Massachusetts Gaming Commission Asks For AI Answers in Letter to Operators
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The Massachusetts Gaming Commission has sent a letter to each of its licensed Massachusetts sports betting operators requesting answers to questions regarding the use of artificial intelligence and how the technology is utilized in marketing, promotions, customer engagement, and assessment of proble
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- The Massachusetts Gaming Commission has sent a letter to each of its licensed Massachusetts sports betting operators requesting answers to questions regarding the use of artificial intelligence and how the technology is utilized in marketing, promotions, customer engagement, and assessment of proble
The Massachusetts Gaming Commission has sent a letter to each of its licensed Massachusetts sports betting operators requesting answers to questions regarding the use of artificial intelligence and how the technology is utilized in marketing, promotions, customer engagement, and assessment of problematic or addictive gambling behavior in its customer base.
Executive Director Dean Serpa issued the letter to each licensed Commonwealth sports betting operator on Oct. 9, with a deadline for answers by Tuesday, Nov. 3.
Last month, MGC Chairman Jordan Maynard announced the commission would begin evaluating each licensed Massachusetts sports betting operators’ use of artificial intelligence and how it affects its Massachusetts customer base. The decision to do so was based on a New York Times report in which it investigated DraftKings’ use of artificial intelligence and machine learning, alleging the company used the technology to intentionally target gamblers likeliest to lose.
Each of the Commonwealth’s licensed sports betting operators received a copy of the letter. Serpa and the MGC requested specific written responses to questions regarding the use of artificial intelligence and machine learning and how it relates to several aspects of their business.
Serpa noted in last week’s MGC meeting that its sports wagering division already started reviewing each licensed sports betting operators’ privacy policies, required disclosures related to the use of machine learning, as well as its internal controls related to artificial intelligence.
The letter is separated into eight sections, each requesting specific information on an operator’s use of AI and machine learning for the following topics:
Included in the letter is a question directly asking each operator if its systems can “trigger a promotion or marketing communication based on a patron’s recent betting activity, losses, deposits, or other account activity?” This question likely stems from The New York Times report in which several ex-DraftKings employees noted the company used artificial intelligence and machine learning systems to identify customers who would be most likely to respond to gaming promotions and most likely to lose.
The report included interviews with more than 40 former DraftKings employees, internal research memos, Slack messages, and betting records from customers.
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