Alejandro Tengco, chairman and CEO of the Philippine Amusement and Gaming Corp (Pagcor), has emphasized that online gaming is the industry’s inevitable future. Speaking at the “Champion’s Night” event in Manila, organized by electronic gaming supplier FBM, Tengco attributed this shift to advancements in modern technology and mobile devices.
“Truly, the future of gaming will be online,” Tengco stated, highlighting the sector’s impressive growth. During the third quarter of 2024, gross gaming revenue (GGR) from electronic gaming and bingo operations surpassed PHP 40 billion (US$679.2 million), a staggering 236.9% increase compared to the same period last year.
The electronic gaming segment emerged as the top performer, generating PHP35.71 billion in GGR, reflecting a remarkable 464.4% year-on-year growth. Tengco noted, “Modern technology and mobile gadgets have already become the future of gaming.”
FBM’s Role in Industry Transformation
Tengco also commended FBM’s contributions to the gaming landscape in the Philippines. From humble beginnings 22 years ago, the company has grown into one of the nation’s leading gaming machine suppliers. “FBM is now one of the biggest [companies] in the local gaming industry, with around 32,000 machines deployed all over the Philippines,” Tengco remarked.
Earlier this year, FBM introduced FBM E-Motion, its online gaming platform, and announced a $10-million investment in a new software development center in Manila. Tengco praised the company’s efforts, saying they had made “positive contributions” that have further driven the industry’s growth.
In a move aimed at enhancing competitiveness, Pagcor announced a reduction in GGR remittance rates for land-based and integrated resort operators starting January 2025. Land-based operators will see their rates reduced to 30%, while integrated resorts involved in online gaming will pay 25%.
Addressing the industry, Tengco encouraged operators to reinvest these savings into marketing efforts. “We hope you will use a big chunk of that additional discount for your marketing initiatives, so that you will be able to attract more customers, and drive GGR up,” he urged.
With robust revenue growth and regulatory changes favoring operators, Pagcor’s vision for a tech-driven gaming future seems well on its way to becoming a reality.
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