Game Changing Technology and Regulations: How AI is Reshaping Online Sports Betting and What the U.S. May Do About It
By: Chelsea Mojica
Since its legalization, online sports betting has made its mark on professional sports.[1] Sports betting is an activity that allows gamblers to predict the outcomes of future sporting events in conjunction with monetary wagers.[2] Bookmakers—teams comprised of sports experts, analysts, and statisticians—set the initial betting odds for the public, relying on complex mathematical calculations, statistical models, and historical data.[3] The lower the probability of an event happening, the bigger the potential monetary reward.[4] When the sporting event begins, the odds may fluctuate, similar to the stock market.[5] However, odds can lack uniformity among sportsbooks, allowing bettors to receive more cash rewards through some sportsbooks than others.[6] Consequently, AI has integrated itself into the betting world in an attempt to expedite and protect an arduous odds-making process.[7]