Gaming Sector Wire

AI chatbots drive black-market betting

A Dutch study found that 10 AI assistants each named an unlicensed gambling operator, with some mislabeling illegal brands as licensed. An earlier UK investigation reported chatbots linking users to offshore sites outside GamStop. A BetGoodwin executive says licensed operators face unfair competition.

A study published this month in the Netherlands tested 10 AI assistants and found each named at least one unlicensed gambling operator. Some also incorrectly described illegal brands as licensed. The findings follow a UK investigation in March that reported chatbots directing users to offshore gambling sites operating outside the GamStop self-exclusion scheme.

Ben Head, chief operating officer at BetGoodwin, said AI assistants are becoming a first stop for people seeking betting advice. He warned that unlicensed sites can receive free distribution when AI tools treat them like licensed operators or present them as legitimate. He said marketing that highlights no ID checks and faster payouts overlooks protections such as affordability checks and self-exclusion that licensed operators must provide.

Head called for AI platforms to be held to the same standards as search engines and social media on illegal gambling, including checking brands against a regulator's licence register. He also said operators should monitor how AI tools describe their brands and report unlicensed recommendations so regulators can act. Unlicensed sites can put personal and financial information at risk, he added.

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