Baltimore Lawsuit Alleged DraftKings and FanDuel Used Machine-Learning-Driven Targeting to Exploit Vulnerable Gamblers
Description
In Baltimore, the city sued DraftKings and FanDuel, alleging that the companies used predictive modeling with machine-learning algorithms, extensive user data, personalized promotions, push notifications, and VIP programs to identify and exploit vulnerable bettors, including people showing signs of gambling disorder. The complaint alleges these systems were designed to maximize user lifetime value and contributed to financial and public-health harms among Baltimore residents.
Actors
Alleged Deployers
- fanduel
- draftkings
Alleged Developers
- flutter-entertainment
- draftkings
Harmed Parties
- people-with-gambling-disorders
- baltimore-residents
Classification
Risk Domain
Malicious Actors & MisuseRisk Subdomain
4.3. Fraud, scams, and targeted manipulation
MIT Risk Profile
Source
Related Incidents (Malicious Actors & Misuse)
View all →Female Students at Westfield High School in New Jersey Reportedly Targeted with Deepfake Nudes
Oct 2023
ChatGPT Was Alleged to Have Aided Planning of Florida State University Mass Shooting
Apr 2025
Ongoing Purported AI-Assisted Identity Fraud Enables Unauthorized Access to Western Companies by North Korean IT Workers
Research Papers on This Topic
How Johnny Can Persuade LLMs to Jailbreak Them: Rethinking Persuasion to Challenge AI Safety by Humanizing LLMs
AgentHarm: A Benchmark for Measuring Harmfulness of LLM Agents
Regulating ChatGPT and other Large Generative AI Models
Great, Now Write an Article About That: The Crescendo Multi-Turn LLM Jailbreak Attack