Operators Increase Investment in Proprietary Technology and AI as Regulatory Demands Grow
Jacob Mitchell 
Key Takeaways:
- Operators are investing more in proprietary tech and AI to stay compliant and competitive.
- Latin America’s tighter regulation is driving demand for flexible in-house platforms.
- AI is becoming essential for fraud detection, risk monitoring, and responsible gambling.
- Long-term growth now depends more on trust, adaptability, and compliance than expansion alone.
Online gambling operators are increasing investment in proprietary technology and AI-powered operational systems as regulatory requirements become more complex across newly regulated markets. The trend was highlighted in a recent CasinoRank interview with Betsson Group Chief Business Development Officer Kevin Saliba, who pointed to owned technology infrastructure as a key factor in helping operators adapt to changing regulations and evolving player expectations across online casino games, sports betting, and online casino products.
Regulatory Expansion Drives Technology Investment
The growing importance of flexible infrastructure is particularly visible across Latin America. Brazil's regulated betting market launched under Law 14.790/2023, introducing stricter requirements related to identity verification, anti-money laundering controls, taxation, and responsible gambling measures. Operators entering the market have had to adapt quickly to local verification processes, payment systems, and enhanced player protection standards.
Similar regulatory developments continue across Peru and Colombia as authorities strengthen oversight of licensed operators. As compliance requirements become more demanding, operators are placing greater emphasis on technology systems that can be updated quickly and adapted to local market conditions.
Proprietary Platforms Become a Competitive Advantage
In the CasinoRank interview, Saliba emphasized the value of proprietary technology in supporting long-term growth across multiple regulated markets. Internally controlled iGaming software platforms allow operators to respond more efficiently to regulatory changes, introduce new tools faster, and tailor products to local requirements.
The wider industry appears to be moving in the same direction. Operators and suppliers are investing more heavily in internally developed compliance systems, fraud prevention technologies, customer management platforms, and automated reporting tools. Greater ownership of core infrastructure can reduce reliance on third-party development timelines while improving operational flexibility.
AI and Localization Importance
Artificial intelligence is becoming increasingly important as operators seek to strengthen both compliance and player protection efforts. AI-powered systems are being used to monitor player behavior, identify potential gambling-related risks, detect suspicious activity, and support responsible gambling interventions.
At the same time, localized payment infrastructure is emerging as a key differentiator. Brazil's PIX instant payment network has raised consumer expectations around transaction speed, encouraging operators to invest in localized payment solutions, faster withdrawals, and enhanced fraud monitoring capabilities.
These investments reflect broader efforts to create market-specific experiences while meeting increasingly stringent regulatory standards.
Focus Shifts Toward Sustainable Growth
As more jurisdictions adopt formal regulation, competition is expanding beyond customer acquisition and market access. Operators are increasingly competing on compliance readiness, responsible gambling capabilities, operational agility, and player trust. As regulatory expectations continue to evolve, proprietary technology and AI-driven systems are becoming essential tools for operators looking to remain competitive while maintaining compliance across multiple markets.
