MGM Resorts Aiming to Be Online Gaming Leader Using Real Estate Proceeds
Photo Credit: MGM Resorts International roared back to profitability thanks to leisure traveler flocking back to Las Vegas casinos. Wikimedia / Hermann Luyken
Skift Take
Don't call it leaving Las Vegas so much as MGM Resorts taking advantage of inflated real estate prices to get into your pocket, by way of the increasingly lucrative online gaming business.
Selling off old-school gambling halls is paving the way for MGM Resorts, operator of properties like Mandalay Bay and the Bellagio, to have one of the largest online gaming platforms in the U.S.
Company leaders claimed Wednesday their BetMGM online gaming platform is now the second-largest platform for sports betting and digital gaming in the U.S. FanDuel has the top ranking, an MGM spokesperson later clarified to Skift.
The rapidly growing platform, expected to clear $1 billion in net revenue next year, presents an opportunity for MGM Resorts to reach customers beyond the walls of its traditional casino resorts. But selling off those properties is helping to pay for the infrastructure required to beef up BetMGM.
“The idea omnichannel can and will work and not be cannibalizing is something I’m excited about moving forward,” MGM Resorts CEO William Hornbuckle said on a company investor call Wednesday.
Hornbuckle tried to downplay any concern the rise of sports betting
