Home News Massachusetts Gives Seven Sportsbooks Until November 3 to Explain AI Marketing
Massachusetts Gives Seven Sportsbooks Until November 3 to Explain AI Marketing
According to the MGC’s official letter to sports wagering operators, the regulator wants to understand how automated systems influence customer-facing decisions. Operators must identify the AI models, algorithms and third-party technologies used in their marketing activities.
The eight areas examined include customer data, promotional selection, marketing frequency, behavioural targeting, responsible gambling safeguards and human oversight.
Serpa wrote:
At this time, we are requesting your voluntary participation in this request.
The request follows the Commission’s earlier review of DraftKings’ AI use and sportsbook promotions. However, the latest development expands the inquiry to all licensed sports wagering operators rather than focusing on an individual company.
Customer Losses and Betting Behaviour Face Scrutiny
A central concern is whether promotional systems respond to potentially harmful gambling patterns. The MGC wants operators to explain whether increased losses, frequent wagering or higher deposits make customers more likely to receive personalised offers.
It is also examining whether automated systems determine the timing, frequency and value of promotions based on previous betting activity. These questions reflect broader industry concerns addressed in ROGA’s voluntary marketing and advertising standards, which restrict targeted marketing towards customers identified through responsible gambling protocols. The Commission has not announced violations or penalties against the operators involved.
Human Oversight and Third-Party AI Under Review
The letter also requests information about how operators supervise automated marketing decisions. Companies must explain whether employees can review or override AI-generated recommendations and identify which decisions are made without human intervention.
The regulator is also examining safeguards provided by external technology suppliers. These questions align with the growing emphasis on accountability reflected in the Malta Gaming Authority’s AI Gaming Charter.
What Happens After November 3?
Operators have until 3 November to submit their responses. The MGC intends to use the information to evaluate existing practices and inform potential future policy decisions.
For sportsbook operators, CRM providers, and marketing technology suppliers, the inquiry highlights growing regulatory attention to automated customer targeting. No additional AI marketing restrictions have been announced as part of this information request.