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Genting Malaysia has launched a new mid-field gaming floor at its flagship integrated resort, Genting World, in Malaysia. This development comes as the company continues renovations on the Circus Palace and Hollywood casinos, which remain closed.

According to a report by Maybank analyst Samuel Yin Shao Yan, the new facility, named “Genting Casino,” became operational during his site visit on December 30. It features two themed areas: one similar to the existing “Sky Casino” and another styled traditionally Chinese, equipped with 36 gaming tables and a significant number of lower-yield slot machines and electronic gaming tables. These machines are noted for higher profit margins due to lower manpower requirements.

The new mid-field gaming area aims to compensate for the closure of the Circus Palace and Hollywood gaming floors, which were shut down early last year and have yet to reopen. Yin highlighted that while these areas are currently undergoing renovations, Genting Malaysia management has assured their eventual reopening, although no timeline has been provided.

Yin also pointed out that the existing Sky Casino offers smoking lounges for players, whereas the newly opened Genting Casino has yet to establish a smoking area. Despite this, he expressed optimism about the addition of this new gaming floor, even though its scale is smaller compared to the Circus Palace and Hollywood Moonlight Tower, both of which are under renovation.

In his report, Yin concluded, “While we are positive about Genting Malaysia’s efforts to expand its mass gaming offerings, we are maintaining our current earnings forecasts and target prices. Nonetheless, we believe Genting Malaysia’s valuation remains attractive.”

The Society Concerned about Gambling Addiction has sounded the alarm on a sharp rise in online gambling addiction in Japan, citing an 11-fold increase in consultation requests over the past five years, especially since the onset of the COVID-19 pandemic in 2020.

The organization also expressed concern over individuals resorting to illegal work to fund their gambling habits. “Illegal online casinos must be eradicated,” said Noriko Tanaka, the group’s head, underscoring the urgent need for action.

When visiting licensed casinos, please manage your time and spending responsibly. Take regular breaks and set limits to ensure a balanced experience.

If you need support, consult our experts to prevent losses and avoid addiction.

Korean foreigner-only casino operator Grand Korea Leisure (GKL) reported a 4.6% increase in December 2024 casino sales, reaching KRW38.7 billion ($26.35 million), and a 10.7% year-on-year rise. Table games generated KRW35.63 billion ($24.26 million), up 5.6% monthly and 11.5% yearly, while machine gaming revenue fell slightly to KRW3.06 billion ($2.08 million) but rose 2.7% year-on-year.

For 2024, total casino sales dropped 0.9% to KRW393.61 billion ($267.94 million). Table games declined 0.4% to KRW358.73 billion ($244.19 million), and machine revenue fell 6% to KRW34.88 billion ($23.74 million). However, the casino drop for the year rose 7.5% to KRW3.64 trillion ($2.48 billion).

GKL operates its Seven Luck casinos as a quasi-public entity under the Korea Tourism Organization.

Three mainland men were arrested for allegedly using counterfeit chips to commit fraud at a Cotai casino. Police seized 77 fake chips worth 10,000 yuan each and HK$17,000 in suspected proceeds. The scheme defrauded the casino, gamblers, and money exchangers of a total of HK$600,000.

The incident occurred on January 1 when a casino dealer detected a fake HK$10,000 chip during a transaction. Further investigation revealed other gamblers were unknowingly holding counterfeit chips, obtained through exchanges inside or near the casino.

Police found the suspects, who entered Macau that day, collaborating to mix fake chips with real ones. One suspect attempted to exchange the chips at the casino counter, exposing the scheme, while another used them in private exchanges.

Authorities confirmed the casino lost HK$20,000, while 11 victims lost HK$580,000. Four victims were also found to be engaged in illegal money exchanges, which are being separately investigated.

Visitors to Macau are advised to avoid exchanging money with strangers to stay within the law.

Following the nationwide ban on Philippine Offshore Gaming Operators (POGOs) on January 1, authorities have initiated comprehensive efforts to address the aftermath. State lawyers are tasked with reviewing the inventory of assets from shuttered POGO operations. This includes canceling fraudulently acquired birth certificates used by foreign nationals and seizing illegally obtained real estate and other assets.

The Office of the Solicitor General (OSG) noted that while the total value of these assets remains unclear, their priority is to take possession and establish control over them.

Congressional probes revealed that some Chinese nationals used fake birth certificates to gain Filipino citizenship, enabling them to open businesses and acquire properties unlawfully.

However, the process of confiscating these assets has been sluggish. Both the Senate and the House of Representatives are working on legislation to expedite the forfeiture of POGO-related assets in favor of the government. This would include properties, equipment, and proceeds from illegal operations.

The complete shutdown of POGO operations across the country was mandated by the President through an Executive Order, which took effect on January 1, 2025.

After a solid recovery year in 2024, Macau’s gaming industry is set for a promising 2025. The Chinese New Year holiday is expected to generate $5 billion in gross gaming revenue (GGR), a 6% year-over-year increase, according to Citigroup. South Korea’s Mohegan INSPIRE also reported strong growth, earning $163 million in net revenue during its fourth fiscal quarter.

Macau’s Performance in 2024

In December, Macau recorded MOP18.20 billion ($2.28 billion) in GGR, down 1.3% from November and 2% lower than December 2023. The dip was partially due to disruptions caused by Chinese President Xi Jinping’s visit.

For the year, GGR reached MOP226.78 billion ($28.39 billion), a 23.9% increase over 2023 but still below the pre-pandemic 2019 level of MOP292.45 billion ($36.7 billion). Visitor arrivals neared 35 million, exceeding projections.

Recovery and Future Outlook

The lifting of travel restrictions in early 2023 fueled Macau’s recovery, with operators focusing on mass-market growth and reducing reliance on junkets. The government’s GGR projection of MOP216 billion ($27.07 billion) was surpassed, and 2025 is forecasted to reach MOP240 billion ($30.1 billion).

As Macau continues its rebound, strong visitor numbers and strategic industry shifts position the city for sustained growth in 2025.

The Evolution and Challenges of Macau’s Gaming Industry: Key Insights

Over the past three years, Macau’s gaming industry has undergone significant changes following the arrest of Suncity Group chairman Alvin Chau. Combined with the impact of COVID-19, China’s crackdown on cross-border gambling and illicit money flows has reshaped the sector. At the same time, efforts to diversify Macau’s economy away from gaming have introduced new challenges and opportunities.

Decline in VIP Gaming and the Rise of the Mass Market

In 2013, VIP gaming accounted for over 70% of Macau’s total gaming revenue, reaching $29.8 billion. By 2023, that figure is estimated to shrink to just $3.3 billion. While casino operators have shifted their focus to the mass market, this transition hasn’t been without obstacles. Many mass-market tourists, though abundant, tend to spend less, often opting for low-cost or free activities.

The Shift Toward Premiumization

To adapt to these changes, operators have embraced a “premiumization” strategy. Sands China, for instance, rebranded its Sands Cotai Central property as The Londoner Macao, offering upgraded accommodations and upscale amenities to attract higher-value customers. This transformation has not only increased the property’s appeal but also reduced its room inventory from 6,000 to 4,500, focusing on quality over quantity.

The Importance of Non-Gaming Revenue

Non-gaming revenue is playing an increasingly crucial role in Macau’s economy. In the first three quarters of 2024, visitor spending on non-gaming activities grew by 7.5% compared to 2019, even as visitor numbers declined by 16.5%. However, compared to Las Vegas, where two-thirds of revenue comes from non-gaming activities, Macau still lags significantly. Experts recommend integrating more entertainment, sports, and convention offerings to cater to a new generation of travelers.

Future Challenges and Opportunities

While the premiumization strategy has shown initial success, achieving true diversification remains an uphill battle. From optimizing property designs to enhancing visitor experiences, operators must continue to adapt to evolving market demands. Additionally, as younger travelers increasingly prioritize holistic experiences, creating innovative and appealing products will be key to staying competitive.

These transformations signify that Macau’s gaming industry is entering a more mature and diversified phase, laying the groundwork for sustainable growth in the future.

News Reference: iGamingBusiness

The Impact of US Macroeconomy on iGaming in 2025

As US macroeconomic indicators shift, the iGaming sector is poised for significant changes. Ben Robinson, founder of Corfai Capital, highlights the potential for rising company valuations and increased private equity activity, driven by more accessible capital.

Effects of the Fed’s Dovish Policies

The US Federal Reserve has recently cut interest rates to a range of 4.5%-4.75%, marking a cumulative reduction of 0.75%. This dovish monetary stance lowers borrowing costs, benefiting capital-intensive industries like regulated iGaming. In public markets, gaming companies may see valuation growth as investors are drawn to high-growth opportunities. Private equity firms, in turn, are likely to increase M&A activities, leveraging the liquidity-rich environment to acquire or divest gaming assets.

Money Supply and Debt Concerns

The M2 money supply has dropped by $500 billion but is expected to rebound with further rate cuts, bringing liquidity back into the system. While this could create favorable lending conditions for startups and scaleups in iGaming, the $35.9 trillion national debt and its servicing costs raise concerns about inflationary pressures and dollar strength. Such dynamics could impact market stability and long-term investor confidence.

Regulatory Trends and Market Dynamics

Key markets like Brazil and the US continue to evolve regulatory frameworks, with Brazil’s liberalization efforts and the post-PASPA US expansion attracting significant investments. However, overregulated jurisdictions are seeing a rise in sweepstakes and crypto gaming operators, presenting growth opportunities for private investors while posing challenges for regulators.

Outlook and Hypotheses

Looking ahead to 2025, several opportunities emerge for the iGaming sector:

1️⃣ Capital Inflows and Valuation Growth:
Lower rates and increased liquidity signal a potential influx of investment into high-growth assets, driving up valuations.

2️⃣ Inflation Risks and Policy Adjustments:
Should dovish policies lead to inflation, the Fed may pivot to hawkish measures, dampening enthusiasm in leveraged industries like iGaming.

3️⃣ Expansion of Unregulated Markets:
Unlicensed operators will likely continue to flourish, particularly in overregulated regions where they offer more competitive alternatives.

Despite macroeconomic risks, current liquidity and market trends suggest a promising short-to-medium-term outlook for the iGaming industry. Investors positioned in this space could find 2025 to be a pivotal year for returns.

News Reference: iGamingBusiness

Thailand’s rapid movement toward casino legalization has sparked significant interest, especially with the government’s draft gaming law that explicitly places politicians directly in charge of the regulatory process. How will this decision affect the future of the country’s gaming industry? While many are focused on whether the bill will succeed in passing, the industry remains concerned about the heavy political involvement in the regulatory framework.

The draft law proposes the formation of a Policy Committee, which will consist of the Prime Minister, Deputy Prime Minister, several Cabinet members, and heads of law enforcement, anti-money laundering, and investment boards. Additionally, the Prime Minister will appoint six members to the committee, making the overall regulatory structure heavily political, a setup rarely seen in global gaming markets.

This arrangement raises concerns among industry experts about the independence of the regulatory body. Although the government’s diverse political makeup might help build support for the casino resorts, experts argue that political interference could undermine the fairness and transparency of the regulatory process. In Thailand’s volatile political climate, such direct involvement could compromise the impartiality necessary for effective oversight.

Moreover, whether this political-driven regulatory framework will attract international casino brands is another crucial point of concern. Major global casino operators, such as Sands and MGM, may hesitate to enter the Thai market if they believe the political environment could hinder their operations. If the regulatory system is too influenced by political forces, it could deter these operators from entering the market, potentially limiting Thailand’s gaming industry development.

Ultimately, Thailand’s unstable political environment also poses a risk to the long-term success of the regulatory system. Frequent changes in government could lead to shifts in the regulatory landscape, which could create uncertainty for operators and investors. Therefore, whether Thailand can maintain a stable regulatory environment free from excessive political interference will be critical to the growth and success of the country’s gaming industry.

Key Points

1️⃣ Background on Casino Legalization:
Thailand is moving quickly toward legalizing casinos, with the government releasing a draft gaming law that places politicians directly in charge of the regulatory process.

2️⃣ Policy Committee Structure:
The draft law specifies the creation of a Policy Committee consisting of the Prime Minister, Deputy Prime Minister, Cabinet members, and other government officials. This unprecedented political involvement in gaming regulation is rare globally.

3️⃣ Concerns About Political Interference:
Industry experts are concerned that political interference in the regulatory process could undermine the independence of the gaming industry.

4️⃣ Impact on International Gaming Giants:
The proposed regulatory structure could deter international gaming giants from entering Thailand’s market, as major players like Sands and MGM may be reluctant to operate under political pressures.

5️⃣ Risks of Political Change:
Thailand’s frequent political shifts pose a risk to long-term regulatory stability, leaving questions about the success of this model.

New Reference: iGamingBusiness