Study: AI Adoption Can Improve the Accuracy of Bookmakers’ Odds by 22%

The Australian Communications and Media Authority (ACMA) has published a study on the use of artificial intelligence (AI) in the gambling industry, identifying four main areas of application among bookmakers.

The first is odds setting. Algorithms analyse data such as player injuries and weather conditions, enabling operators to update markets in real time. Betfair Australia reported a 22% increase in odds accuracy following the adoption of AI.

The second area is personalisation. Systems tailor offers to individual users based on their behaviour. Tabcorp generates daily personalised promotions and betting options, while Sportsbet displays different events and odds depending on customer interests.

The third is the development of new features aimed at improving user experience. Sportsbet has introduced tools that provide horse racing insights, as well as a customer support chatbot that automatically handles more than one-third of enquiries, with about 94% accuracy. Ladbrokes has launched the Form Genius service for statistical queries, while bet365 uses AI to develop new types of bets.

The fourth area is risk and fraud control. AI systems analyse player behaviour to detect signs of problem gambling, as well as suspicious transactions. Tabcorp uses solutions from Mindway AI, which identify up to 87% of high-risk gambling cases.

The report also notes that players are increasingly using AI tools to analyse matches and identify betting opportunities, potentially leading to overconfidence in predictions.

According to H2 Gambling Capital, Australia’s online gambling market was worth about $12.45 billion in 2024, with roughly 70% attributed to betting. Around one-third of adults in the country placed online bets over the past year.

Earlier, Gambling Park reported that AI-based chatbots have been recommending illegal online casinos to users and advising them on how to bypass safeguards designed to address problem gambling.