LV Sands, Concerned About Online Competition Amid Plan to Build $6bn Casino

Summary:

• Las Vegas Sands chairman and CEO Rob Goldstein is concerned about the impact of online gambling on land casinos.
• The CEO expressed concerns about their $6 billion investment in a casino resort on New York’s Long Island.
• Goldstein said they were still interested in the process.

The chairman and CEO of Las Vegas Sands, Rob Goldstein, has voiced a series of concerns about the company’s planned $6 billion investment in an upcoming casino resort on New York’s Long Island, considering the constantly growing competition from online casino gambling.

“We Remain Interested in the Process”

During the company’s third-quarter earnings call, Goldstein provided an update on the timeline for obtaining a casino license, revealing that operators expecting to apply for a license in New York will likely need to submit applications in the spring.

However, a final decision on licensing may be delayed until the first quarter of 2026, rather than the anticipated end of 2025.

“We remain interested in the process”, Goldstein said, adding his only concern was connected to the “ongoing strength of online gambling” which cannot be ignored, with special emphasis on New Jersey, Pennsylvania, and Michigan, which have already legalized online gambling, with more states to come soon.

Goldstein noted that his outlook has shifted over the past six months due to the rapid growth of online gambling, which he believes will surpass revenue from land-based casinos in New Jersey within the next year or two.

“We build capital-intensive buildings that require a long-term perspective”, the CEO explained, adding more has to be done about the “online impact”, a topic that he has studied “closely”.

Goldstein referred to this trend as “pretty exceptional” and suggested that online gambling’s rise could have significant implications for brick-and-mortar casinos.

“Beyond” Online Gambling Becoming Legal

When asked if Sands would reconsider its New York proposal if online gambling were legalized, Goldstein indicated that it might affect their plans.

It goes beyond that Like in Singapore, our buildings take years to finish. I need some understanding of any market with legalized online gambling.

he explained, adding that provided Singapore made online gambling legal, it would make them “stop and think about investments”.

If any market does legalize it, you think, what does it mean to me and my capital investment?

Goldstein believes “some resolution of the issue” must be found, as the “impact on land-based revenue of online” cannot be ignored.

The proposed development, which would be built around the Nassau Coliseum, faces opposition from Hofstra University, located across the street.

Critics have expressed their worries regarding an increase in the level of traffic, crime, and gambling addiction in the area as the resort will see the light of day.

Goldstein’s recent remarks highlight the growing tension between traditional casino developments and the booming online gambling industry, a trend that could reshape the future of gaming investments in New York and beyond.