated that he will leave the decision on Provisional Measure (MP) 1.394 for after the second round of elections, on October 25.
While ANJL and IBJR are requesting the suspension of the measure’s effects, and companies in the sector are forced to lay off employees because of the ban, Entain states it has managed, for now, to keep the jobs of its team in Brazil intact.
staging-latam.next.io/ spoke with Forjaz, head of Latin America for Entain/Sportingbet, about the future of the operation in the country and the possible scenarios for a reopening.
He acknowledges that contracts with some outsourced agencies were suspended, but attributes the company’s ability to keep its team to the company’s size and a global revenue mix less dependent on Brazil.
NEXT: When you took over Sportingbet, in February 2024, regulation was seen as the beginning of a “new era” for betting in Brazil. How did you view the market at that moment and where did you think it was headed? Did you ever imagine a ban scenario like the current one?
Antonio Forjaz: The way I viewed the market at that moment is exactly how I continue to view it, it’s a market with immense potential, it’s a market we believe in a lot.
Entain and Sportingbet have always believed in the Brazilian market as a long-term bet, that’s what we did, an investment in people, in resources, in sponsorships, in things we believe can foster the universe here in Brazil.
And no, I never imagined, I confess, a scenario of total prohibition, I believe that regulation in its ideal mode is something that evolves and develops gradually, rather than stopping and starting over, especially since that creates a lot of instability, a lot of volatility in a market that is already volatile by nature.
So, I didn’t expect it, but we remain with the same beliefs and we remain committed to the market and we hope we can turn things around.
NEXT: Entain prioritizes regulated markets or those in the process of regulation. How does this guideline apply to Brazil today, and what would the group need to see to keep the country in its strategy?
AF: Obviously what’s happening in Brazil is very particular and the group will need to see the market return at some level to be able to continue operating in Brazil.
If the market remains banned, it will be very complicated, if not impossible, and, as you say, it goes against Entain’s strategy of being in markets that are not regulated. So, obviously, our expectation is that we return with the market at some level and we will continue waiting to see what unfolds in the coming weeks and months, but we are confident and remain, as I said, committed.
NEXT: The group’s CEO said that Entain’s team in Brazil is relatively small and that part of the staff moved on to work in other areas of the business. How many people does Sportingbet have today in Brazil, between in-house staff and outsourced? How many were relocated, to which areas, and has this number changed since September 25?
AF: We really managed to guarantee, above all, that people keep their jobs for now, while we await these final decisions. We currently have about 50 people in Brazil, but many of them also work for various markets.
There are people who are very focused on Brazil, there’s an in-house team and there was also a relatively large outsourced team at the agencies, and unfortunately with some of the agencies we had to suspend contracts.
These are always complicated decisions, but we had to make them, and that is the unfortunate result of having had the market shut down so abruptly. What we are prioritizing is protecting our people and ensuring that we keep the jobs of the people who work with Entain.
NEXT: According to reports, Justice Fux’s decision on the MP may be postponed until after the second round, on October 25, the date on which the authorizations expire. What will Sportingbet do if the decision comes after the authorizations end? Is there a plan for this scenario, and what milestone would change the decision regarding the team?
AF: We believe this decision comes after October 25th, yes, and I believe the minister will probably also speak out on this subject.
We have our legal team on top of the issue, associations, so we feel well prepared to defend our case, and our plan remains the same: to always find, through legal means, ways to have a long-term operational market. Our priority is, above all, to comply with the law and ensure the interests of our consumers.
NEXT: How do you lead the team day-to-day without being able to promise a timeline? Which functions remain active (compliance, legal, technology, customer service) and how does the company retain these professionals?
AF: It’s complicated, obviously, our reality changed a lot overnight. People know, people are mature and know what our scenario is and know what we are going through.
There are functions that remain active, almost all of them, I would say, actually, at this stage, because there is still a lot of work, there has been a lot of contract review, there has also been work on adjusting marketing, investments, and everything else.
So, at this moment we have simply been trying to show, through our corporate decisions, that we are supporting our employees, and we naturally hope that this is a demonstration of commitment to them and that we can somehow get through this together. We believe this is the right path and that’s how people should be treated.
NEXT: The group reported that Entain’s net revenue in Brazil fell 36% in the third quarter compared to the previous year, even though the ban only took effect at the end of the period. What explains the drop before the MP?
AF: There are several factors that lead to this, including seasonality within our business, so I don’t think there’s a simple and straightforward way to explain these fluctuations. So we remain focused, and if we believe in this market it’s because we believe we can grow and continue to consolidate our position as one of the market leaders in the country.
NEXT: According to O Globo, the cuts mainly affected smaller companies and national operators. Is there a difference in the ability to withstand this scenario between Brazilian operators and international groups? What explains Sportingbet’s ability to keep its team?
AF: Being a large group whose revenue is less dependent on Brazil helps to maintain and protect people. This, in part, explains why we are able to keep our teams, and yes, the truth is that the smaller and national companies were more dependent on Brazilian cash flow, and overnight these people’s reality changed, costs remained the same, so they had to make difficult decisions.
From what we’ve heard, around 15,000 jobs have already been lost. It’s a highly complex and unfortunate situation. I hope these people, especially knowing that many of them are very competent, manage to find a place and return to the job market as soon as possible.
NEXT: Other markets where Entain operates have already gone through regulatory tightening. What does Brazil have that’s different, and what does the group’s experience teach about how the sector should react?
AF: Brazil has many particularities, starting with the short time between when we were regulated in January ’25 and the MP, in September 2026. It’s highly surprising because we believe the regulation was well written, even though, obviously, we know there can always be adjustments.
I think experience helps us understand that very recent markets have this learning curve and that each market is its own market. So we have to face it and, above all, always try to focus on what is important to Brazilian consumers, always complying with the law.
NEXT: Among the institutional action fronts recently described, which one has already had a concrete result and which has advanced less? What adjustment would Entain advocate for in Congress so that the measure could be voted on?
AF: I can’t comment, we are moving forward on many fronts. We are always open to talking with Congress, with SPA, with the regulator. We want this, we want this more constant dialogue.
We want to be sure that the Brazilian consumer feels and is protected. So we understand that this cooperation is absolutely fundamental.
NEXT: The sector and the clubs have been pressuring the STF. Does Sportingbet take part in this effort, directly or through any entity? Is it considering seeking compensation for the licenses paid?
AF: Almost all the action we take is through an association, through IBJR. We have direct relationships with clubs, especially since we are a sponsor of two of them. But we understand that at this moment the focus is really on finding ways to achieve dialogue, not on “pressuring” the STF. I don’t think that’s the way to go.
We obtained an injunction. We believe it needs to be heard through the legal proceedings and the natural course of official procedures. Regarding the reimbursement and restitution of licenses, I think that’s a last resort. We continue working to try, above all, to get the market reopened so we can resume operating.
NEXT: The government points to the rise in gambling disorder, household debt, and advertising as reasons for the measure. What has regulation failed to solve, and what could the sector have done differently?
AF: These are legitimate concerns and the sector needs to address them seriously. Gambling disorder is a public health issue, and household debt requires attention from government, regulators, and operators. But regulation has brought tools that try to minimize these issues.
At Sportingbet, for example, we have deposit and time limits, breaks, self-exclusion, CPF verification and blocking, as well as not allowing bets with credit cards.
What the sector may not have done so well was communicating this. There was a lack of clarification about myths and truths regarding debt, as well as better coordination with agencies and organizations.
The sector requires a lot of care from everyone, but without regulation it migrates to the illegal market, which is probably the greatest danger for the Brazilian consumer, where there is no age verification, limits, or any protection whatsoever.
NEXT: The group’s CEO said she expects the market to reopen in some form. What forms of reopening does Sportingbet consider viable (sports betting only, advertising limits, a different tax model), and what minimum conditions make Brazil viable for Entain?
AF: We’re looking at several plans, several scenarios, and we’re still trying to understand what will come out of this, but it’s not yet the time to know whether it will be sports only, whether there will be advertising limits, or whether there’s some other model.
Each scenario will be analyzed independently and we will understand exactly what the viability of our industry is. Our appetite remains the same, we continue to strongly believe that we can operate and grow and make this market sustainable in the long term, but we really need the legal and regulatory landscape to allow us to operate in this country.
We will be open to understanding what comes out of this and we hope the market returns to some level.