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June 16, 2020

How A.I is used in the Casino Industry

Introduction to AI

Artificial Intelligence works hand in hand with machine learning and refers to a program that can mimic human intelligence to sense, reason, act and adapt based on the available or collected data. Machine Learning works with AI by using algorithms that improve their performance through exposure to more and more data over time. Industries worldwide are adopting innovations in Machine Learning and Artificial Intelligence and incorporating them into their systems. Artificial Intelligence and Machine Learning are combined to emulate human behaviour when it comes to performing various tasks. The most popular applications of this technology can be seen with Amazon’s Alexa and Apple’s (News - Alert) Siri. The casino industry has always been at the forefront when it comes to adopting new technology and innovations. Artificial Intelligence is one of these technologies that has become a vital part of the gambling industry and has greatly ensured fairness, efficiency and improved user experience.

Artificial Intelligence in Casinos

This technology is quite powerful and efficient hence Artificial Intelligence has been adopted and incorporated for various varying functions in the casino industry. Below are some of the areas where AI has been applied and how it has impacted those areas.

Customer Service

These days many industries prefer the use of Chat bots when it comes to giving their customers adequate personalized help and targeted support. Most of these industries, including the casino industry, are adopting the use of AI for customer service efficiency. For instance, the finance industry is banking on AI to improve the customer experience.

Customer support is a necessity in the online gambling scene and consequently AI has been incorporated into online casino systems for this service. Chat bots are computer programs that emulate and carry out conversations, either verbal or via text. They simulate how an actual person would participate in a conversation. Many industries are adopting chat bots for their systems as this promising technology is cheaper than setting up an actual customer support team. For chat bots to work they adopt a feature of AI called Natural Language Processing (NLP), which uses algorithms to learn y extracting information from people’s spoken and written words. It forms the basis used for casino call centres and chat bots, analysing sentiments and social media listening.

However Chat bots can only deliver as much as they have learnt, hence they require access to a lot of user data in real time to be able to deliver a properly personalized experience within the relevant contexts. It is advised that when developing chat bots they should not only be centred on customer support but should be incorporated throughout the company, or casino in this case, to give them access to more data for a better interface.

Curb Cheating

It is quite common to hear of players trying to cheat when it comes to casinos, whether online or land based. Sometimes players attempt to cheat the system using unfair methods so as to improve their odds. In online casinos, curbing cheating as become had as the patrons can no longer observe players to determine who is cheating at the game. This is what has pushed a great many online casino brands to invest in Artificial Intelligence to help them curb cheating. This AI machine keeps records of data from each users gambling activities for some time, analyses the collected data and uses it to observe for cheating trends in the users gameplay. Over time the machine AI is able to determine players who are cheating by tipping odds in their favour and flagging them or suspending their accounts. The application of AI in this case has however been realised to not be as accurate as sometimes people hit a lucky streak, and there is no way of analysis and predicting luck patterns.


Machine Learning is a form of AI used to spot and flag fraud with credit cards or casino transactions as soon as it is happening. It does this by constructing predictive models of possible fraudulent credit card transactions and comparing real-time transactions to the models in this cache to determine fraudulent activity. If it spots any form of fraud, it is prompted to alert the relevant bank or retail outlet of the same. This form of AI is especially beneficial for online businesses such as online casinos that often fall prey to online fraud. In this instance AI becomes an extra layer of security that ensures payments match the transactions made for them.


For casinos to be allowed to operate, they have to be regulated and acquire the relevant licensing for their activities. With the influx in online gambling, regulation has become difficult. Online platforms can be accessed by anyone with the means up to and including minors. This is why many online gambling platforms attempt to limit their sign ups to only users who have attained the required legal adult age. Gambling addiction is also a major problem that has prompted the need for regulation and licensing. To make sure they are within the set regulations, Online Casinos incorporate AI into their systems to make sure their customers meet the required specifications and consequently prevent license termination and bad reputation. The machine also looks out for people with tendencies towards gambling addiction and alerts the casino, may advise the player or suspend their account. This has made it easier for online casinos to avoid legal trouble by handling possible issues in advance.

Collecting Data

Many casinos usually want to predict future trends to help them make strategies on how they can maintain house edge and stay at the forefront in the industry. To do this, they used market research teams to collect data from past and ongoing gambling activities which was slow, cumbersome and expensive. Incorporating Artificial Intelligence has made it easier for them to collect this data by carrying out analysis and putting out inferences from available user data. It does this by observing user data across social media platforms, their casino activities and tendencies to help casinos determine which of their games are the most popular and what services are most preferred. It also helps the casino quickly tailor customized user experiences for each user building customer loyalty as they are able to get exactly what they want out of this casino experience. This application of AI has seen casinos maintain and improve their revenues as they are able to satisfy their customer needs and preferences.

Gaming was one of the main target markets when developing Artificial Intelligence. Hence, it is only right that AI is being incorporated into the casino industry and it is quite the game changer. This technology is still developing and yet it has shown that it will most likely become a greatly relevant part of online gaming. AI has enabled the adoption of further technologies such as Virtual Reality and Augmented Reality that are revolutionising video gaming that is now a lucrative investment opportunity for investors. This technology however carries its own risks, such as when players are found to be manipulating the AI to win over the house edge. However, if properly employed, AI could be the most revolutionary innovation ever to be adopted by the online gambling industry.

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