Michigan is home to a large number of commercial and Native American casinos. Several of the commercial gambling venues in the state are based in Detroit. Unfortunately, new reports claim that the casinos in Detroit are likely to lose more than $60 million due to the most recent shutdowns.
It’s tough news for the casino companies based in this state. Several other states have recently implemented casino shutdowns, as well. Today, we’re going to talk about how things are going for the casinos based in the state of Michigan.
Let’s get into it!
More States Begin Considering Additional Casino Regulations
The land-based casino industry in the United States has been working extremely hard to get back on track this year. This past March, all of the casinos around the country were forced to shut down. It took months for most casinos to start operating again.
Nevada’s casino industry has been slow to recover. Monthly earnings are increasing, yet they remain far lower when compared to the same months in 2019. Many of the casinos in Las Vegas have been forced to shift their hours due to a drop in tourism.
Atlantic City has been faring slightly better. The online sports betting and casino gambling options are bringing the state valuable revenue each month. Casinos here have already been seeing small restrictions being set in place. Not long ago, Governor Murphy announced that new, more intense restrictions could be coming soon.
Many states have recently begun ordering their casinos to shut down. That includes Michigan, Colorado, and Illinois. It’s unclear when exactly the casinos in these states will be given permission to reopen again.
It now appears that several other states are interested in shutting down casinos, as well. Many health experts have been warning that these venues pose serious risks to public safety. Casino officials are pushing against this idea and claim this could have permanent effects on the industry moving forward.
We’re now starting to see how much money these shutdowns are costing companies.
Reports Claim the Casinos in Detroit Will Lose More than $60 Million Since Shutting Down
Michigan has been implementing very intense regulations over the past few months. Earlier this week, Governor Whitmer ordered all of the casinos in this state to close their doors. Many complained that this was unfair to the gambling companies operating here.
Lawmakers disagreed and felt there was no other option. Michigan has been seeing a steady increase in Covid-19 cases over the past few months. Closing casinos was seen as a way to cut down on further infection spread.
It’s now becoming clear that this will have a dramatic effect on the state’s casino industry. That’s particularly true with the casinos based in Detroit. According to new reports, the casinos in Detroit will lose more than $60 million due to the recent shutdowns.
That is a staggering figure to hear. Prior to these shutdowns, Detroit casinos were bringing in impressive revenue figures. They are now being ordered to close for three weeks, which analysts predict will cost approximately $67 million.
Sports betting became legal in Michigan this year. Unfortunately, hopes that regulated online sports betting options would become available this year are now dead. Most predict this will happen sometime in 2021.
Regulated online gambling options are helping to bring in a huge amount of revenue for different states. Several states are interested in legalizing this industry now.
The US Online Sports Betting Industry Continues to Grow
It’s only been a few years since the US Supreme Court decided to strike down PASPA. This was one of the biggest moves for the country’s gambling industry in history. Immediately afterward, several states began allowing sports wagering.
This industry has continued to grow every single year. Today, more than half the country has approved sports betting legislation up and running. Most of these states are profiting massively, as a result.
Some states currently only allow sports wagers to be made in-person through a licensed sportsbook. Others have fully-operational online sportsbooks. Online sports betting platforms are proving to be the best option out there.
New Jersey, for example, has been seeing massive revenue earnings from its online sports betting operations lately. The sports betting handles here have been hitting all-time US records. It’s great for the casino companies here, all of whom have seen major drops in their gaming revenue this year.
Hopefully, Michigan’s sports betting industry will begin to expand soon. The casinos in Detroit are in for a tough few weeks. We’ll continue offering updates on this situation!
Do you think it was right for the casinos in Michigan to shut down? Let us know in the comments section below!