MGM Eyes iGaming in Brazil Through Grupo Globo Partnership

Article by : Erik Gibbs Aug 20, 2024

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MGM Resorts International is taking a relevant step toward expanding its global footprint. The organization is looking to establish a new venture in Brazil, partnering with the prominent Latin American media conglomerate Grupo Globo. The collaboration aims to launch a BetMGM-branded sports betting and iGaming platform in Brazil, potentially making MGM Resorts a key player in one of the world’s most promising gaming markets.

The plan is based on obtaining a license from Brazil’s Secretariat of Prizes and Betting (SPA). If green-lighted, the joint venture could be operational as early as 2025. This partnership would merge MGM Resorts’ extensive experience in gaming and entertainment with Grupo Globo’s deep understanding of the Brazilian market, reaching nearly 70 million people daily through its various media outlets.

Bill Hornbuckle, CEO and President of MGM Resorts, emphasized the importance of this partnership, calling it a “landmark step” in the company’s growth strategy. He expressed confidence in the alliance, noting that Grupo Globo’s vast influence and local expertise would be invaluable in establishing a strong presence in Brazil’s rapidly evolving gaming landscape.

Headquartered in São Paulo, the new BetMGM venture in Brazil will benefit from exclusive rights to all of MGM Resorts’ brands. The collaboration will draw on the existing customer bases of both MGM and Grupo Globo, ensuring a broad and engaged audience from the outset. To manage the venture’s operations and future growth, a well-talented leadership from both companies, alongside new hires, will be created.

The move comes at a time when Brazil’s gaming industry is undergoing significant regulatory changes. Earlier this month, the SPA issued Ordinance No. 1,231, which outlines the rules and guidelines for gambling operators in Brazil, including responsible gaming practices and regulations for communication, advertising, and marketing. The ordinance signals the country’s commitment to establishing a well-regulated and transparent gaming market, making it an attractive destination for international operators like MGM Resorts.

Hornbuckle highlighted Brazil’s potential as one of the most exciting and dynamic gaming markets globally. He expressed confidence that the partnership with Grupo Globo would provide the scale and expertise necessary to quickly establish BetMGM as a leading operator in the South American country. This venture marks a crucial expansion for MGM Resorts, which has already seen positive momentum in its BetMGM joint venture in the US with Entain.

MGM’s entry into Brazil is not just a strategic business move but also a testament to the company’s broader ambitions of becoming a dominant force in the global gaming industry. With this joining of forces with Grupo Globo, MGM Resorts is on the right path to capitalize on Brazil’s burgeoning gaming market, setting the stage for further growth and innovation in the coming years.