Macau casino operators in dispute over ferry services
A war of words has erupted between two of Macau’s biggest casino operators. But the comments have nothing to do with gaming.
The fight is over their competing ferry services between Hong Kong and Macau.
Last year, Las Vegas Sands Corp. began CotaiJet, which shuttles passengers from Hong Kong to a ferry terminal on Taipa, near the company’s Venetian Macau casino on the Cotai Strip.
The service competes with TurboJet, the long-standing ferry company operated by 87-year-old Hong Kong billionaire Stanley Ho, who runs more than a dozen casinos in Macau, including the Grand Lisboa. TurboJet operates out of a ferry terminal on the Macau Peninsula, which ironically is within walking distance of the Las Vegas Sands-owned Sands Macau.
Last week, Stephen Weaver, the Asia president of Las Vegas Sands, said there has been little cooperation between the two ferry operators. Weaver said Ho had publicly accused the Las Vegas Sands ferry service of “grabbing a share of his ferry business.”
Weaver said Las Vegas Sands sought cooperation in an effort to make sure there were enough ferries to shuttle customers to Macau.
“We did not even consider running ferries until we read reports that TurboJet did not believe any new ferry capacity was needed to serve the new resorts in Taipa (Crown Macau) and Cotai (Venetian Macau),” Weaver said.
In a letter sent to the Asian media, Ho said TurboJet “is a public transport service provider and operates independently from all Macau gaming concessionaires.”
The company also took the position that additional ferries are not needed because Las Vegas Sands has suspended construction on some of its Cotai Strip developments because of the company’s financial troubles.
“Venetian has used development of hospitality facilities as an excuse to secure land from the government at a low premium, and on completion, selling part of the project for profit,” Ho wrote. “It is clear to all whether this is pillaging the resources of Macau.” Ho urged the government to “take back the land” where the Venetian’s suspended Parcels 5 and 6 development are located and “re-offer them for public tendering.”
Ho held a monopoly on Macau’s legalized gambling until mainland China took control of the once Portuguese colony in 2000. Gaming was then opened up to other casino operators in the Special Administrative Region.
This fight doesn’t look like it will subside anytime soon.