Will The AI Growth Impact Online Casinos?

What AI Does Best

Artificial intelligence specializes in repetitive tasks that do not require much interpretation. For that reason, it is often used effectively to produce simple lines of code or proofread written communications.

Obviously, these are both applications that could be integrated into any online business’s processes.

AI can also handle tasks that involve variety but have core criteria that don’t change. For example, HR or CX. In both cases, individual experiences will vary. Ten different people may each have a unique customer experience-related complaint. As long as the AI can reference company policies that relate to those issues it will be able to produce a relevant response.

The most direct and obvious way that online casinos can implement AI is by automating processes that previously required human effort.

Obviously, striking a balance between convenience and personalization is key. No one has managed to come up with a definitive idea of what that looks like yet. On the one hand, most customers appreciate avoiding call-centers or frustrating wait times with virtual agents.

On the other hand, how many of us type in “Speak with a real human” the moment we realize we’ve come across a CX bot?

Ultimately, that’s a discretionary choice. Many online businesses are blending their experience. AI for the simple stuff and real people, now with more time on their hands to handle escalated tickets.

Good, right? But not necessarily anything that will radically change the way people experience virtual casinos.

There are potential AI applications in the world of virtual gaming that could move the needle a bit more.

Fraud Detection

Counting cards is said to cost casinos millions of dollars every year. In some ways, this method of manipulating blackjack is actually harder to detect online than it would be in a land-based casino. Players who are meeting around a physical table need to worry about not just the bets they make but the way they present themselves.

Online, the experience is much more straightforward. They can focus on their count without worrying if the dealer sees that they are nervous or has noticed that they seem to play with the same people all the time.

And if you’re wondering—can people even count cards in online blackjack? The answer is yes. It’s particularly possible in games with a live dealer, but it can happen in other scenarios as well.

While counting cards is not illegal, it is generally against a casino’s terms of service.

There is also a pretty wide community of people who try actively to cheat at online roulette. “Roulette computers,” track wheel data and use algorithms to help people make more informed bets. Do they really work? It’s debatable, but one thing is for sure: Most online casinos would prefer to keep people from giving it a try.

Using algorithms it could be much easier for casinos to flag unusual behavior and freeze accounts that appear to be cheating.

Concierge-Style Service

A potentially interesting application of casino AI lies in artificial intelligence’s ability to recognize patterns. A well-calibrated artificial intelligence algorithm could recognize player behaviors and make customized recommendations.

A “concierge,” style AI-bot could potentially replicate the bespoke experience that players often receive in high-end land-based casinos. It might be able to direct the player to incentives that they qualify for or recommend games.

It could even be used to encourage responsible gaming. Most online casinos—the reputable ones, at least—take this very seriously. An AI bot could be programmed to recognize the patterns of irresponsible or erratic betting and reach out with customized responses to players who are demonstrating risky behavior.

How Heavy Should AI Be Used?

The problem, of course, is that artificial intelligence makes a lot of mistakes. AI “hallucinations,” as they are often called muddle processes and frustrate users. Perhaps they are acceptable if you are using ChatGPT to plan a trip, cross-referencing its responses with better sources.

It’s not so ok when it influences the way a business interacts with its customers. To date, AI’s progress hasn’t even been linear. The quality of responses can depend on uncontrollable variables like how many people are using the application or what data set the platform is using. That’s why regular ChatGPT users often report that quality varies radically from day to day.

If you were running a business where sometimes one of your employees is on the ball and other times he tells customers to eat rocks, how would you handle the situation?

Moderate AI use can improve efficiency and cut back on costs. For now, however, consumers still value personalized service provided by real humans.

Paulius Narkev writes about new technology and society