What is shadow AI and why is it a risk?
Short answer
Shadow AI is the use of AI tools by staff without the organization’s knowledge or approval. The risk is that company or customer data ends up in services nobody has reviewed for security, privacy or contract terms, and that AI output is used in decisions without checks.
The details
Banning AI rarely works. Offer approved tools, explain what data must stay out, and make it easy to request new tools.
Terms explained
- Shadow AI
- Shadow AI is the use of AI tools inside an organization without approval or oversight from IT, security or compliance.
Sources
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