The American Gaming Association's clash with the New York Times, explained
The American Gaming Association issued a fiery response Monday to the recent New York Times investigation on the rapid growth of legal sports betting, saying there are “several mischaracterizations” in the reporting.
As part of its four-part series released Sunday, the Times highlighted some of the improprieties that have occurred during the expansion of legal sports betting, at the expense of states and at-risk gamblers.
Among many items, the Times found:
- At least 12 states allowed gambling companies and their affiliates to begin operating on a temporary basis before undergoing full licensing reviews.
- Gaming lobbyists dazzled state lawmakers with tax projections that have turned about to be inflated, and unreliable data about a sprawling underworld of illegal gambling.
- State gambling regulators required few protections for consumers and dedicated minimal funds to combat addiction.
- Lawmakers allocated minimal funding to oversee sports betting and assigned oversight to state bureaucracies with previously narrower responsibilities.
- Regulators allowed the gambling industry to shape regulations to police its own compliance. Punishment for breaking those state rules has often been light or nonexistent.
The Times also specifically mentioned the AGA on several occasions, pointing to its apparent hypocritical position on responsible gaming. The AGA, which represents the gambling industry, argued against banning ads on sports betting during live games in Massachusetts and against federal legislation to create a national self-exclusion list for people who didn’t want access to sports betting sites.
In addition, betting companies have partnered with at least eight universities despite the AGA’s “Responsible Marketing Code” saying sports betting should not be advertised on college campuses.
In its response, the AGA said it is “heavily regulated by the federal government” and that “thousands of dedicated professionals across legal gaming jurisdictions set & enforce regulations.”
We're heavily regulated by the federal government and thousands of dedicated professionals across legal gaming jurisdictions set & enforce regulations. There's a high bar to clear to receive and retain a gaming license and any assertion to the contrary is false.
— American Gaming Association (@AmericanGaming) November 21, 2022
Any amount of unregulated, illegal activity is too much. As regulated businesses, our members have invested billions in human and financial capital in regulatory compliance, responsible gaming tools and training, and problem gambling resources—which have never been better funded.
— American Gaming Association (@AmericanGaming) November 21, 2022
We'll continue our investment in advancing a safe, well-regulated environment that protects consumers and generates benefit for communities.
— American Gaming Association (@AmericanGaming) November 21, 2022
According to the NY Times, calls to the national hotline for gambling problems rose by 43 percent last year.
The AGA said research shows that past-year sports bettors saw more responsible gaming information in the past 12 months than in the previous year.