Ask if Reno could dethrone Las Vegas as casino king in Nevada and the answer will probably be “no”. Similarly, New York vs. New Jersey has long been a one-sided battle for gaming’s throne, largely because the former state didn’t even offer the pastime until 2013 and the online variant is still making its way through lawmakers’ hands.
New York has 11 casinos on the drawing board, part of an initiative that began when the first casinos opened over a decade ago. The first three are slated for a 2025 opening. The economic benefits could be enormous — an estimated $413 million, according to New York’s state budget, but the plan keeps getting delayed.
So, right now, not much is happening in New York. Still, New Jersey operators are faced with the effect that rival casinos over the state border could have on local businesses.
The Garden State
Casino Association of New Jersey president Mark Giannantonio referred to New York’s gaming aspirations as “a threat” in the future, adding that Atlantic City has around two years to pull itself together on the coast. This might surprise New Jerseyans, who have become accustomed to a grip on the local industry.
What’s happening with New Jersey, then? The Garden State hasn’t been living up to its nickname recently. Giannantonio pointed to poor infrastructure, safety records, and even issues with cleanliness as variables that could point to New Jersey’s decline in the face of competition from its northern neighbor. The state is also at significant risk of flooding.
Information from Visual Capitalist suggests that New York’s lollygagging hasn’t been all that detrimental to its casino industry. Nevada holds an unassailable lead in terms of how much money each state makes from gambling ($15.5 billion revenue in 2023) but New York sits fourth on $4.7 billion, behind Pennsylvania ($5.9 billion) and New Jersey ($5.8 billion).
Good for Business
New Jersey does have something of a safety net. As hinted at earlier, New York has no counterpart to its rival’s online gaming arm. Operators targeting players from the Garden State include PlayStar, which has its own NJ casino app. This software eliminates players’ need to visit a brick-and-mortar casino to make deposits and withdrawals.
The PlayStar FAQ indicates that people only have to be in New Jersey when playing. There’s no need to be a permanent resident of the northeastern state. While this mirrors access to land-based casinos, online gamers nevertheless have greater freedom over how (and where) they choose to play.
Confusing matters is that New Jersey casinos can’t agree on whether a mixture of online and offline play is good for business, specifically, the risk of one eating the other’s players. Casino president Rob Norton worried about “pitting ourselves against ourselves”, a position that Giannantonio disagreed with. Of course, this doesn’t affect online-only brands like PlayStar.
New Jersey is in a tough position, but it could be a while before New York turns its plans into genuine action. The most recent hold on a new, downstate casino came in March 2024, ironically, two years after a scheme to make the process work faster.
The new casinos will take New York’s tally to 21 establishments.
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