Inside Asian Gaming

IAG JAPAN AUG 2019 60 The five-year window in Japan provides difficulty for operators that are interested in the large and regional locations, as the scope and reach of these projects will require a significant amount of investment. 地方の広大な土地に興味を持つ事業者にとっては日本の5年という枠は厳しい。なぜならこ れらのプロジェクトのスコープ(サービス範囲)とリーチ(到達範囲)には巨額の投資が求めら れるからだ。 COLUMNISTS constraints on large-scale projects, even those at the regional level, will be paramount as the regulatory framework is established during the next several months. This includes ensuring that both the Japanese and their operating counterparts are fully transparent in communicating the challenges on the financial end, as well as the impacts that the regulatory structure may have on the cost to the operator and the enforcement cost on the regulator. Tourism remains one of the topics that is not lost in translation as a driver, but to achieve maximum results, there needs to be thorough communication between all parties. One operator noted that tourism is “crucial in the modeling of the program,” and that “it will be incumbent to work with other prefectures and the IRs guest to discover all of Japan.” The Japanese havemade it very clear that if the IR is to be successful, it must act as a hub with spokes reaching into the greater regional area. Singapore, Las Vegas and Macau have all had successful IRs that act as tourism generators. Using gaming and non-gaming assets, IRs must represent a gateway to the rest of Japan. As the regulatory process continues to unfold over the coming months, it will be imperative for each bidder to build a strong and diverse team that properly portrays the vision of Japanese IRs to all stakeholders, ensuring that nothing gets lost in translation. Japan will likely rely on the strict regulatory structures that have already been established in Nevada, Singapore, Macau and other major jurisdictions. Each of these movements in terms of rule-making will have an impact on the market opportunity, as well as on the regulatory cost to operators, the Casino Control Commission and to a lesser extent the local community. Japan remains one of the greatest gaming opportunities in the world. The key to realizing the market’s potential will be to ensure that critical ideas are not lost in translation as Japan moves forward with the formation of the Casino Control Commission, the RFP process and the eventual selection of up to three locations for integrated resorts. It will be necessary for operators, regulators, government officials and other key stakeholders to break down the language barriers to continue to craft a dynamic market that allows for growth and opportunity in a strictly regulated market. While it may seem easy, it is imperative for this to occur so that Japan reaches its goal of setting the new standard in integrated resort development.