New York moves to restrict AI betting promotions
New York gambling regulators have advanced proposals that would restrict sportsbooks from using artificial intelligence to personalise betting promotions and require operators to intervene when customers show signs of potentially harmful gambling.
The New York State Gaming Commission unanimously advanced the proposals, although the measures remain subject to public consultation and have not become law.
Under the proposed rules, licensed betting sites and their technology partners would face restrictions on using AI, machine learning and automated profiling systems to analyse customer information for personalised gambling promotions.
The restrictions would cover tailored bonuses, betting recommendations, promotional messages and other offers designed to encourage gambling activity.
US gambling sites in New York would also be prohibited from recommending particular wagers, bet types or betting amounts through the affected systems.
However, the proposed restrictions include an exemption where customers provide consent, potentially allowing some personalised services to continue.
A separate proposal would require sportsbooks to identify customers displaying indicators of problem gambling and designate an individual responsible for engaging with those customers.
The approach would place greater responsibility on operators to respond directly to concerning gambling behaviour rather than relying entirely on automated monitoring or general responsible gambling messages.
Commission chairman Brian O’Dwyer has also raised concerns about customers moving between licensed sportsbooks after being restricted by one operator.
The issue has prompted discussion about whether betting companies should share information that could help identify potentially harmful gambling across multiple platforms.
New York has one of America’s largest regulated mobile sports betting markets, with operators including FanDuel, DraftKings and BetMGM competing for customers.
The proposals could significantly affect how those businesses use customer data for marketing, retention and responsible gambling interventions.
The commission has not announced a final implementation date, and the rules could change following further consultation.
