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AI and Gambling: How Personalization Is Changing the Game

30 September 2026

Gambling platforms are leveraging advanced machine learning to personalize experiences and keep users engaged, according to a new study published in the Journal of Behavioral Addictions.

The study, conducted from 2021-2024, reports targeted rewards are a central strategy. "Our data suggests platforms often present incentives when a player is about to log off or has just experienced a losing streak," the researchers explain. These offers may include free credits, bonuses or promises to boost engagement while potentially reducing playing time and overall bets.

The Reality of AI Adoption

While personalized offers are becoming more sophisticated, UNLV's gaming industry survey THEAiR suggests gambling firms might be exaggerating their AI capabilities. THEAiR found only 6% of surveyed companies had fully autonomous AI systems in production, though 82% reported experimenting with predictive algorithms.

The potential for AI to create more compelling experiences continues to transform user behavior. In 2024, researchers analyzed spending patterns among UK users who received AI-generated rewards. "AI-triggered offers led to users placing earlier stop-loss bets, experiencing occasional losses, and using bonuses to increase subsequent wagers," lead researcher Michael Webster noted. "Gamified incentives appeared to disproportionately affect frequent players."

DraftKings has faced scrutiny regarding the intensity of these incentives. A 2023 program used machine learning to assess users' responsiveness to offers and applied 'elasticity scoring' to determine reward amounts. "When a user responded positively to enhanced offers, the system would classify them as high elasticity," a company representative stated. Some users whose losses increased received additional promotions.

More on this is available via live casino games online.

The company maintains these users were monitored through multiple safeguards. Independent investigations between 2024-2025 revealed sportsbooks tracked dozens of gambling risk indicators. DraftKings asserts it doesn't offer promotions to at-risk customers, but critics argue current measures remain inadequate.

"The issue extends beyond AI-powered recommendations," warns Gambling Awareness UK. "When reward systems appear tailored to individual play patterns, they risk manipulating vulnerable players." THEAiR notes AI features evolve rapidly while responsible gambling guidelines develop slowly.

Researchers call for stronger oversight of these systems. "The use of behavioral targeting is more prevalent in gambling than other entertainment sectors," the study notes, highlighting particular concerns regarding susceptible players. Experts suggest regulated markets must better account for AI's accelerating influence on reward mechanisms.



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