Seven of the nation’s largest gaming companies have joined forces to establish the Responsible Online Gaming Association (ROGA), a trade group focused on promoting responsible gaming practices. The founding members of ROGA include FanDuel, DraftKings, BetMGM, Penn Entertainment, Fanatics Betting & Gaming, Hard Rock Digital, and bet365, collectively representing more than 85% of the legal online betting market in the United States. The group has pledged over $20 million to fund ROGA, which will focus on issues such as education, responsible gaming best practices, and conscientious advertising and marketing across the industry.
One of the key initiatives of ROGA is the creation of an independent clearinghouse that will allow members to share key information related to the protection of consumers. This database will enhance collaboration and transparency among operators, although the specific details of its operation are still being determined. ROGA also plans to implement a certification program to assess members’ responsible gaming efforts and provide incentives for participation. This collective effort comes at a time when the popularity of sports betting in the U.S. has surged, with 38 states and Washington, D.C. now offering legal sports wagering.
The rise of sports betting has also brought concerns around problem gambling to the forefront. An estimated 2 million U.S. adults have a severe gambling problem, while another 5 to 8 million have mild to moderate issues with gambling. This has prompted regulatory crackdowns in Europe and the United Kingdom, underscoring the need for the gambling industry to address responsible gaming practices before facing stricter regulations. U.S. Rep. Paul Tonko has introduced legislation to regulate gambling advertising, limit deposits, and restrict the use of artificial intelligence in customer acquisition to combat what he sees as a public health crisis.
While there are efforts within the industry to self-regulate and protect consumers, some skeptics view initiatives like ROGA as mere marketing stunts aimed at addressing public relations concerns. Caesars, a notable absence from ROGA, has emphasized its commitment to responsible gaming practices after 35 years in the industry. The company maintains strict age restrictions, permitting only individuals over 21 to sign up for accounts, even in states where 18-year-olds are allowed to wager. Additionally, the American Gaming Association has launched an agreement to protect college-aged students from excessive marketing and advertising of sports betting.
Peter Jackson, CEO of Flutter, the parent company of FanDuel, believes that responsible gaming is not just a moral imperative but also good business practice. He stresses the importance of legal operators working together to improve responsible gambling practices to prevent problem gambling. Jackson also highlights the ongoing challenge posed by the illegal gambling marketplace, which may exploit vulnerable individuals with gambling addiction. As ROGA and other industry initiatives seek to strengthen consumer protections and promote responsible gaming, there remains a need for state regulators to clamp down on illegal operators and safeguard vulnerable individuals from the risks of problem gambling.
