The International Gaming Standards Association (IGSA) is developing a best practices framework to help gambling regulators better understand artificial intelligence (AI) and its applications in the industry, according to IGSA President Mark Pace.
Speaking in an interview this week with iGB, Pace said AI is currently the organization’s main technology focus, with plans to publish guidelines aimed at helping regulators navigate the rapid adoption of AI in gaming.
The IGSA’s AI initiative is being led by its Ethical AI Standards Committee (AIC), which is working to establish clear standards for AI use. The committee is drawing on best practices from other industries to develop recommendations tailored to the global gaming sector.
“What we’re doing is creating a set of best practices that we could give to regulatory authorities to help them understand what they should focus on in terms of AI,” Pace said.
Founded in 1998, IGSA provides standards and best practices for gaming suppliers, operators, and regulators. Its members include major industry players such as IGT, Merkur, Novomatic, and Intralot.
The IGSA has already shared eight best practices for AI use with multiple regulators and sought their feedback. However, Pace emphasized that regulators do not need a deep, developer-level understanding of AI algorithms.
“I talked to regulators who tell me they have tried to understand how AI algorithms have been developed… I tell them, ‘You’re wasting your time’,” Pace said. “What you need to focus on are things like, ‘What data are you going to let the AI algorithms consume? What is the accuracy level of the data? Does the data already have an inherent bias in it?’”
Pace noted that transparency and accountability in AI applications will be crucial, including identifying who is responsible for shutting down malfunctioning AI systems.
The IGSA expects that AI guidelines will need to be tailored to different regulatory environments worldwide.
“Every jurisdiction will have to make changes to these guidelines to make them fit their regulatory environment. However, the [general guidelines] will focus the regulators on what to worry about, not generative AI algorithms that are by their nature going to change anyway,” Pace further told iGB.