Tabcorp Wagering

TabCorp held the exclusive license to operate off course betting in Victoria, Australia, since 1961. For decades, that license meant every horse racing bet, placed outside a racetrack, flowed through TabCorp's terminals. The company processed over $21 billion in wagering turnover annually, and kept a commission of roughly 16% on every dollar. The commission structure made the business nearly indestructible. Whether a punter won or lost, TabCorp collected its cut before any payout. On a $10 bet, TabCorp kept $1.60 immediately. The remainder entered the pool. Risk sat entirely with the betters. TabCorp operated as a toll booth, not a gambling house. When Australia deregulated online betting in the early 2000s, competitors flooded in.