• Barry Diller says he tried to buy all of MGM because real-world experiences like a trip to Las Vegas are a strong hedge against AI.
• He said the deal fell apart because he didn't want to take on debt or raise money from third parties.
• Diller spoke to Chief Correspondent Peter Kafka at Business Insider's The Long Play.

Media mogul Barry Diller thinks businesses that operate in the real world have a strong protective moat against AI.

That was the inspiration for his company People Inc.'s June bid for MGM Resorts International's casino and hotel business, which he called "forever assets."

As some consumers turn to AI chatbots to complete tasks like buying plane tickets or managing subscriptions, digital-only businesses could get boxed out. That creates real risks for internet brands like Expedia Inc., where Diller is an investor and board member. It's less of a problem for companies whose businesses exist in the real world, he said.

Nothing is going to replace Las Vegas, Diller said — and no one's going to buy another one. Gaming is only part of the equation, he said.

"No disintermediation is coming between a person who wants to go to a place, and that place," he said, speaking to BI's Chief Correspondent Peter Kafka at Business Insider's The Long Play event in New York on Thursday.

People Inc. first took a 27% stake in MGM in 2020. The company, which operates magazines such as Food & Wine, People, and Southern Living, later offered to buy the Las Vegas brand outright in June but withdrew its bid in September.

Diller said the deal fell apart after he became uncomfortable with the proposed structure, which involved taking on debt and asking third parties for money.

MGM later offered to buy People Inc. instead, but told investors on Wednesday that it had shelved the plan. Diller said it was "highly unlikely" that MGM was interested in People's magazine assets, but rather it had hoped to buy back People's MGM shares.

People remains MGM's largest investor, though it has agreed not to buy more than a 29.9% stake in the company and to vote with MGM's board in connection with a change-of-control transaction.

People, which, beyond its magazine portfolio, also owns stakes in The Daily Beast and the car-rental company Turo, laid off 195 workers on Thursday, per a memo from CEO Neil Vogel, which Business Insider viewed. The vast majority of impacted staffers worked on its "print and legacy web businesses," the memo said. The company has "added 320 new employees so far in 2026," it said.

Diller told Kafka that the layoffs were a sign of a healthy company that has a profitable print business in a "steady kind of decline."

"We've been transferring out people in these legacy businesses and transferring in people to do the new work," he said.

Diller is a longtime media operator. He served as chairman and CEO of Paramount Pictures in the 1970s and 80s, before joining Fox Inc. and helping to start Fox Broadcasting with Rupert Murdoch in the mid-1980s. He then worked at QVC before serving as CEO of IAC and taking on roles at Expedia Group. He is on the board of directors at MGM.

• I live in Las Vegas, and the city often feels like it was designed to take money from tourists.
• ATMs on the Strip often charge steep fees, and parking can be costly if you don't do your research.
• Many things, from toiletries to clothing, tend to be more expensive in the casinos.

Las Vegas is one of the most popular tourist destinations in the world.

And, in a lot of ways, it's designed to take your cash. From the moment you step off the plane, you're greeted with the flashing lights and glitzy promise of easy money topped with a good time. Just put a dollar or 10 into the slot machines, and all your dreams might come true!

I've lived here for almost 20 years, and the first thing you learn as a local is that the house always wins. The second thing you learn is how to make sure it doesn't win everything.

Here are a few things I think tourists should stop wasting money on when they visit Las Vegas.

ATMs on the Strip can have really high fees.

No one should come to Vegas without a plan, and that includes a gambling budget.

It's rare for someone to walk through the winding maze of slot machines and not feel inclined to drop a few dollars. It's like an adult video game that often comes with free drinks.

But the last thing you want is to find yourself in the middle of a gambling streak without any cash. Many casino ATM fees hover around $10 a transaction, but I've also seen worse.

Instead, stop by an ATM or a bank off the Strip. It might seem inconvenient, but between resort fees, room taxes, and inflated prices, the last thing you want is to lose money by simply taking out cash.

You'll probably be paying a premium if you buy a drink at the first bar you see.

In my experience, if the bar is conveniently located, you're probably going to pay too much for the drink. Even inside the casinos, the bars closest to the lobby will often be more expensive than others tucked in the back.

For example, in the same section of a casino, I once found two vendors selling nearly identical frozen cocktails, but the one closer to the action had prices double the other's.

So, before ordering, walk around a bit and see if you can find a better deal.

And if you have the time, play a few dollars at the slots and wait for the cocktail server. Most casinos offer free drinks if you're actively gambling.

Getting advanced tickets for shows is often way pricier than waiting until the day of.

Vegas is known for its broad selection of world-class shows. From Cirque du Soleil to any number of all-star residencies, there's no shortage of killer entertainment on the Strip.

However, that doesn't mean you have to pay full price for tickets. In fact, given how unpredictable a day in Las Vegas can be, waiting until the last minute has its perks.

Kiosks along the Strip often offer unsold, day-of tickets for around half the original price. Plus, several websites and other vendors have similar deals with casinos and entertainment venues.

This requires some flexibility and risk — not all shows have unsold tickets or offer lower prices every day. However, if you don't mind some uncertainty and love a good deal, it's easy enough to find cheap seats not long before a show starts.

Clothes, toiletries, and other essentials tend to cost a lot more on the Strip.

Whether you're looking for designer duds or a toiletry you forgot, you'll be able to find it in Vegas.

There are tons of shops conveniently located near every major casino property and all along the Strip.

However, at a lot of these places, you may find yourself paying a premium for basics and items that aren't that special. For example, I've seen a four-pack of Motrin for $5 and a not-officially-licensed Las Vegas Raiders jacket going for $150.

So, pack your essentials from home whenever possible and be vigilant when you browse. And, if you want to do some shopping during your trip, head just north of the Strip to the Premium Outlets for better deals.

Parking fees can really add up.

For years, casinos didn't charge for parking in their garages — and some still don't. So knowing which ones do can stop you from wasting money.

Additionally, it might seem like renting a car is the way to go to save on rideshare or cab fees. However, if you don't pay attention, you could easily spend way more on parking for a day than on a few rideshare trips.

Before you head to Vegas, definitely research parking garages and do a little math to see if it's even worth having a car.

This story was originally published on January 6, 2024, and most recently updated on October 26, 2026.