Las Vegas Sands Corp has officially shut down its digital gaming division, concluding a three-year attempt to penetrate the U.S. iGaming sector and resulting in the loss of 300 to 400 jobs, with approximately 150 laid off in Las Vegas.

The company announced that the decision to dissolve Sands Digital Services (SDS) was based on a strategic assessment indicating that the initiative no longer aligns with its long-term objectives.

“Ultimately, it became apparent to executive leadership and our board that the continuation of this business was not in sync with our core long-term goals,” President and Chief Operating Officer Patrick Dumont stated in a communication to employees, as noted by the Las Vegas Review-Journal.

SDS was established in March 2022 to create live dealer streaming systems for online casinos in jurisdictions where internet gambling is permitted, such as New Jersey, Michigan, Pennsylvania, Connecticut, Delaware, and West Virginia. The initiative never went live commercially nor competed against established industry leaders like Evolution, Playtech, and Stakelogic.

Dumont remarked that investments in SDS included predetermined decision-making points. “True to our entrepreneurial nature, investments in SDS were undertaken with the understanding that we would consistently evaluate our most effective course of action,” he noted.

This shutdown follows Sands’ acquisition of Qbet assets in 2021 and a nascent exploration into online ventures after the passing of the long-standing CEO and digital gaming critic Sheldon Adelson.

A representative from the company indicated that displaced workers could seek other positions, albeit many internal roles necessitate different skill sets.

Las Vegas Sands plans to direct its efforts towards enhancing its traditional operations in Macao and Singapore, where it operates properties like The Venetian Macao and Marina Bay Sands.

“The digital sphere is in a constant state of flux, with technology and innovation playing a pivotal role in our sector,” Dumont remarked. “We will persist in exploring and investing in endeavors that benefit our shareholders.”

He emphasized the firm’s strong foothold in Asian markets, stating, “We are indeed blessed to operate in the premier markets of our industry. Over the last twenty years, we have set benchmarks for investments in our land-based portfolio and the exceptional level of service provided to our guests.”

Sands is committed to expanding Marina Bay Sands in Singapore and has pledged further investments in Macao under the updated gaming concessions.

“We consistently fulfill and exceed our commitments to our host markets in Macao and Singapore,” Dumont added. “Our allegiance to our business partners and local communities is essential to our identity, as is our commitment to being the most shareholder-friendly entity in the gaming and hospitality sectors. Looking ahead, we have much to be optimistic about in the coming years.”