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New York gaming regulators are pushing online sportsbooks to tighten responsible-gaming protections on two fronts: how they use AI and how they share player-risk data. The New York State Gaming Commission unanimously advanced a revised proposal that would restrict personalized promotions and wagering recommendations, while also warning operators to address gaps that let restricted bettors continue wagering elsewhere.
Commission Chair Bryan O’Dwyer said the industry needs to solve the data-sharing problem or risk a commission-imposed fix.
Revised proposal would curb AI-driven sportsbook personalization
According to the commission, the revised proposal would limit sportsbooks, affiliates, and vendors from using AI and other automated tools to analyze customer data and personalize promotions, bonuses, odds, betting limits, messages, and product recommendations.
The proposed rule would also bar operators from suggesting specific wagers, bet types, and amounts, and from using promotions to increase spending, engagement, or revenue. The measure would not apply to customers who consent.
The original AI proposal was part of a broader regulatory package Gov. Kathy Hochul released in March aimed at underage gambling and marketing to at-risk customers. The commission has directed staff to gather more expert input on AI and gaming, and it did not set a date for a final vote or implementation.
Regulators want sportsbooks to share player-risk information
The commission also highlighted what it sees as a major responsible-gaming gap: a customer restricted by one sportsbook can still place bets with any of the other seven licensed operators because there is no uniform data-sharing system in place.
Operators including FanDuel, DraftKings, BetMGM, Fanatics, and Caesars were given an opportunity to develop a shared solution. O’Dwyer warned that the industry is expected to act.
> “The industry is on notice by me and this commission that they need to solve this problem,” O’Dwyer said.
For New York bettors, the proposal is worth watching because it could change how sportsbooks tailor marketing and recommendations, and whether operator restrictions follow a customer across multiple licensed apps. The commission has not announced when it will take up the revised rules for a final vote.
If you gamble, set limits and use responsible-gaming tools available through your sportsbook.
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Source: As reported by Brad Senkiw.
