In Spain, the Directorate General for the Regulation of Gambling (DGOJ) has announced an ambitious upgrade to its artificial intelligence (AI) surveillance system, intended to enhance the monitoring of online gambling activities. This initiative, backed by the Spanish Ministry of Consumer Affairs, aims to incorporate over 60 behavioral and transactional indicators to identify patterns associated with risky gambling behavior.
Introduced as a part of the broader effort outlined in the 2023 Royal Decree on Safer Gambling Environments, the DGOJ’s project is designed to deliver early warnings of potential gambling-related issues. This will enable gambling operators to intervene with personalized support measures before problems escalate. The decree tasked the DGOJ with developing innovative tools to mitigate the harm associated with gambling, reflecting a growing concern over gambling addiction and its societal impacts.
Officials have lauded the system as potentially setting a new standard across Europe, aspiring to be the most advanced model for gambling oversight within the European Union. This ambitious goal underscores Spain’s commitment to leading the continent in responsible gambling practices.
Central to the project’s technological foundation is the machine learning algorithm XGBoost, which analyzes a variety of data points to detect risky behavior. This includes examining session frequency and intensity, the nature of betting following wins or losses, and trends in deposits and withdrawals. The system will also consider cash-out habits, streaks of consecutive days played, and preferences for live betting, which has been identified as a particularly high-risk category due to its rapid pace and impulsive appeal.
To ensure the effectiveness and comprehensiveness of the system, the DGOJ has opened a public consultation until September 25. This allows stakeholders—ranging from gambling operators and technology companies to researchers and concerned citizens—to provide insights and feedback on both the technical and legal aspects of the model. The regulator emphasizes the importance of a collaborative approach in refining the system to address the complex nature of gambling behavior.
Despite the ambitious scope of the project, some concerns have been raised regarding its coverage and implementation timeline. Notably, the AI system will monitor activities in sports betting, poker, and casino games but will not include lottery products offered by entities such as SELAE and ONCE—by far the most popular forms of gambling in Spain. This exclusion could limit the system’s overall impact, considering the significant market share these lotteries hold.
Additionally, while the 2023 Royal Decree provides a two-year window for the system’s development, the DGOJ has not yet released a detailed timeline for the beta testing phase or explained how risk scores will be standardized across different platforms. This ambiguity has led to some skepticism among industry observers about the project’s readiness and eventual rollout.
An industry insider expressed concern: Without a clear schedule, operators might find it challenging to prepare adequately. They suggested that transparency in the timeline could foster better collaboration and trust among all parties involved.
Conversely, others have noted the potential benefits of the system despite its limitations. A counterview emphasizes that even partial implementation can provide valuable data and insights, allowing operators to take proactive measures that could pave the way for broader adoption of similar technologies in the future. The primary goal remains to protect vulnerable individuals from the adverse impacts of gambling addiction, a challenge that transcends specific gambling products.
As Spain continues to refine its AI-driven gambling oversight model, the outcome of this public consultation and subsequent developments will be closely watched by regulators and industry players across Europe. The country’s efforts could serve as a catalyst for similar initiatives in other jurisdictions, shaping the future of responsible gambling practices on a larger scale.
In the broader market context, the gambling industry has been experiencing significant shifts. Online gambling, in particular, has grown rapidly, driven by technological advancements that offer more immersive and accessible gaming experiences. While this growth has created substantial economic opportunities, it has also heightened concerns about gambling addiction and the need for robust regulatory frameworks.
The integration of AI in regulatory systems marks a significant step forward in addressing these concerns. By leveraging technology to identify and mitigate risks proactively, regulators can better safeguard consumers while allowing the industry to innovate and thrive responsibly. As Spain takes this bold step, the lessons learned from its implementation can inform strategies worldwide, highlighting the balance between innovation and regulation in the gambling sector.
Garry Sputnim is a seasoned journalist and storyteller with over a decade of experience in the trenches of global news. With a keen eye for uncovering stories that resonate, Alex has reported from over 30 countries, bringing light to untold narratives and the human faces behind the headlines. Specializing in investigative journalism, Garry has a knack for technology and social justice issues, weaving compelling narratives that bridge tech and humanity. Outside the newsroom, Garry is an avid rock climber and podcast host, exploring stories of resilience and innovation.
