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New York gambling regulators have advanced a pair of proposed rules that could change how sportsbooks and other licensees market to customers and respond to signs of gambling harm.
The New York State Gaming Commission voted unanimously Friday to move forward with a proposal that would bar gambling operators from using AI or other automated tools to tailor promotions or recommend products to customers. The commission also approved a separate proposal that would require mobile operators to step in when account activity suggests a customer may be at risk.
Both measures now go to a 60-day public comment period before they can return to the commission for possible final action.
Proposed AI marketing limits would reach sportsbooks and other licensees
According to the proposal, the AI-related restriction would apply across a wide swath of New York gambling licensees, including casinos, sportsbooks, racetracks, lottery courier services, video lottery gaming agents, mobile betting operators, and sports betting sites.
For sportsbooks, that would mean they could not recommend specific bets based on a customer’s betting history. Operators could still offer promotions to their full customer base and could create multiple offers shown at the same time or at different times.
The proposal would still allow AI-driven tools for consumer protection, anti-money laundering, age verification, and responsible gaming purposes.
The fact pack also notes a narrower carveout for horse racing operators. They could present suggested wagers only through a separate app that a user downloads and opts into, based on that individual user’s history. That app could not be offered to self-excluded individuals and could not include promotions.
Second proposal would require intervention when behavior crosses risk thresholds
The commission also advanced a measure aimed at identifying and responding to possible problem gambling behavior.
Under that proposal, operators would need to flag accounts that meet certain thresholds, including large deposits, heavy wagering, increased login time, repeated attempts to start self-exclusion without completing it, repeated betting-limit increases, canceled withdrawals, ending sessions with less than $1, or deposits from multiple sources.
The thresholds listed in the source material include deposits of $10,000 in 24 hours, $100,000 over 90 days, and wagering of $1 million over 90 days. A 50% increase in login time during one week compared with the prior two weeks could also trigger review, as could opening but not completing self-exclusion three times within 30 days.
Accounts that meet the criteria would trigger automatic feasibility reviews that could lead to email notices, education training, direct contact from a trained professional, or account suspension.
What New York bettors should watch next
These are still proposed rules, not final ones. The next step is the 60-day public comment process, after which the commission could take up the measures again.
If ultimately approved, operators would need to provide regulators access to customer account records going back at least seven years, or to the date the account was created if earlier. Technological systems would also be audited, and internal changes would have to be provided at least 30 days in advance.
The proposals follow Gov. Kathy Hochul’s 2026 State of the State address, where she said she wanted to limit problem gambling cases statewide. As the rulemaking moves forward, New York players should watch for any changes to the final language, including whether an opt-out option appears in the AI promotion rule.
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Source: As reported by casino.com.
