Hall of FameCasino Industry

Howard Hughes

Legitimized Las Vegas casino industry

Early Life

Howard Robard Hughes Jr. was born in Houston, Texas, in 1905 to a family that would make its fortune in oil tool manufacturing. He inherited the Hughes Tool Company at 18 after his father's death, becoming one of America's wealthiest young men. Hughes went on to build a business empire spanning aviation, film production, and real estate before turning his attention to Las Vegas.

Rise to Fame

In November 1966, Hughes arrived in Las Vegas by train in the dead of night and took over the entire top floor of the Desert Inn. When hotel management asked him to leave after a few weeks—they needed the rooms for high rollers—Hughes simply bought the hotel for $13.25 million. This began a buying spree that would transform Las Vegas.

Iconic Moments

  • Bought Desert Inn in 1966 rather than leave
  • Acquired multiple Strip properties
  • Began displacement of mob control in Vegas
  • Brought corporate legitimacy to gaming
  • Influenced Nevada gaming reform

Strategy and Style

Hughes brought corporate legitimacy to an industry long associated with organized crime. His purchases of the Desert Inn, Sands, Frontier, Castaways, and Landmark hotels injected hundreds of millions of legitimate dollars into Las Vegas. His corporate structure and business practices provided a template for how casinos could operate as proper businesses.

Contributions to the Game

Hughes' presence gave Wall Street confidence in Las Vegas as an investment destination. His involvement helped trigger reforms in Nevada gaming regulations, encouraging stricter oversight and more professional management. He demonstrated that legitimate businessmen could profit from casino ownership without mob involvement.

Legacy

Howard Hughes is credited with legitimizing the Las Vegas casino industry. His corporate approach to ownership helped end the era of mob control and paved the way for today's publicly traded casino companies. Though his later years were marked by eccentric behavior and reclusiveness, his impact on Las Vegas was transformative and lasting.