Las Vegas Sands shuts down digital gaming project, ends 150 local jobs
Las Vegas Sands Corp. is shutting down a digital gaming project, an action that will put 300 to 400 people, including around 150 Las Vegas workers, out of their jobs.
The decision to shut down Sands Digital Services was reached earlier this week after company executives determined the project, which would have offered live gambling from streamed dealers into markets that have legalized internet gambling, was not a good strategic fit for the company.
“As has always been the entrepreneurial approach of our company, investments in SDS were made with the understanding there would be multiple points in the process where we would assess the most pragmatic path forward,” Sands President and Chief Operating Officer Patrick Dumont said in a letter to affected employees and senior management.
“Ultimately, we reached a moment in which it was clear to executive leadership and our board of directors that further pursuit of this business was no longer aligned with the company’s core long-term objectives,” he said.
Company officials said they would continue to focus efforts on their market-leading opportunities in Macao and Singapore.
“The digital landscape continues to evolve, and technology and innovation will continue to play an important role in our industry,” Dumont said in the letter dated Oct. 2. “As a company, we will continue to explore and invest in opportunities that are in the best interests of our shareholders.
“Overall, we remain very fortunate to operate in the two best markets in our industry. Over the past two decades we have set the standard for the investments we have made in our land-based portfolio of properties and the elite level of customer service we have provided our guests.”
Sands became involved in digital gaming after it sold The Venetian and Palazzo on the Las Vegas Strip to Apollo Global Management Inc. and Vici Properties Inc. and purchased some assets of Qbet in 2021.
The strategy was to establish a studio with live dealers offering wagering that could be streamed to licensed internet gambling locations. In the United States, iGaming is legal in New Jersey, Connecticut, Delaware, Michigan, Pennsylvania and West Virginia.
A Sands representative said the 150 local residents who lost their jobs could apply for openings within the company but that most openings require a different skill set.
Sands has continued to invest heavily in Macao, where the company operates the Venetian Macao and several other hotel-casinos and has committed new financial resources as required under revised licensing agreements.
In Singapore, the company’s Marina Bay Sands property is in the midst of a major expansion, with new hotel rooms and an arena.
“We continually meet and exceed the commitments we have made to our host markets in Macao and Singapore,” Dumont said. “Our dedication to our business partners and local communities remains an important part of our identity, as does our commitment to being the most shareholder friendly company in the gaming and hospitality industry. As a company, we have much to look forward to in the years to come.”
The Review-Journal is owned by the Adelson family, including Dr. Miriam Adelson, majority shareholder of Las Vegas Sands Corp., and Las Vegas Sands President and COO Patrick Dumont.
Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on X.
