Shadow AI poses significant risks to businesses by compromising data security and compliance, highlighting the urgent need for robust governance and employee training.
Copyright: securityintelligence.com – “Does Your Business Have An AI Blind Spot? Navigating The Risks Of Shadow AI”
With AI now an integral part of business operations, shadow AI has become the next frontier in information security. Here’s what that means for managing risk.
For many organizations, 2023 was the breakout year for generative AI. Now, large language models (LLMs) like ChatGPT have become household names. In the business world, they’re already deeply ingrained in numerous workflows, whether you know about it or not. According to a report by Deloitte, over 60% of employees now use generative AI tools in their day-to-day routines.
The most vocal supporters of generative AI often see it as a panacea for all efficiency and productivity-related woes. On the opposite extreme, hardline detractors see it as a privacy and security nightmare, not to mention a major economic and social burden in light of the job losses it’s widely expected to result in. Elon Musk, despite investing heavily in the industry himself, recently described a future where AI would replace all jobs, leading to a future where work is “optional.”
The truth, for now at least, lies somewhere between these opposing viewpoints. On one hand, any business trying to avoid the generative AI revolution risks becoming irrelevant. On the other, those that aggressively pursue its implementation with little regard for the security and privacy issues it presents risk leaving themselves open to falling foul of legislation like the EU’s AI Act.
In any case, generative AI is here to stay, regardless of our views on it. With that realization comes the risk of the unsanctioned or inadequately governed use of AI in the workplace. Enter the next frontier of information security: Shadow AI.[…]
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