A pair of researchers from the University of Florida and the University of Nevada, Las Vegas have pondered the implications of AI use in the gambling industry, weighing the risks, implications to consumer safety, and how a no-man’s-land state of regulation could hinder the positive impact the technology could otherwise have on improving player safety.
UF researcher Nasim Binesh, PhD., MBA, an assistant professor in the UF College of Health & Human Performance’s Department of Tourism, Hospitality & Event Management, and her colleague, Kasra Ghaharian, PhD., the director of research for the University of Nevada, Las Vegas International Gaming Institute, have co-authored a study called International Journal of Hospitality & Tourism Administration.
The scope of the study is to identify the ethics and risks of using AI in the gambling industry, which, according to Ghaharian, could easily take a dangerous turn.
"AI systems, which are designed to optimize profit, could identify and target players susceptible to addiction, pushing them deeper into harmful behaviors," he cautions. Binesh shares this concern and argues that there is a need for "immediate action" when it comes to addressing the risks of AI use in gambling.
"The potential for AI to exacerbate gambling harms and exploit vulnerable individuals is a stark reality that demands immediate and informed action," Binesh adds. This opinion is also shared by Casino Guru’s Head of Data and Complaints, Matej Novota:
"While AI can be instrumental in identifying harmful gambling patterns and enabling timely interventions in regulated markets, it can also be exploited to target vulnerable individuals with personalized promotions and incentives, exacerbating addictive behaviors," Novota says, similarly leaning toward the regulatory aspect of the technology’s adoption.
"The key lies in how AI is implemented and regulated. With ethical practices and robust oversight, AI can serve as a valuable tool for harm reduction. Without such measures, it risks becoming a mechanism for exploitation, prioritizing profits over player well-being," Novota wrapped up.
Binesh similarly worries that without the proper form of oversight, the tools that are powered by AI to analyze player behavior, or even spot early signs of addiction, could become conduits of further harm in the industry. "Ironically, the lack of AI regulation could stifle the very innovation it seeks to foster," she cautions about the future.
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