Misuse of artificial intelligence (AI) can lead to costly consequences, as seen with recent incidents involving movie studio Lionsgate, Microsoft, and a US telecoms service. These examples highlight the importance of verifying information generated by AI systems before relying on it.
Enterprises are eager to adopt generative AI (GenAI), but they must also focus on implementing governance, risk, and compliance measures to address concerns around data privacy, security, regulation, and copyright.
Chief information officers (CIOs) face challenges in understanding the various regulations that apply to AI usage, from the legal aspects of using personal data to train AI models to issues of transparency and discrimination.
Navigating the complex web of regulations, both existing and upcoming, requires enterprises to stay informed about enforcement trends in the countries where they operate.
In the UK, upcoming AI legislation is uncertain, with potential changes in approach compared to the previous government. The government is considering the role of the UK AI Safety Institute as an additional regulator alongside existing bodies like the Information Commissioner’s Office (ICO) and Ofcom.
International implications of AI regulation vary, with the US lacking comprehensive federal laws specific to AI. The EU has taken the lead in passing the EU AI Act, setting a precedent for AI regulation globally.
Businesses operating in the EU must comply with the EU AI Act, which focuses on ensuring AI products meet safety requirements, including data security and user privacy. High-risk AI systems require conformity assessments and disclosure of training sets and associated risks.
As organizations deploy AI systems, they must prioritize training in responsible AI and regulatory compliance to ensure staff have the necessary “AI literacy” by the specified deadlines.
Staying ahead of regulatory requirements not only ensures compliance but also helps businesses build trust with consumers and mitigate risks associated with AI technologies. By proactively addressing AI governance and compliance, organizations can enhance their reputation and avoid potential legal and public relations issues.
