Experts suggest New York casinos could steal Atlantic City business

April 21, 2023
Leer en Español

Panelists have said the three potential NYC casinos could cost New Jersey casinos up to 30% of revenue, or force them to close.

The East Coast Gaming Congress recently discussed the effects of three future New York casinos on Atlantic City gaming. Panelists have suggested that New Jersey casinos could suffer a 20-30% loss in revenue.

Jim Allen, Chairman of Hard Rock International, warned that Atlantic City casinos could be driven to close. He said to the Associated Press, “It could happen. Atlantic City receives 20, 30-plus percent of its revenue from upstate New Jersey and downstate New York, and there's no doubt it is going to have an impact.”

Hard Rock is one of the bidders for a New York casino license, but also owns an Atlantic City casino.

Wall Street analysts at the conference also predicted that New York could compete with Atlantic City. Duane Bouligny, MD of Wells Fargo, said Atlantic City casinos must continue to invest in their businesses. Bouligny added, “The ones that don't will get shut out of the market.”

Atlantic City has aimed to become less reliant on gambling. New hotel rooms, restaurants, entertainment venues, retail and other amenities have been built; a $100m water park is set to open this year, as is a Vegas-style residency show produced by Caesars Entertainment.

This is a theme that is becoming prevalent globally, with Macau, for example, also looking to diversify, having seen the success of Las Vegas in doing so.

Allen also said diversification into sports betting and internet gambling has, however, "created a misleading picture” concerning the revenue numbers reported by the state each month, as the money must be shared with third-party providers, rather than going only to casinos.

David Schwartz, gambling historian with the University of Nevada Las Vegas, said, “There is also an opportunity for casinos to expand their offerings and give New Yorkers a reason to drive to Atlantic City. Millions of people who live within a short drive of casinos fly to Las Vegas every year.”


Product Spotlight

Bragg Gaming Group

Bragg Gaming Group is a global content-driven iGaming technology provider, serving online and land-based gaming operators with its proprietary and exclusive content and cutting-edge technology.

John Connelly - Interblock preparing to launch online by the end of year

John Connelly, the Global CEO of Interblock, joins the Huddle to talk about:
- The company's conversion to the online space
- The performance of ETGs
- Interblock's new philanthropic efforts
- The trend of companies going private
- And more!

Michael Hershman - Dispelling casino 'myths:' New York needs to lose fear of the unknown

Michael Hershman, CEO of the Soloviev Group, joins Tim Poole on the Huddle to put forward his case that the Freedom Plaza is the way to go for one of New York's casino licences. He fields a variety of questions - not shying away from any of them - on why 'myths' about casinos and a fear of the unknown should be dispelled, as well as acknowledging the strength of rival bids and discussing opposition to the project.

As the Tribal gaming sector congregates once more in the Golden State, is it too cliché of me to suggest we are heading for a golden era of Tribal gaming? With the industry set to meet at the Indian Gaming Association t...

From The Top: Will youth be served by Sports Betting?
Two recent interviews in our Huddle podcast revealed to Las Vegas correspondent Brian Joseph just how young sports betting entrepreneurs are becoming.
The Global Gaming Awards: Rewarding Excellence
The 10th edition of the Global Gaming Awards took place in Las Vegas last year. Gaming America looks back... and ahead to this year's.
Preview: Indian Gaming Tradeshow & Convention
Gaming America looks ahead to the 2024 Indian Gaming Tradeshow & Convention and what attendees can expect when they arrive at the Anaheim Convention Centre.
888 and the US Market: A cautionary tale
Gaming America explores the risk of resting on your laurels and the challenge of remaining relevant in a rapidly expanding market.