The idea of Japan opening casinos is an exciting prospect for many companies and patrons around the world. It’s a plan that has been in the works for a long time, with the first plans being mooted as early as 2000. Two decades ago, the Governor of Tokyo proposed the construction of a casino off the coast of the capital on an artificial island. However, it didn’t get much traction.
He didn’t give up though, suggesting floating casinos that would be housed on boats near the coast of the city. But these also didn’t get very far in the face of a lot of opposition from other politicians and some members of the public.
Currently, betting is allowed in a small number of circumstances, namely racing sports, bingo, lotteries, and pachinko (a sort of pinball-style game).
It is a far cry from countries like the UK and much of the rest of Europe where licensed businesses are permitted to operate both physical and online casinos. This has led to a lot of competition among online casinos in the region, with leading companies offering unique versions of classic games like roulette, such as live games and Multi-Player options. The situation is similar in the US, where online wagering has been legalized in around a dozen states.
This is set to change in the near future though as Japan’s lawmakers passed legislation in July 2018 that will permit several casinos to open in the Land of the Rising Sun.
Nearly three years on, what’s changed, and when are we likely to see a Japanese casino open?
The Rationale for Japanese Casinos
Japan’s casinos are going to follow a similar model to those found in Singapore. Although locals will be permitted to frequent them, they’ll mostly cater to overseas guests. It is hoped that the casinos will provide a new reason for tourists to visit the country, in addition to its already diverse offering of unique foods, cutting-edge technology, and fascinating traditions.
The original plan was that they would be ready to open after the Tokyo 2020 Summer Olympics, but both the games and the casinos have been delayed and it’s going to be a few years before the latter opens.
“The Holy Grail”
The late Sheldon Adelson, who was the long-time boss of the Las Vegas Sands Corporation, described the prospect of opening a casino in Tokyo as “the holy grail”. Until last year, he had spent decades on a charm offensive in the country, trying to convince Japanese politicians that casinos would be beneficial to the island nation. He believed that the capital city would be a great location for a casino because it already had the necessary infrastructure (including transport, hotels, and other nightlife) to make it a success.
However, in 2020 Adelson’s company pulled out of the bidding process, citing “technicalities” around the rules that would prevent the Sands Corporation from achieving its goals for the country. Some reports suggest that he had turned his attention to Brazil instead.
In addition to that, historically, Japan has been known for its caution when it comes to defining the rules for gaming. Ancient Japanese rulers established a peculiar exemption to the prohibition of amusement when the regulations were very harsh. Since then casinos have experienced many changes. Nowadays a Japanese online casino provides gamblers with an opportunity to play a variety of games, including the old traditional ones that are nowadays modernized and accessible for all the people who have internet access.
What is Happening With the Bidding Process
In December, policies relating to the next stage of the bidding process were agreed, setting standards that say casinos must include convention space, entertainment, shopping, and hotel rooms.
This will mean venues in Japan will be “integrated resorts”, following the model used in Las Vegas, Macau, and other major gaming cities.
With the rules set, cities that want to have a casino opened within their borders must now bid for that right. It is believed that Osaka, Nagasaki, Wakayama, and Tokyo are all going to be submitting bids. Their proposals are likely to be supported by casino operators, with many consortiums of international brands linked to each city.
What Happens Next?
The bidding process officially begins on October 1st, and will run until the end of April 2022. Between now and October, localities looking to submit proposals will need to prepare the groundwork for their submission and select an operator to partner with.
Once the process is concluded, three locations will be selected for the first wave of licenses. It will then take several years for architectural designs to be drawn up, approved, and for construction to begin. Therefore, we’re still unlikely to see casinos opening until the second half of the decade.