A recent report from Fitch Ratings delivers a neutral outlook on the global gaming industry in 2023, according to an analysis published on the gaming business website. As per the original article, while Fitch anticipates moderate growth, an increasingly competitive landscape and regulatory changes present potential headwinds.
The Fitch report examines four key regional markets - the United States, Macau, Singapore, and the Philippines. The analysis notes Fitch's projected 2% to 4% gross gaming revenue growth in 2023 across these four markets combined. However, performance is expected to vary by region.
In the vital U.S. market, Fitch points to constrained discretionary spending as a critical factor that could limit revenue growth to the lower half of the 2-4% projected range. The planned opening of new properties in markets like New York and Florida may also intensify competition. Strict regulatory environments remain an ongoing consideration in the U.S. as well.
For Macau, the report forecasts gross gaming revenue growth of 8-14% year-over-year, aided by easing travel restrictions. But a recovery to pre-pandemic levels is expected in late 2023 or 2024. Stricter regulatory oversight also looms large over the market's growth prospects.
In Singapore and the Philippines, Fitch notes that growth will be highly contingent on the full resumption of inbound travel. Integrated resorts in these countries rely heavily on international visitors, especially from China. So volatile COVID-19 conditions make forecasts incredibly uncertain.
While the Fitch report delivers a somewhat cautious perspective, the gaming business analysis highlights some upside factors. In the U.S., the successful start of mobile sports betting in states like Ohio hints at future growth potential. And Asian markets finally reopening borders could outperform expectations. Still, challenges remain ever-present across the global gaming landscape.
The original Fitch Ratings report offers valuable insights from an independent analytics firm about fundamental dynamics expected to shape the gaming industry in 2023. And the gaming business story provides thoughtful commentary contextualizing the projections for this vital, fast-evolving sector. The months ahead will reveal which forces drive growth trajectories across various international gaming hubs.