The use of artificial intelligence in the gambling industry can be seen as using big data analytics techniques to gain an advantage in gambling games. The ultimate goal of using AI in casino game development is to accurately and reliably mimic the player’s decision-making process. The AI will also be able to ‘learn’ from its mistakes. So, if it makes a mistake, it can adjust its strategy going forward in order to minimize the probability of making that same mistake again.

As more and more casinos adopt this technology, though, there are some concerns about how the implementation of such technology will deal with issues of legality, control, and regulation. In gaming machine design, artificial intelligence has been applied for decades (e.g., game level design, game playing strategy). There are several reasons for which artificial intelligence is applied in a game machine:

1. Regulation:   

   In some countries, there is legislation that might be used to alter the source code of a gaming machine, for instance, to block or disable pirate games. An example of this is the UK’s Gambling Act 2005, where all gaming machines must have finite steps.

When implementing an application of artificial intelligence, there is always a risk that it will be deemed illegal if the implementation is not by a properly certified supplier. This applies to both hardware suppliers and software suppliers. Most countries have developed their own certification processes based on national regulations. And with set deadlines for which certification must be acquired. In the case when a supplier does not follow this process, there is a likelihood that their application will be deemed illegal or un-regulated by the gaming control body.

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2. Aesthetics & User Experience:

   In order to optimize the gameplay experience and make a game machine stand out from the competition, it is possible to improve the aesthetics of the user interface by integrating some features of artificial intelligence. An example of this is movement animations, which are more pleasant for some players than static ones. There are also more sophisticated examples: it is possible to use an integration of artificial intelligence in gaming machines for player profiling so that automated customization can be offered.

3. Gameplay strategies:

   As there is a great deal of data available on players, it is possible to develop gameplay strategies by using artificial intelligence to improve the probability of winning. Whereas a smart game program can change game options in order to optimize its own gameplay.

4. Gameplay interactions:

   Once a decision has been made and action has been initiated (e.g., a game has been initiated), the next step is to determine the best action to achieve the desired outcome. Artificial intelligence can be used for this purpose.

5. Computerized gaming:

   Virtual reality games are a new trend in gaming machines, and different virtual reality games will have different requirements.

6. Pattern recognition:

   Another new trend in gaming machines is creating new game designs that can be played by human beings in the form of a quiz. This requires, among other things, pattern recognition, so it is possible to use artificial intelligence for this purpose.

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7. Statistical analysis:

   Some gaming machines employ statistical analysis and pattern recognition, e.g., in order to adjust their betting strategy based on the previous outcome. Advanced statistical analysis (with hypotheses testing) can be used to based on player profiles.

8. Development:

   In order to develop a smart application, it is required to start with a clean, unaltered version of the game software. As stated above, this requires data from players. This needs to be recorded in a structured way. And also it demands periodic updating of this data. In addition, most countries have set development cycles for software applications. (e.g., the development of new customs declarations for online gaming software started in the UK in 2010). This means that smart applications need to be developed in a time frame that is compatible with the government’s schedule. And with the minimum deadline for registration.

9. Compatibility:

   The gaming environment is now changing constantly, and as a result, there are many new technologies, new games, new platforms, new players, and so on. How hard is it to guarantee that a smart application implemented in a gaming machine can still work at some point later on? What about compatibility with other kinds of games? There may be limitations to some of these features. For example, there are some countries that do not permit a gaming machine to have group registration features (e.g., Spain). Or the game software may need to be updated based on new regulations introduced over time and so on.

In general, the application of artificial intelligence in a gaming machine is not limited to the examples given above. In other words, a gaming machine can be designed that contains a number of algorithms. Each dealing with its own problems, including regulatory requirements or user preferences and expectations. Generally speaking, the more advanced the algorithm is, the more difficult it is to implement and maintain over time.

legal framework

Another important factor is to consider the existing legal framework and how to avoid conflicts with national legislation. A good example of this is when a gaming machine uses facial recognition in order to identify a player who has previously signed up for a specific gaming session.

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Most countries have announced plans for additional strengthening of their own regulatory framework. They are requiring game suppliers to perform security checks on the software code before allowing them into their market. (e.g., the EU Commission on security checks). This means that regulatory bodies are not willing to accept code that is not certified according to their regulations. And does not take any responsibility for the security of the code.

Another challenge is related to the fact that online gaming requires computer servers. That provides data and results to all players. Online gaming machines also need to receive data from these servers in order to display it on their screens. (e.g., images of virtual characters or animations). This means that a smart application will require a considerable amount of data transfer. That includes possible graphics update files while requiring constant maintenance by the supplier.

Another important point is the amount of information that is required to be processed in a short time. If the current hardware cannot handle that, this may impact the gaming machine’s performance.