Wynn Resorts Challenges Massachusetts iGaming Expansion Amidst Industry Debate

Wynn Resorts Voices Opposition to Massachusetts Online Gambling Bill

Wynn Resorts has unexpectedly aligned itself against recent efforts to expand gambling options within Massachusetts. The company expressed its concerns in a formal letter submitted to the state Legislature’s economic development committee during their recent session.

Concerns Raised Over Economic and Social Impact

Wynn Resorts specifically criticized a bill proposed by Representative David Muradian of Grafton, which would allow residents to place bets on games like poker and blackjack through their mobile devices. The company warned that this legislation could endanger the 3,300 jobs at Wynn’s Encore casino if revenue declines due to the introduction of online gambling, commonly referred to in the industry as iGaming. Wynn regards internet-based gambling as a high-risk prospect for the state’s economy.

In the letter, signed by Eileen McAnneny, Wynn’s executive director of government relations, the company emphasized that mobile gambling is more addictive than traditional in-person gaming. McAnneny highlighted the constant accessibility of mobile betting wherever there is cell service, which may increase addiction risks. Furthermore, she cautioned that anticipated tax revenue from online gambling overlooks potential losses in taxes generated by physical casinos, hotels, and restaurants.

Industry and Labor Groups Express Similar Opposition

The Retailers Association of Massachusetts has also opposed the bill, concerned about negative implications for its member businesses. Labor unions have joined the resistance as well, warning of significant job losses seen in other states that have implemented iGaming. Hundreds to thousands of employees connected to Massachusetts casinos like Encore, MGM Springfield, and Plainridge Park could be impacted if iGaming expands.

This resistance from Wynn comes at a time when the sports betting industry is emerging as a powerful lobbying entity. The Sports Betting Alliance has been highly active in legislative advocacy on Beacon Hill, increasing its lobbying expenditures from $165,000 to $255,000 in the first half of this year, second only to healthcare organizations.

Supporters Highlight Economic Benefits and Consumer Protections

Conversely, seven states, including neighboring Connecticut and Rhode Island, have already approved iGaming. DraftKings, a prominent Massachusetts-based company, advocates for the state’s legalization of online gambling. Rebecca London, DraftKings’ senior government affairs manager, noted that the company currently employs over 1,300 people in Massachusetts, with potential for further growth contingent on iGaming authorization.

London informed lawmakers that Muradian’s online gambling proposal could produce an estimated $170 million to $200 million annually in new tax revenues. Additionally, another iGaming bill introduced by Senator Paul Feeney of Foxborough could potentially generate up to $275 million each year.

She also argued that enabling legal online gambling would reduce the prevalence of illegal, black-market betting in Massachusetts. With regulated platforms such as the DraftKings app, consumers would benefit from protections including services designed to support individuals facing gambling problems.