DraftKings uses AI to identify gamblers most likely to lose money, targeting them with free betting incentives to maximize profits. Jayden Butts, a former data analyst, revealed that the model prioritized 'problem gamblers' as the best financial investment, sparking ethical concerns. Internal documents show the company built detailed risk models but actively avoided creating tools to detect gambling addiction, sidelining projects that could have helped at-risk users.

Despite firing Butts in 2024 over performance issues, DraftKings continues refining AI to push more betting on high-loss customers. Meanwhile, former employees say the company paused or blocked efforts to predict problem gambling, choosing profit over protection. The investigation highlights how DraftKings leverages vast gambling data — from betting frequency to account balances — to target losing players while ignoring safeguards.

With gambling now accessible via smartphones, the ethical implications are profound. The company’s focus on maximizing revenue from vulnerable users has drawn criticism from former staff, who now regret contributing to a system they view as harmful.