One of the three nationally recognized statistical rating organizations, Fitch Ratings, posted a report on the global gaming market, forecasting that the international gaming industry is to grow moderately over the next year.
According to a statement of the Fitch Rating’ Senior Director, Alex Bumazhny, 2018 is expected to be a good one as far as gaming operators and suppliers are concerned. The rating organization shared that it expects the upcoming year to be successful for gaming companies on a global scale, as they are set to continue operating in a strong economic landscape and a new supply environment that would be relatively favorable to them.
As mentioned above, Fitch Ratings shared in its report that the market conditions would help the international gaming industry report a moderate increase, with the company being able to operate in stable economic conditions over the next year. Considering the global trends of stricter regulation imposed on gambling operators around the world, this was more of a positive projection for international gaming operations’ performance.
Recently, most counties’ governments and gambling regulatory bodies have been focused on making sure their gaming and betting markets are well-regulated and provide customers with safe, fair and transparent gaming services. Countries’ authorities have also been focused on compulsive gambling and gambling addicts, as they were among the most significant problems of contemporary global gaming markets, especially considering the fact that the number of problem gamblers is constantly rising.
Warning of Potential Issues in Northeast US
Still, the situation is not all roses, in spite of the positive forecast. Fitch Rating’s report also included warning of possible issues in certain regions, including the Northeast US.
The statistical rating organization’s report for 2018 states that the upcoming year would not lack any risks. According to the data included in the report, the Northeast part of the US is to see competition increase even more, after the local market is to see four casino openings set for the upcoming year. On the other hand, the regulatory and new supply risks are relatively moderate in a gaming industry that is described as a mature and well-developed one.
The summer of 2018 is set to see the opening of the Hard Rock Hotel & Casino Atlantic City venue. In addition, Revel, which could be sold over the next months, is expected to open its venue again some time in 2018. As mentioned above, two other gaming operators are expected to open their venues in the region, including MGM Springfield in the state of Massachusetts and Resorts World Catskills in Thompson, New York. Both of them are expected to increase the competition by opening new venues.
Another important trend concerning the global gaming market which has been included in Fitch Ratings’ report is the increasing market share of online gaming. According to the firm, over 8,800 new slots are to be released on the online gaming industry over 2018. As explained in the report, the increasing interest towards web-based gambling would see slot demand increase, with the leading global gaming operators being stimulated to expand their offerings.