How AI is set to win the war on illegal gambling in Indonesia

Garance Limouzy August 20, 2024
How AI is set to win the war on illegal gambling in Indonesia

In Indonesia, the Ministry of Communication and Information Technology (Kominfo) is gearing up to use Artificial Intelligence (AI) to win the war on illegal online gambling.

An initiative led by the Directorate General of Informatics Applications

Teguh Arifiyadi, Director of Application Control at the Directorate General of Informatics Applications, is a strong advocate for using AI to eliminate illegal gambling websites and apps. He explained how AI enables the rapid detection and blocking of online gambling sites at a rate that would be impossible otherwise.

“We are harnessing the latest technology to detect and block online gambling sites. With machine learning, our systems can learn from existing patterns and continuously update blocking methods in line with the technological advancements used by perpetrators,” he stated.

The AI-driven system not only prevents access to these sites but also helps to suppress the emergence of new sites, which often appear within hours of older ones being blocked.

Arifiyadi acknowledges, however, that while advanced technology is crucial, it is not sufficient on its own due to the enormous financial turnover involved in online gambling activities.

Multi-sector collaboration

Kominfo has recently strengthened its partnership with several key agencies, including the Indonesian National Police, the Financial Services Authority (OJK), and the Financial Transaction Reports and Analysis Center (PPATK).

Kominfo’s partnership with OJK focuses on blocking bank accounts used for online gambling transactions, while the Indonesian National Police ensures that those involved in illegal gambling are prosecuted. As part of these efforts, PPATK has already blocked 4,548 accounts suspected of being used for gambling deposits in 2024.

Illegal gambling in Indonesia

The turnover of online gambling in Indonesia is expected to exceed $20 billion by the end of the year. The government, led by Kominfo, has vowed to eradicate illegal gambling, which is viewed by authorities as a threat to the population, particularly to lower-income groups, who make up the majority of the estimated three million participants.

In recent years, the Financial Transaction Reports and Analysis Center (PPATK) has revealed an exponential increase in the flow of money within the illegal online gambling sector. From $129 million in 2017 to $323 million in 2020, the turnover surged to $21 billion by 2023, according to official figures.

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