As the Malaysian government prepares to award a second casino license in the country, industry experts are raising concerns about the potential negative impact on two major players in the region – Genting Group and Marina Bay Sands.
The International Association of Gaming (IAG) recently released a report stating that the addition of a new casino license in Malaysia could lead to increased competition for Genting Group, which currently operates Resorts World Genting, Malaysia’s only licensed casino. The report also warned that Marina Bay Sands, located in neighboring Singapore, could face challenges from the increased competition in the region.
Genting Group, one of the largest casino operators in Asia, has long been a dominant player in the Malaysian market. The company’s Resorts World Genting, situated in the Genting Highlands, has attracted millions of visitors each year and has helped to boost Malaysia’s tourism industry. However, with a new player entering the market, Genting Group could face heightened competition and potential loss of market share.
Marina Bay Sands, owned by Las Vegas Sands Corporation, has also been a key player in the region’s gaming industry. The luxurious integrated resort, featuring a casino, hotel, shopping mall, and convention center, has been a major draw for tourists and has helped to solidify Singapore’s position as a top tourist destination. However, with the potential for a new casino license in Malaysia, Marina Bay Sands could see a decline in visitor numbers and revenue.
The IAG report also highlighted the potential negative impact on the local economy if Genting Group and Marina Bay Sands were to suffer as a result of increased competition. Both companies contribute significantly to the economies of Malaysia and Singapore, providing jobs and tax revenue that support infrastructure development and social programs.
In response to the concerns raised by the IAG report, industry analysts are calling for a careful consideration of the potential consequences of awarding a second casino license in Malaysia. They argue that a balance must be struck between promoting competition and ensuring the sustainability of established players in the region.
The Malaysian government has not yet announced when it will award the second casino license, but industry stakeholders are closely watching developments and preparing for potential changes in the regional gaming landscape. As Genting Group and Marina Bay Sands brace for increased competition, the future of the gaming industry in Southeast Asia remains uncertain.