They found it creepy to be followed around the web by ads that had clearly been triggered by their idle searches, and they worried about identity theft and fraud. People were uncomfortable with the way companies could track their movements online, often gathering credit card numbers, addresses, and other critical information. Companies need to take an active role in writing the rulebook for algorithms.įor most of the past decade, public concerns about digital technology have focused on the potential abuse of personal data. Though AI offers businesses great value, it also increases their strategic risk.
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The third is figuring out how to manage algorithms that learn and adapt while they may be more accurate, they also can evolve in a dangerous or discriminatory way.
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Regulators are very likely to require firms to explain how the software makes decisions, but that often isn’t easy to unwind. That requires evaluating the impact of AI outcomes on people’s lives, whether decisions are mechanical or subjective, and how equitably the AI operates across varying markets.
This article explains the moves regulators are most likely to make and the three main challenges businesses need to consider as they adopt and integrate AI. Inevitably, many governments will feel regulation is essential to protect consumers from that risk.
But as firms embed more and more artificial intelligence in products and processes, attention is shifting to the potential for bad or biased decisions by algorithms-particularly the complex, evolving kind that diagnose cancers, drive cars, or approve loans.
For years public concern about technological risk has focused on the misuse of personal data.
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