The Pulse
Massachusetts to Evaluate Sportsbooks’ AI Practices
The Massachusetts Gaming Commission plans to examine AI use across the state’s licensed sportsbooks after a New York Times report alleged DraftKings used a model to target customers with promotions. The review follows an earlier commission-
AI.info Team · Written with AI ·
Massachusetts plans review of sportsbook AI
On September 24, 2026, the Massachusetts Gaming Commission said it would evaluate how sports betting operators use artificial intelligence and machine learning. The announcement followed a New York Times report alleging that DraftKings used AI to identify customers likely to respond to promotions and then lose money. The commission has not determined that DraftKings committed wrongdoing.
Covers reported that the Times investigation drew on interviews with more than 40 former DraftKings employees, internal company communications and customers’ betting records. The Electronic Frontier Foundation’s account of the report says DraftKings used customer betting records to train a machine-learning model and send targeted promotions to selected users. Those are allegations in reporting, not findings by Massachusetts regulators.
Massachusetts Gaming Commission Chair Jordan Maynard said the agency wants to understand the situation before deciding whether further action is appropriate.
“These AI technologies are evolving rapidly across our society and we share the concerns over their application.”
Maynard, the commission’s chair, made the statement in comments reported by Covers.
The review follows an earlier study
The commission’s interest in AI predates the DraftKings report. Covers said the MGC had commissioned a study through the University of Nevada, Las Vegas’ International Gaming Institute, examining AI use in promotions, player acquisition, responsible gaming tools and player health. The study was released in November 2025 and recommended creating an AI task force, according to Covers. Its stated subjects are part of that earlier research, not a list of questions the commission has specifically announced for the new review.
The commission formed the task force after the study identified a “governance gap” between advances in AI and existing company practices and regulatory guidance. The task force is led by MGC Executive Director Dean Serpa, Covers reported. Commission staff plan to speak with DraftKings about its use of AI and machine learning, including promotional practices, as part of the fact-finding.
The new evaluation is not limited to DraftKings. The MGC said it would examine AI use by all licensed sports betting operators in Massachusetts. Depending on what the review finds, the commission could consider additional guidelines or regulatory measures. It has not announced a penalty or a finding against DraftKings.
DraftKings describes separate customer initiatives
On September 14, DraftKings announced several responsible-engagement initiatives. The company said these include Gamalyze American Football, developed with Mindway AI, and custom cool-off periods customers can choose in lengths ranging from three to 364 days. DraftKings Chief Responsible Gaming Officer Lori Kalani said the company had continued investing in tools and resources intended to give customers more information about their play and more options for managing engagement.
Those company-announced initiatives are distinct from the commission’s review. The review concerns how licensed operators use AI and machine learning; the commission has not said that DraftKings’ new cool-off options or Gamalyze experience are subjects of its inquiry. Nor has it said what, if any, new regulatory steps might follow its fact-finding.