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REGULATION 60-second read

DraftKings denies targeting addicts as Maine & Massachusetts watch

Published: 1 min read
An empty state regulatory office at dusk with rows of plain wooden desks & a bare lectern.

Massachusetts regulators have opened an investigation into DraftKings’ use of AI.

The hit

Maine’s Gambling Control Unit says it is monitoring how sports betting apps use AI, after a New York Times investigation alleged DraftKings used machine learning to target likely-to-keep-gambling customers with promotions. The regulator told the CBS13 I-Team it has no Maine laws or rules specifically addressing AI. DraftKings is one of the state’s two licensed mobile sportsbooks.

Why it matters

For bettors, it raises the question of whether promotional offers are shaped by behavioural data rather than simple marketing. Former DraftKings employees reportedly told the Times they feared the technology could harm people struggling with addiction. The reporting has prompted Massachusetts regulators to open an investigation into the company’s AI use.

The record

Maine AI rules None currently in place (Gambling Control Unit)
Proposed state action Maryland governor calls for law banning algorithmic targeting of problem gamblers
DraftKings’ response Denies using AI to target customers based on losses (statement to NYT)

What happens next

Watch whether Maryland or other states pass laws restricting algorithmic targeting of problem gamblers.

Sources: Maine regulators monitoring AI use by sports betting apps after DraftKings allegations

Named in this story? Reply to newsdesk@infobets.com & we publish it.

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