DRAFTKINGS USES AI TO TARGET PROBLEM GAMBLERS

The EFF investigation reveals DraftKings leverages machine learning algorithms to analyze user activity patterns—including betting frequency, session duration, and spending patterns—to classify players by gambling risk levels. The company then uses these classifications to target high-risk users with personalized promotions designed to increase engagement and revenue. This practice raises significant ethical and regulatory concerns. Consumer advocates argue that using AI to identify vulnerable individuals and deliberately increase their exposure to gambling contradicts responsible gambling principles. The targeting appears particularly problematic given that problem gambling affects millions of Americans and carries documented harms including financial ruin and addiction. DraftKings' approach exemplifies how behavioral targeting technology, originally developed for commercial advertising, extends into potentially harmful territories. The company has not publicly commented on these specific practices. Regulators and lawmakers are increasingly scrutinizing such AI applications in the gambling industry.