The Court of Appeals of Santiago has ordered the closure and dismissal of a dispute involving the blocking of illegal online betting sites in Chile. This marks a significant development in the country’s ongoing regulatory debate.
The case was brought by Lotería de Concepción against major telecommunications providers, including Claro, Entel, GTD, Movistar, WOM, and VTR. The dispute centered on whether internet service providers (ISPs) should be required to implement more advanced technologies. Specifically, these technologies would block access to unauthorized gambling platforms.
The court determined that such requirements exceeded current legal and regulatory frameworks. As a result, it concluded that the measures initially ordered had already been fulfilled. Additionally, it found that no further obligations could be imposed on the telecom companies.
Background of the Dispute
The legal action began in 2024, when Lotería de Concepción sought judicial intervention to enforce the blocking of illegal betting sites. While the initial claim was rejected, the case took a turn in September 2025. At that time, the Supreme Court of Chile ruled in favor of the lottery operator.
Following that ruling, Lotería de Concepción attempted to expand the scope of the decision. It requested that ISPs implement more sophisticated systems capable of preventing the appearance of “mirror sites.” These are often used by operators to bypass restrictions.
Court’s Reasoning
In reviewing the case, the Court of Appeals considered a formal opinion from the Undersecretariat of Telecommunications of Chile. The authority clarified that there are currently no regulations requiring telecom companies to adopt advanced or intrusive blocking technologies.
Based on this, the court concluded that while basic compliance had been met, there was no legal basis to enforce more complex blocking measures. It emphasized that imposing such requirements would introduce “active and intrusive blocking” obligations. Such obligations go beyond existing regulations.
Ongoing Industry Conflict
This ruling is the latest development in a prolonged conflict between state-backed entities and online gambling operators in Chile. The dispute reflects broader tensions over regulation, enforcement, and the growth of the online betting market.
The issue escalated further in February, when Polla Chilena de Beneficencia, Chile’s national lottery operator, filed a criminal complaint against online gambling operators. The complaint included allegations of money laundering, criminal association, and illegal gambling activities.
The case, submitted to the 4th Guarantee Court of Santiago, has already been deemed admissible. It also targets payment service providers (PSPs), which the lottery alleges enabled the operation of these platforms despite local prohibitions.
Outlook
As legal challenges continue, Chile’s regulatory stance on online betting remains under close scrutiny. The latest ruling reinforces the current limits of enforcement. At the same time, it signals that any expansion of blocking requirements will likely depend on future legislative or regulatory changes.
