Cotai’s USD50b resort landscape gives Macau decades of unassailable lead, says Sands CEO

Macau’s massive integrated resort investments on the Cotai Strip have created a long-term competitive advantage that will be difficult to replicate in the region, Sands China CEO Grant Chum said at the opening of G2E Asia + Asian IR Expo.

Speaking at the Venetian Macao, Chum pointed to the scale of past development spending – estimated at around USD40–50 billion – as a key barrier to new entrants, saying the cost of building similar resort assets today would be nearly five times higher than when they were first developed.

According to the executive, any potential competitor hoping to replicate Macau’s integrated resort landscape has likely already missed its chance.

“The cost of entry is going higher and higher,” Chum said, noting that an audience of 8,000 industry professionals from over 90 countries is expected. He estimated that the Venetian Macao, originally built for $2.4 billion, would now cost $11–12 billion to recreate. “It is almost impossible to imagine that over the next one decade, two decades, three decades, there could be another city in the region that could rival this critical mass.”

However, the executive cautioned that “just building the buildings won’t diversify the economy,” a key priority for Macau as it seeks to reduce its historical reliance on gaming. He pointed to three non-gaming sectors where the city has already achieved scale: entertainment, luxury retail, and MICE (meetings, incentives, conferences, exhibitions).

Citing data from a technology conference hosted in Macau during the first quarter of 2026, Chum highlighted how MICE events alter tourist demographics.

While international visitors typically account for only 6 to 7% of Macau’s overall visitation, that conference saw 80% of its 6,000 delegates arriving from outside Greater China. The average length of stay was 3.1 nights – 75% longer than the typical leisure guest’s 1.8 nights.

Chum also referenced the return of the NBA China Games to Macau after a six-year absence, noting that the games were held outside mainland Chinese cities such as Shanghai, Beijing, and Shenzhen for the first time.

The multi-year partnership, he said, helps project Macau’s brand internationally. During Games Week, nearly 100 supporting events were held, including an NBA House carnival exhibition and a closed-door innovation summit with global sports and digital technology figures.

According to a 2025 report by Research and Markets, Asia’s integrated resorts sector is growing at about 8% annually. The three-day co-event, which runs through May 14, features more than 150 brands across 30,000 square metres, showcasing AI, digital infrastructure, and entertainment systems.

The program includes a Tech Talk on AI applications and, on Thursday, a keynote speech from Mario Yau Kwan Ho, chairman of NIP Group Inc. and co-owner of the Boston Celtics.

Chum also noted that Macau has ranked as the world’s No. 1 city for Forbes five-star hospitality awards for four consecutive years.

The CEO concluded that Macau’s economic diversification is expected to reach a “new level” within the next five to ten years if integration across sectors continues.

Chum pointed to the strength of mainland China’s economy and steady demand from mainland consumers as key foundations supporting Macau’s efforts to expand beyond gaming. He said momentum is already visible in live entertainment, destination retail, and the MICE sector.

He added that Macau’s diversification has progressed in stages, beginning with the integration of gaming and non-gaming elements, and now evolving into a broader mix of lifestyle, entertainment and hospitality offerings within integrated resorts.

“If we continue to focus on integration, diversification will continue to progress,” Chum said, noting that coordinated support from both local and central authorities would help Macau “advance diversification to a new level” over the next decade.

“The story of Macau’s diversification is still unfolding,” he said. “Much has been achieved, but much, much more will be achieved.”

Chum also highlighted retail as a key growth area, saying consumer behavior is shifting from simple purchasing to experience-driven spending, stressing that retail is increasingly being combined with hospitality and lifestyle events to create a more immersive visitor experience.