Macau Gambling: How Its Revenue Turned Around

Macau Gambling: How Its Revenue Turned Around

Macau is home to some of the world’s best casinos. In fact, this Special Administrative Region (SAR) of China is the “gambling capital of the world.” If you doubt that, here is more proof.

Macau’s gambling revenue was about US$22.88 billion in 2023. Meanwhile, the mighty Las Vegas gambling revenue in 2023 was $8.9 billion. That’s almost a 3x difference, even though Vegas has more casinos, and thus, more casino games players. Convinced now?

But how did a region that the Portuguese colonized rise to achieve the impossible, and leave so many speechless? Even American Real estate and casino developer Steve Wynn reluctantly admitted, “You can’t discuss Macau in any logical conversation. It will distort any reality.

Today’s Vegas Aces Casino news sheds light on the Macau gambling industry and gives you updates on recent developments.

Macau Gambling: History of the World’s Gambling Capital

Macau is famously called the “Las Vegas” of Asia, not for trying to duplicate Vegas but for being the only city where gambling is legalized in China. The colonial Portuguese government made gaming legal in the city in the mid-19th century, precisely the 1850s, for revenue generation. Since then, no other region has legalized gambling in the country.

In 1900, over 200 Macau salons offered Fan-Tan, the permitted game. So, people from mainland China and Hong Kong have always turned to Macau for a gambling experience.

In 1962, the government granted Stanley Ho, founder of Sociedade de Turismo e Diversões de Macau (STDM), the monopoly to operate the Macau gambling industry until 2001. Gambling revenue increased sharply, accounting for about 50% of the city’s total revenue.

Portugal handed Macau over to China in 1999. The Chinese government agreed to allow Macau to operate its economy and to take advantage of this opportunity to build new properties in the city.

Macau Gambling: Revenue Over the Years

In 2007, Macau’s gambling revenue surpassed that of the Las Vegas Strip, making it the “gambling capital of the world.” Since then, there has always been a sizable gap between their revenue, with Macau taking the lead yearly.

However, the government’s actions on corruption in mainland China caused a sharp decrease in Macau gambling revenue—$28.9 billion was declared in 2015. Things changed in 2016 after the situation regained normalcy. By 2018, gambling revenue increased to over $37 billion.

In 2019, the city had almost 40 million tourists, a number expected to be higher the following year, but then COVID-19 happened. The pandemic had a significant impact on the city. Thus, Macau’s gambling revenue declined to $7.7 billion in 2020 and even to $5.26 billion in 2022. However, the market rebounded in 2023, jumping to over $22.7 billion in revenue reported.

According to Macau’s Gaming Inspection and Coordination Bureau, gambling revenue has grown by 15.5% this year. About $2.2 billion was announced as gross income for September. Therefore, Macau’s gaming revenue is estimated to rise by over 40 million dollars by the end of the year.

Introduction of Western Games

Before the STDM took over the Macau gambling industry monopoly, only traditional games like Fan-Tan were available in gambling salons. During its reign, the company introduced Western games.

Forms of Gambling in Macau

Western-style gaming incorporated into Macau’s gambling operation includes casino games, horse racing, greyhound racing, sports betting, and lotteries. However, the government has banned greyhound racing, run exclusively by the Macau Canidrome Club. The establishment was closed on 21 July 2018.

Also, the government has banned horse racing, run by the Macau Jockey Club, since April 2024.

Casino Games in Macau

Baccarat, blackjack, roulette, slot machines, Fan-Tan, and Sic bo, are the casino games that thrive in Macau. A version of baccarat called punto banco is commonly played in Macau.

Poker was introduced in August 2007. By November of the same year, the city hosted its first poker tournament –the Asia Pacific Poker Tour-Macau Event.

How Many Casinos Are There in Macau?

Currently, Macau has over 40 casinos, with the majority located on the Macau Peninsula and the remaining in Cotai. Casino operators like Sands China operate the Sands Macao. SJM operates Grand Lisboa Palace. Galaxy Entertainment operates Galaxy, and MGM operates MGM Cotai. There are also the Wynn, Wynn Palace, and Venetian Macao. The Venetian Macao is the second-biggest casino in the world.

Age Restrictions

The minimum casino age in Macau is 21. However, the city has not yet legalized online casinos. In 2014, Macau gambling laws banned smoking in casinos, and in 2019, the VIP rooms were also included.

Core Takeaway

From being a small dot on the map to becoming the world’s largest gambling city, Macau has come a long way. Its gambling industry has continued to grow and is sure to keep improving to maintain its reputation among the best gambling destinations in the world. Similarly, Vegas Aces Casino will always strive to provide you with the best online slots, besides the other enticing casino games we have.

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