Yesterday, the Macau government made an announcement to global gambling operators wanting to enter their gambling market. The message was sweet and short. Macau is Taking Bids for Gambling Licenses for companies wanting to secure a spot in the world’s biggest casino hub.
In accordance with the new process for a gambling license, the government made a new regulatory body to oversee it. The newly made Committee is the Macau for Public Tendering of Concessions for the Operation of Casino Games of Fortune. According to Gambling Industry News in Korea, the nine-person committee will be in charge of issuing and new gambling licenses. In addition, they will be there to insure ensure applicants share similar economic goals as that of the Macau Government.
For the current casino operators in Macau, there license will expire at the end of 2022. These companies are: Galaxy Entertainment, MGM China, Melco Resorts, Sands China, SJM Holdings, and Wynn Macau. Therefore, if they want to continue operating in Macau, they will also have to place a bid for a gaming license.
Macau is Taking Bids for Gambling Licenses Until September 14
Macau has made the decision to limit the number of gambling licenses to only 6. Most Online Casino news outlets believe that the current 6 gambling operators in Macau will have a successful bid. Even though it is unlikely, another casino giant with a turnkey gambling solution could come in and place a bid. However, the odds of a new company obtaining a license are not very good. This is because the current gambling operators have made already made heavy investments in Macau.
Unlike the previous gambling license in Macau, this new license will be good for 10 years instead of 20 years.
Cheong Weng Chon, Macau’s secretary for administration and justice said they will stop taking gambling license bids in September 14. In addition, his goal is to ratify the new gambling licenses before the end of the year. This is because he wants the new casino license holders to be up and running by January of 2023.
With the new gambling license, the government will require companies to show their commitment to Macau. Thus, they will have to show investments and commitments for non-gaming development plans and the development of overseas markets. Cheong hopes that the new licenses rules will help Macau broaden their source of income.
Having a nearly homogeneous source of visitors has been a concern of Macau for a very long time. As a location that specializes in tourism, having only one source of tourism is an issue. Especially since they are currently struggling due to China’s overall zero-COVID policy.
While allowing Online Casino Games would help curb the problem, the government is not in favor of it.