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DraftKings Allegedly Used AI to Target Bonus Bets at Customers Expected to Lose the Most (www.gadgetreview.com)
submitted 6 days ago by to c/technology@lemmy.world
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The model examined play frequency, account balances, loss-to-wager ratios, and a separate estimate of whether a user was likely to stop gambling altogether, according to the Times. A higher score meant a customer was predicted to generate more revenue per promotional dollar spent.

Jayden Butts, a former DraftKings data analyst, described the underlying logic to the Times: “We are looking for traits and features that we can target that indicate a good investment.”

The best investment would be a problem gambler. (According to Jayden Butts, former DraftKings data analyst, to The New York Times)

DraftKings executives said data science and analytics improved promotion-driven sportsbook margins by 13% in 2025, and that AI helped personalize hundreds of millions of dollars in promotional spending, according to the Times.

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[–] [S] 85 points 6 days ago (17 children)

I don't think this is going to come as a surprise to any of the board regulars, but given the massive ad spend and the cultural push for people to normalize gambling as part of the gameday experience, it's important to remember that these companies are bad actors and you shouldn't gamble with your money.

Put it in your retirement instead.

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  • [–] 31 points 6 days ago* (last edited 6 days ago) (12 children)

    Just read an article that explains that people are gambling because working no longer even pays the bills.

    If they had money to put into retirement, they would; they are gambling because they don´t and know they never will.

    Draft Kings is offering them better odds than life is.

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  • [–] 27 points 6 days ago (4 children)

    I assume you’re being hyperbolic. There’s no world where gambling is more likely to pay the bills than working, even if the value proposition of working is so bad right now. Gambling is always worse.

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  • [–] 34 points 6 days ago

    Factually? You're right. The problem is, "work isn't paying the bills anymore" is also true for a lot of people. So they're looking for any solution they can. I'm not saying this is a good solution. I'm just saying it's all they have.

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  • [–] 24 points 6 days ago* (last edited 6 days ago)

    It's the world where you have a one-in-a-million chance to win the lottery but exactly a zero percent chance to retire while working full time but still accumulating credit card and medical debt and barely making rent every month.

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  • [–] 5 points 6 days ago

    yeah over a group. The thing is the investment definately will not meet needs. I have been doing the math on my retirement for many decades and it did not work out even when times are good and now its worse. Gambling has a non zero chance of meeting all needs if the pot is big enough. I get why people get desperate. Heck I used to buy a lottery ticket here and there back when it was a relatively paltry amount relative to my income.

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  • [–] 5 points 6 days ago (2 children)

    Link?

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  • [–] [S] 3 points 6 days ago* (1 child)

    Sadly, for much of the US, this is a fact. The cost of living has just gotten that bad, and neither ruling party shows any real intention to change it. (As evidenced by the last six years.)

    Maybe the post should say instead: "If you have the money to gamble, put it in your retirement instead."

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  • [–] 6 points 6 days ago (2 children)

    You know how I gamble? Once every 5-10 years I'll put $100 in a slot machine. I play until I'm broke or at $500. Then I walk away.

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  • [–] [S] 2 points 6 days ago (1 child)

    I've gone to Vegas a couple of times. I usually go during football season and bet MNF, and that's it. If I win, I get well-lubricated and the casino gets their money anyway.

    If I don't, I buy a show ticket and go enjoy that.

    Gambling's just a waste, really.

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