MGM Resorts and Grupo Globo Embark on a Sports Betting Venture in Brazil

The world-famous gaming and entertainment company MGM Resorts International announced a significant move with the media company Grupo Globo. On August 15th, the companies publicized their collaboration to embark on a new venture seeking an iGaming and sports betting license in Brazil. The permit is still subject to approval by local gaming authorities, and once approved, operations will commence in early 2025 under the BetMGM brand.

The inked deal marks a significant entry into one of the world's newest and most dynamic regulated gaming markets. It aims to develop a unique product tailored exclusively to Brazilian gamblers by combining the renowned resources of MGM Resorts and the customer bases of Grupo Globo.

The Joint Venture Exploits a Dynamic Market

MGM Resorts International's President and CEO, Bill Hornbuckle, expressed the company's commitment to elevating gaming entertainment on a global scale. He explained that partnering with Grupo Globo reflects this commitment, and introducing BetMGM in Brazil cements the brand in the vibrant Latin American region.

"MGM Resorts is committed to becoming the world's premier gaming entertainment company, and this strategic alliance with Grupo Globo, and entry into the Brazilian market, is a landmark step forward and key milestone in our growth strategy," stated Hornbuckle.

This partnership's success banks on the aligned strengths of MGM Resorts' mastery of gaming and entertainment and Grupo Globo's consumer knowledge. As Latin America's largest media conglomerate, Grupo Globo has unparalleled access to the Brazilian market, with about 70 million viewers daily.

Contingent on Approval by Local Regulators

The commencement of the new platform is subject to approval from Brazil's gaming regulators. The partnership's success relies on its ability to maneuver local gaming regulations and receive the necessary licenses.

If approved later this year, the project is scheduled to commence in early 2025. The project will be named BetMGM and have exclusive rights to MGM Resorts' legendary brand. Its headquarters are set to be in Sao Paulo, Brazil's capital, which will house a leadership team of top talent from both companies. New hires are also expected to oversee the venture's growth and operations.

The Current Brazilian Gaming Landscape

Brazil boasts a booming sports betting industry with over 20 million active bettors and an estimated market size of $3 billion that doubles in growth each year. The market's attractiveness catches the attention of global brands beyond MGM Resorts and Grupo Globo, which want to expand their footprint.

Several major players have also applied for approval to operate in the country, showcasing the industry's competitive nature. For instance, well-known online platforms like SportyBet, Sportingbet, and Big Brazil have already submitted requests to secure licenses.