The landscape of sports betting in the United States has been profoundly affected by a surge in NCAA player proposition betting regulations. States are establishing unique rules, from total bans in places like Maryland and Ohio to limits that apply solely to in-state colleges, as seen in New Jersey and New Hampshire. This evolving situation compels operators to adapt rapidly, maintaining compliance while ensuring an uninterrupted customer experience.
The complexity of these regulations is not confined to NCAA sports; operators are grappling with a fragmented global regulatory environment. Regulatory bodies may have aligned objectives, but their rules and timelines can differ widely, presenting operators with a tangled array of market-specific requirements.
As a seasoned partner in the sportsbook arena, Kambi has witnessed how these regulatory shifts are reshaping the demands on operators and the broader gaming ecosystem. Ahead of its entry into the French market, Kambi developed a Regulatory Mapper that is designed not just for one-time use but to be applicable as new markets emerge. This tool simplifies regulatory mapping, thereby reducing the effort needed for future launches in similar jurisdictions.
Paul Finnigen, Kambi's director of operational compliance, emphasizes that the principal obstacle for operators lies in handling multiple layers of regulatory complexity simultaneously. While keeping up with regulatory changes is challenging, it does not have to hinder growth.
“Over the past few years, regulation has become significantly more complex,” Finnigen shared. “Regulators are emphasizing responsible gambling, reporting, technical certification, marketing restrictions, and localized betting rules, with requirements that continue to evolve even after a market opens.”
Kambi’s experience in France exemplifies how a regulatory challenge can be turned into an opportunity using expertise, technology, and strategic planning. Instead of developing a single-use solution, the Regulatory Mapper supports compliance across various jurisdictions by providing a comprehensive and adaptable framework.
Additionally, Kambi has integrated a Dynamic Filtering Engine that allows for quick and consistent adjustment of market availability specific to each jurisdiction. This facilitates the management of sports, leagues, betting options, and player eligibility in alignment with local regulations.
“When regulatory expertise is ingrained in the platform and operational model, compliance becomes a facilitator of growth,” Finnigen noted.
Leading companies like Kambi infuse regulatory knowledge across compliance, technology, and operation sectors, integrating these requirements into product development and market entry strategies, rather than treating them as mere hurdles. The certifications Kambi has acquired, including SOC 1 and ISO 27001, underscore its robust validation processes and streamline entry into different regulated markets.
“Many of those regulatory capabilities are usually proven in practice before operators even step into new markets,” Finnigen explained. “When compliance expertise is part of the operational framework, it enables operators to enter new markets more efficiently and reduces the strain on their teams.”
Consequently, compliance is evolving from a mere operational cost into a competitive edge, with the challenge for operators being to consistently deliver this advantage across various jurisdictions. Kambi believes that its entirely managed Turnkey Sportsbook can provide such a solution.
The Turnkey Sportsbook is designed on the principle that operators shouldn't have to build every sportsbook capability independently. Instead of the financial burden of developing an in-house platform or the complications related to coordinating numerous specialized suppliers, operators can access an all-inclusive solution that integrates trading, risk management, and much of the regulatory compliance in one managed service.
Although integrating multiple suppliers can offer flexibility, it necessitates significant effort in managing complex technological ecosystems and constant investment in expert knowledge to stay ahead of regulatory changes and consumer demands.
“Our Turnkey Sportsbook decreases much of the complexity tied to launching in regulated markets,” Finnigen stated. By providing a seamless end-to-end solution, operators can focus on brand development, customer acquisition, and adapting their offerings for local consumers from day one.
Having a single technology partner simplifies daily operations, as operators won’t need to juggle various integrations or manage disparate suppliers when regulations shift, allowing for efficient launches and a cohesive player experience across regions.
While regulatory expertise is critical for market entry, long-term success hinges on delivering a unique sportsbook experience. Kambi has placed AI-driven trading at the core of its offering, essential for providing personalized betting experiences and quick responses to in-game events.
The upcoming 2026 FIFA World Cup will serve as a key testing ground for this technology. Kambi has indicated plans to utilize fully AI-driven trading for the tournament, significantly up from around 60% previously, ensuring that operator partners can meet the demands of a rapidly evolving betting market.
Finnigen noted a shift in player engagement as well. During Kambi’s observation across various markets, there was an increased interest in higher-margin betting products like Bet Builder and player proposition offerings, reflecting a desire for personalized engagement opportunities.
For instance, during the last World Cup in 2022, Live Bet Builder accounted for 20% of live bets, a significant increase from just 3% previously. The rise in interest for betting markets like ‘to score or assist’ and ‘player shots on target’ highlighted the need for swift pricing and user-friendly product experiences.
Choosing the right technology partner is vital for navigating current regulatory landscapes and achieving longer-term success. Kambi believes that those who leverage adaptive technology will emerge as leaders in the industry.
“For operators aiming to grow successfully over the next five years, adaptability in technology is crucial,” Finnigen commented. “Regulations will continue to develop, making flexibility and compliance an essential part of partner selection, rather than just an afterthought. A platform must allow operators to enter new markets efficiently, implement changes smoothly, and maintain a consistent experience for customers across territories.”
Finnigen concludes that the operators who win will be those who master not just market entries, but the effective integration of advanced technologies, utilizing AI, automation, and data to enhance operational efficiency and create engaging player experiences.
