Online gaming firm Digiplus Interactive Corp.’s surprise move to halt its three-week-old operations in Brazil has been traced to new restrictions on the industry, similar to those imposed in the Philippines, that will limit its ability to entice players away from its competitors.

“There are some concerns in the Brazilian gaming market that may be forcing PLUS to postpone its ramp-up in its marketing activities in Brazil,” said Abacus Securities Corp.

It noted that, “Concerns include a potential increased tax rate and ad restrictions that would be challenging for new players like PLUS, who operated at a much later date compared to its peers.”

Abacus explained that, an immediate increase in ad spending will be a key driver for Digiplus’ venture in Brazil but, with the recent pushback in the gaming segment, “it may be logical for PLUS to wait things out in Brazil.”

Unicapital Securities Inc. Research Analyst Jeri R. Alfonso said, “They decided to hold off on launching in Brazil for now because they want to make sure their customer acquisition costs are more efficient.”

“The group is working on expanding their game offerings first so, when they do start ramping up marketing and promos, every money spent brings in more users,” she added

Abacus said DigiPlus’ temporary halt of its Brazil operations, starting Oct. 10, in order to reconfigure its strategy for its first international venture, does not appear to be a good sign for the company's venture.

In a show of confidence in the company, DigiPlus disclosed that its chairman, Eusebio H. Tanco, had acquired two million PLUS shares for ₱51.2 million at an average cost of ₱25.6 per share through his broker.

Late last Friday, DigiPlus announced a “strategic pause” on its first Brazilian brand, GamePlus, following the soft launch last September 22.

“We are taking the strategic step to pause GamePlus in Brazil so we can come back stronger with a digital entertainment offering that is not only locally relevant but also resonates deeply with Brazilian culture and entertainment habits,” said Tanco.

The temporary pause, effective October 10, forms part of DigiPlus’ long-term strategy to prioritize quality, cultural resonance, and sustainability, the firm said.

Over the past three weeks, DigiPlus said it has used the soft-launch period as a live learning laboratory, capturing valuable insights into Brazilian player behavior, cultural preferences, and entertainment dynamics.

The company noted that these findings will be instrumental in sharpening the company’s research and development and guiding the design of a uniquely local game experience.

Teams in both the Philippines headquarters and Brazil are now channeling their efforts toward the development of a self-developed, best-in-class, and locally innovative product offering slated for a full-scale relaunch in early 2026.