Impact of Artificial Intelligence Regulations on Organizational Risks

Abstract

The data science industry has grown exponentially due to the surge in consumer consumption of technology-related services and products. Following closely is the data science specialty of Artificial Intelligence (AI) algorithm development and use, which holds significant potential for an organization’s bottom line. By combining these new AI capabilities with the treasure troves of new and legacy consumer data, organizations can automate decision-making to entice new consumers to their products and services. These AI capabilities come with a plethora of potential uses and misuses. Organizations must take stock of the precedence of laws and regulations related to consumer privacy and ensure careful consideration of AI risk management to balance the potential financial implications of AI algorithm development and use, good and bad.