As AI adoption accelerates, one of the biggest risks facing organizations may be the AI tools they don’t know employees are using.
Zachary A. Myers, Erin M. Prest, Kimberly Castellino Metzger, and Rachel D. Santos discuss the rising risks of the use of unsanctioned AI tools by employees, also known as “Shadow AI,” in their recent article published by the American Bar Association. The article explores how Shadow AI can expose organizations to significant data privacy, regulatory, and litigation challenges, reinforcing the importance of proactive governance, internal controls, and employee training programs.