SEGA Sammy Holdings Inc. revealed in a recent investor update that the company may pursue online betting in overseas markets.
The move follows the abandoned proposal of the company building an Integrated Resort (IR) in Yokohama City, Japan. SEGA Sammy originally submitted a proposal to build the IR in June alongside their partner Genting Singapore. While the IR’s establishment seemed promising at first, Yokohama City’s new anti-casino mayor promptly halted the plans in October.
Although the cancelled plans of building an IR in Yokohama City were a disappointment, the company ensures the setback has no significant financial impact on the company. Instead, SEGA Sammy sees opportunity in a new market: online betting.
Opportunities for the domestic IR business may emerge in the next one to three years, but in the meantime, if there are opportunities to invest heavily in other areas, such as online betting which is gaining force overseas, there is the change we prioritize them.Haruki Satomi, president and CEO of SEGA Sammy Holdings Inc.
Esports betting booms in the US
Satomi did not specify which countries the company sees potential in for online betting. However, experts presume it may be the United States. Nevada specifically continues to see massive growth within the realm of online gaming, Esports and sports betting. The rising popularity of Esports even led the addition of the Esports Technical Advisory Committee to Nevada’s Gaming Control Board.
The move will likely set precedent across the rest of the country as other states previously based their gaming regulations on those in Nevada. Currently, Nevada permits online Esports betting on 12 events and leagues. Some popular examples include League of Legends, Counter-Strike: Global Offensive and Defense of the Ancients 2.
For now, the extent of SEGA Sammy’s plans for online betting remains uncertain. However, the move into overseas online betting is likely the company’s needed rebound following the cancelled plans of building an IR in Yokohama City.