Avoiding the AI Trap: How to Implement AI Strategically Without Wasting Millions in iGaming
Tom Ustinell, CEO of Sportintech, processes over 10 billion bets monthly whilst navigating this technological revolution. His approach challenges the current AI gold rush mentality plaguing the sector.
The Current State of AI in iGaming
The iGaming industry faces an AI paradox. Companies rush to implement artificial intelligence without understanding its true potential. Meanwhile, billion-dollar valuations for AI companies create pressure to adopt technology for technology’s sake.
“AI for the sake of AI could be an immense waste of time,” warns Ustinell. “I think there’s a lot of companies out there chasing it and trying to see, can we put AI in every single facet?”
This approach mirrors traditional product management principles. Companies must identify specific problems before implementing solutions. Otherwise, they risk over-engineering processes that don’t require automation.
Ustinell illustrates this with a practical example. His CTO suggested automating a process using AI that would require three months of development. However, the current manual process takes just one person ninety minutes, three times yearly. The mathematics simply don’t add up.
Building Future-Proof AI Investments
Strategic AI implementation requires careful evaluation of costs versus benefits. The technology promises exponential revenue growth but demands significant investment upfront.
“Implementing AI is not going to be cheap,” Ustinell explains. “The rewards are potentially exponential in terms of revenue, but the application of it is also very expensive.”
Companies succeeding in this environment focus on exposing data points to AI systems. Real-time data feeds enable sophisticated player behaviour analysis and predictive marketing. However, this differs vastly from surface-level AI implementations that add complexity without value.
The most promising applications involve adaptive platforms that respond to individual playing habits. Rather than generic marketing teams deciding promotional offers, AI systems analyse actual betting patterns to deliver personalised experiences.
Human Touch Versus Machine Efficiency
The authenticity debate grows stronger as AI-generated content becomes commonplace. Marketing agencies already face scrutiny over machine-produced creative materials. Consumers increasingly seek genuine human connections, even when AI alternatives perform better technically.
“Humans don’t necessarily want to interact with a machine,” notes Ustinell. “I think the human element is going to come back in a different way.”
This creates opportunities for strategic differentiation. Companies can automate manual processing tasks whilst preserving human touchpoints where customers value personal interaction. Customer service represents a prime example where human preference often trumps technological capability.
Smart operators will identify which processes benefit from automation versus those requiring human authenticity. Front-end personalisation, such as adaptive button sizing based on user interaction patterns, delivers clear value. However, customer support conversations may benefit from maintaining human representatives.
Strategic Implementation Areas
The most successful AI implementations focus on specific, high-value applications rather than blanket adoption. Heat mapping user interactions to optimise interface elements provides measurable improvements. Dynamic pricing and predictive analytics offer competitive advantages when properly executed.
“I honestly think that in the next five to 10 years, this industry is going to be unrecognizable with the amount of AI in certain aspects,” predicts Ustinell. “The companies that pick where those aspects of improvement should be using AI will be absolutely flying.”
Historical precedent supports this selective approach. Despite sophisticated 3D poker tables and rotating backgammon boards, customers consistently returned to simple 2D interfaces prioritising speed and efficiency over visual complexity.
The Path Forward
Success requires identifying authentic applications where AI solves genuine problems rather than creating impressive demonstrations. Companies that strategically implement AI in high-impact areas will gain sustainable competitive advantages. Those attempting universal AI adoption risk creating homogeneous products indistinguishable from competitors.
The industry stands at a crossroads. Operators can either join the expensive AI arms race or carefully select battlegrounds where technology delivers meaningful value. The latter approach requires discipline but offers superior returns on investment.
Smart money backs strategic implementation over comprehensive adoption. As the industry transforms, winners will emerge from those who solved real problems rather than chased technological trends.
