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CES could be leaving Las Vegas

Organizers blame rising cost of hotels, food and beverage

CES is the world's largest consumer electronics tradeshow, featuring the latest in smart cars, robotic massages and other innovative gadgetry. Organizers say they may move the massive show to another city, where they can get a better deal.
Andrew Gombert / EPA
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Cool new products take the spotlight at the Consumer Electronics Show in Las Vegas.

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Video: CES 2008
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Jan. 8: MSNBC's Willie Geist investigates a remote control beer cooler featured at the Consumer Electronics Show in Las Vegas.

NBC News and MSNBC
updated 8:53 a.m. ET Jan. 8, 2008

LAS VEGAS - Las Vegas’ 31st International Consumer Electronics Show could be one of its last, organizers said Monday, saying they believe they can get a cheaper deal elsewhere.

CES, the largest consumer electronic trade show in America, brings in hundreds of millions of dollars in non-gaming revenue to Las Vegas each year. But CES officials told NBC affiliate KBVC of Las Vegas that the price of doing business has gone up every year, so much so that they are considering moving to another city.

“We’ve heard from our attendees, from our exhibitors ... that the rates of hotels during the International CES are increasing out of proportion from what they think it should be,” said Jason Oxman, chief spokesman for the show’s organizer, the Consumer Electronics Association.

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Some hotels charge more than five times what they normally charge during the four-day event, organizers said. They also require rooms to be booked in three- or four-night blocks and add food and beverage guarantees on top.

Glenda Brungardt, trade show and event manager for HP Imaging & Printing Marketing, told the Las Vegas Sun that the company had cut 12 percent to 15 percent of its show personnel because of rising costs. Hotel costs, she said, are the top complaint.

Some of the 140,000 people attending the show are beginning to chafe.

“Compared to the facility and service, the price is too high,” Vivian Davis of Shanghai, China, told KVBC. “Others say the prices of Las Vegas hotel rooms are on par with places like Berlin or Frankfurt.”

The Las Vegas Convention and Visitors Authority said in a statement that it was listening carefully “to the concerns of trade show partners.” It said it was in discussions with hotel industry leaders and CES representatives.

CES organizers said the show would be back next year but said they were planning to pursue new, less expensive arrangements.

By Jesse Corona of NBC affiliate KVBC with Alex Johnson of msnbc.com.

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