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Risk Management: Vendor Use of AI
by John Jenkins
February 25, 2025
Venminder recently published its “State of Third Party Risk Management” report, which presents the results of a survey of organizations in a range of industries, including financial services, fintech, retail, healthcare, insurance, and IT. Participants in the survey ranged from small businesses with fewer than 100 employees to large organizations with over 5,000 employees. Vendor […]
Top AI Risks on the General Counsel’s Plate
by John Jenkins
February 24, 2025
A recent Lowenstein memo provides an overview of the major AI-related legal, compliance, and cybersecurity risks that should be on the GC’s radar screen. These include, among other things, the need to understand and identify where AI is being used, establish appropriate limits on its use by employees, address data quality, rights and confidentiality concerns, […]
Delaware Court Rules AI Training is not Fair Use
by Zachary Barlow
February 20, 2025
A major unresolved legal issue related to AI is whether using copyrighted works for training AI models violates copyright law. Many developers caught in copyright infringement suits argue the defense of “fair use.” However, a Delaware Court in the high profile Thomson Reuters v. ROSS Intelligence case recently sided with plaintiffs and issued an opinion […]
How Model Distillation May Drive DeepSeek and IP Concerns
by Zachary Barlow
February 19, 2025
DeepSeek has upset the world of AI, providing comparable results of leading AI models at a fraction of the cost. DeepSeek developers credit new reinforced learning techniques for the achievement. However, many believe that model distillation is at the core of DeepSeek’s strategy. Model distillation is when a “student” AI model is trained on the […]
OECD Publishes AI Risk, Benefit, and Policy Imperative Analysis for Policy Makers
by Zachary Barlow
February 18, 2025
The Organization for Economic Cooperation and Development (OECD) is a standard-setting institution that spots issues for policymakers in a variety of areas. Their Expert Group on AI Futures recently released a report outlining some of the biggest risks and opportunities in AI. In the report, the group outlines a number of potential AI benefits, here […]
C-Suite’s Infatuation with Generative AI Puts the Heat on CISOs
by John Jenkins
February 13, 2025
It’s pretty clear that Generative AI is this year’s “shiny object” for the vast majority of folks occupying corporate C-suites, but while everyone else is in “damn the torpedoes!” mode, a recent CSOonline article says that CISOs are stressing out: According to a recent survey from NTT Data, 89% of C-suite executives “are very concerned about […]
New AI Framework Tackles Algorithmic Bias
by John Jenkins
February 12, 2025
One of the major risks associated with AI tools is unintended bias against individuals based on race, gender, or other protected characteristics. This can result from, among other things, flaws in training datasets, faulty decision criteria, or model drift. In order to help organizations mitigate the risk of unintended bias, the Institute of Electrical and […]
State Emerging Tech Laws: AI & Data Privacy Law Trackers
by John Jenkins
February 11, 2025
While the future of federal regulation of AI and other emerging technologies is uncertain, as we blogged last month, state legislatures aren’t waiting on the feds. If you’re looking to keep up with state legislation affecting emerging technologies, we’ve found a couple of tools that we think you’ll find helpful. On the AI front, Orrick […]
Algorithmic Disgorgement: Understanding AI’s “Death Penalty”
by John Jenkins
February 10, 2025
A recent Risk Management Magazine article notes that companies that train AI tools on consumer data collected without proper consent can face significant penalties from regulators. These penalties include “algorithmic disgorgement,” in which companies are compelled to delete specific datasets used to train AI models and, potentially, to delete the algorithm underpinning a key service. […]
DOJ Publishes New Data Export Control Rules
by Zachary Barlow
February 6, 2025
The Department of Justice (DOJ) published new final rules in January that introduced compliance obligations for transferring sensitive data to foreign persons. Broadly, the rules prohibit any data brokerage of sensitive data with persons associated with certain countries of concern, including China. A recent memo from Wilson Sonsini provides easy steps for determining if your […]