Ben Gurion Airport Gaming Zone Decision Upheld by Court
A new gaming complex set to open in Terminal 3 of Ben Gurion Airport will significantly increase passenger costs while generating substantial revenue for its operator and the Airports Authority. The venture, operated by "Babylon," will feature 30 gaming machines and simulators across 137 square meters, requiring an investment of approximately 6 million shekels.
The project's financial details emerged following a legal challenge by competitor "Play Game," which sought to overturn Babylon's winning bid for the tender. Play Game had offered double the royalty rate (around 30.77%) but their petition was dismissed by the Tel Aviv District Court. Judge Gilad Has ruled that Play Game's offer was unprofitable and flawed, citing past instances where excessive bids led to concessionaire collapses.
Babylon conservatively estimates that around 180,000 passengers annually, approximately 2% of international departures from Terminal 3, will use the facility. A 20-minute gaming session is expected to cost passengers about 132 shekels. This pricing strategy is projected to yield Babylon an annual revenue of roughly 24 million shekels.
The Airports Authority is set to receive at least 4.2 million shekels annually from Babylon in royalties, calculated at 17.7% of the revenue. While parents may pay a considerable sum for brief peace before flights, both Babylon and the Airports Authority stand to profit significantly from the new gaming zone.