Posted on: December 3, 2024, 01:39h.
Last updated on: December 3, 2024, 02:23h.
A leading gaming consulting firm has unveiled its predictions for the top 10 challenges that the US gaming industry will face in the upcoming year.
Spectrum Gaming, headquartered in Pennsylvania, is known for its expertise in the economics, regulation, and policy of legalized gambling. The firm has provided research services to gaming regulators and legislators in 40 states, as well as leading gaming companies like Las Vegas Sands, MGM Resorts, and Caesars Entertainment.
Recently, Spectrum released its annual report on the “U.S. Top 10 Trends to Watch for in 2025,” highlighting key issues that will impact the industry.
The firm believes that the competitive bidding process for New York City casino licenses, the potential legalization of gambling in Texas, and the expansion of iGaming in new states will be crucial issues in the coming year.
Other significant topics identified by Spectrum include the debate over online “sweepstakes” casinos, the growth of historical horse racing (HHR) machines, and the regulation of “skill gaming” terminals.
Big Apple is the Big Kahuna
The outcome of the New York City casino licensing process is expected to have a major impact in 2025, according to Spectrum. This market presents a significant opportunity for commercial casino operators.
New York City is considered a highly lucrative gaming market, with each license carrying a hefty $500 million fee. Despite the cost, major players like MGM Resorts and Genting are vying for concessions to operate full-scale casinos in the city.
The competition for licenses has attracted investments from companies like Sands, Caesars, and Hard Rock, all hoping to secure a spot in the lucrative market.
The New York Gaming Facility Location Board is expected to select the three winners by the end of next year.
Texas Obsession
Las Vegas Sands has been actively pursuing the legalization of casinos in Texas for some time. Dr. Miriam Adelson, a major stakeholder in the company, has been lobbying Texas lawmakers to end the state’s casino ban.
The upcoming legislative session in Texas will focus on casino legislation and potential sports betting opportunities. However, legalizing gambling in the state remains a challenging task.
Dr. Adelson’s efforts, supported by other stakeholders like Mark Cuban, indicate a growing interest in bringing casinos to Texas, with ideas of integrating resorts with sports arenas.
iGaming Considerations
The expansion of iGaming, particularly online casinos offering slots and table games, will be a key focus in 2025.
Legal iGaming is currently limited to a few states, raising concerns about the impact on unregulated online casinos. The industry will closely monitor developments in this area to assess the potential risks and opportunities of iGaming.
Spectrum emphasizes the need for regulators and states to evaluate the role of iGaming in the industry and its implications for traditional gambling operations.