If casino gambling becomes legal in Japan, or to be more optimistic, when this happens, MGM Resorts plans to establish the MGM Osaka, something totally different, purely Japanese and featuring none of the classic, Western elements present in these resorts. MGM is already present in the Eastern market in Singapore, thanks to MGM China Holdings Ltd.
MGM has high hopes, considering the company wants the Japanese casino open by 2020, just in time for the Summer Olympics. With respect to the advances towards a relaxed gambling legislation, MGM considered that their resort could open even at the end of this year. Moreover, their decision to create a unique theme inside this casino should not be surprising. Non-gambling activities in the Chinese resort bring 1.1% of the total revenue, which is quite high.
A favorable gaming bill is expected by the Osaka government, this allowing not only MGM, but other big players in the industry, such as Las Vegas Sands and Melco Crown Entertainment Ltd to get a share of this market.
The Japanese market is rather big, but how big? The Osaka casino could attract more than 13 million gamblers on a yearly basis, which would bring a total revenue of more than $18 billion. We know that these numbers might be inflated, but they are still providing an insight into the massive world of Japanese gambling. MGM hopes that the bill passes soon enough so they can set up everything in time for the Summer Olympics in 2020 and not only: if things go well, the company expects to greet 5 million foreigners in 2025.