The University of Sydney has attracted scrutiny for its financial interests tied to the gambling industry, particularly due to its investments in the world's largest poker machine manufacturer, Aristocrat, and global sports betting giant, Entain. Documentation obtained through freedom of information laws reveals these shares were held between 2021 and early 2024, though it's likely they existed before and may continue afterward, raising concerns about the university's ethical stance.
Entain, which operates the Ladbrokes and Neds brands, is currently embroiled in legal battles for alleged violations of anti-money laundering laws, as reported recently. This company was noted as a foundational sponsor of the university’s Centre of Excellence in Gambling Research, highlighting the intertwined financial support and academic efforts.
Aristocrat, known for its global distribution of poker machines, has similarly financed gambling research at the university. Its 2023 sustainability report acknowledged funding directed toward the university’s gambling treatment and research clinic. While the exact valuation of these investments remains undisclosed, Aristocrat was listed among the most significant Australian equity positions documented under the freedom of information request.
Investments also extend to International Game Technology, which develops gambling products, as well as Crown Resorts and Star Entertainment Group until mid-2022. These details were uncovered by the university’s student representative council, which now expresses considerable concern about the ethics of such financial involvements, especially considering the broader societal impacts of gambling.
Angus Fisher, president of the student representative council, articulated these tensions: “This issue is particularly pressing as gambling-related harm disproportionately affects vulnerable communities, and the industry’s role in funding research can lead to perceived or actual conflicts of interest.” He emphasizes the ethical dilemma faced by academic institutions whose financial gains might conflict with their commitment to social equity.
The online gambling inquiry report published June 2023 also echoes these concerns, urging the federal government to safeguard public policy and research from any interference stemming from the gambling industry. A university spokesperson has responded to these criticisms by asserting the institution operates as a not-for-profit entity, reinvesting all revenue toward enhancing its research and teaching capabilities.
Promises of ethical investment practices have been highlighted, with strict rules claimed to govern the university’s spending decisions recently reviewed for socially responsible outcomes. “We have policies to manage any actual or perceived conflicts of interest,” stated the university’s spokesperson. Despite these declarations, there is no suggestion or evidence put forth implying the university's investments have distorted research outcomes.
Simon Chapman, formerly of the university's academic board and known for his successful campaign against partnerships with tobacco companies, stressed the necessity of examining these gambling industry investments closely. He said, “There is obviously controversy when the product is deadly or causes immense harm. Gambling is a case where it must be debated.” His call for greater scrutiny aligns with sentiments from other thought leaders and activists within the gambling reform movement.
Tim Costello, chief advocate for the Alliance for Gambling Reform, pointed out the stark reality of Australia’s gambling harm, stating: “The reason Australia cannot escape the world’s greatest per capita losses and greatest gambling harm is our independent universities, like Sydney, investing in Aristocrat and Entain.” This distressing connection not only reflects on the university's ethical positioning but also brings to light its role within the broader impact of gambling within society.
Public health expert Professor Samantha Thomas from Deakin University shared similar concerns, likening the gambling sector's influence to the tobacco industry. “The University of Sydney once led the charge against the tactics of the tobacco industry; hence it’s disappointing to see these relationships with gambling,” she contended, advocating for universities to reconsider their partnerships with industries linked to well-documented societal harms.
Both Aristocrat and Entain have previously defended their roles as sponsors. Aristocrat stated its funding for research aims to cultivate a greater comprehension of gambling harm and risk mitigation. For its part, Entain criticized external research conducted without its involvement for lacking rigor, arguing it could distort public perception. An Entain spokesperson commented last year, saying: “There has been a tendency for discussions about gambling harm to be led by speculation which can fuel misleading perceptions.”
The intersections of education and the gambling industry present complex challenges. With the university set to uphold its research and educational missions amid scrutiny, stakeholders are left questioning the ethical responsibilities of academic institutions intertwined with such controversial sectors.
