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**AI legalese decoder: Navigating legal Implications and Risks of Artificial Intelligence**

As companies delve into the intricate legal landscape surrounding artificial intelligence (AI), they are confronted with the immediate challenge of determining who should spearhead their AI governance efforts. The absence of a standardized approach makes it crucial to identify individuals with a blend of technological and legal expertise, capable of identifying potential risks and harnessing the knowledge of various departments within the organization. While privacy officers have traditionally taken on this responsibility due to their applicable skill set, solely relying on existing privacy structures may prove inadequate in addressing the multifaceted risks associated with AI.

J. Trevor Hughes, President and CEO of the International Association of Privacy Professionals, highlights the difficulty of finding a single person or skill set capable of mastering the numerous domains of risk created by AI. According to a report by the International Association of Privacy Professionals, more than half of the companies surveyed were incorporating new AI governance approaches on top of their existing privacy programs. Additionally, a research study conducted by The Ohio State University revealed that the primary leaders of AI governance in surveyed companies were their privacy teams.

However, solely looking at AI governance through the lens of privacy poses significant risks, as generative AI introduces a wide range of legal and ethical challenges. These risks include cybersecurity threats, potential harm to intellectual property, ambiguity regarding the legal status of generative AI outputs, and the need to address bias. Leveraging the expertise of privacy officials proves beneficial in AI governance due to their comprehensive understanding of data, capacity to balance various rights and interests, and ability to collaborate across the organization. Caroline Louveaux, Chief Privacy and Data Responsibility Officer at Mastercard and a member of the International Association of Privacy Professionals’ board of directors, emphasizes that privacy professionals can excel as conveners and orchestrators, bringing together different functions within the company.

Though larger companies and those with a longer history of involvement with AI often assemble cross-disciplinary teams to assess risks and address legal and ethical implications, the absence of clear boundaries in the absence of robust regulations and legal precedents poses challenges. Consequently, organizations are now grappling with the task of identifying or developing individuals and teams equipped with the necessary skills to oversee AI. Recognizing this need, the International Association of Privacy Professionals is launching a new training and certification program to cultivate AI governance professionals. Their aim is to train 1,500 individuals in the coming months and assist thousands more next year.

**The Synergy of Privacy and AI Roles**

Efficient organizational efficiency suggests that combining privacy and AI roles provides valuable advantages. As Robin Andruss, Chief Privacy Officer at Skyflow, explains, privacy officers have well-established relationships across the organization, collaborating with departments such as human resources, marketing, and engineering. Christina Ayiotis, Associate General Counsel for Cybersecurity and Privacy at Lumen Technologies, highlights that managing personal data demands privacy officers to foster relationships throughout their organizations. Consequently, privacy officers possess the aptitude to delve into various data governance issues. J. Trevor Hughes underlines that privacy officers’ experience in constructing privacy law compliance frameworks can be adapted to AI governance. Privacy impact assessments can transform into AI impact assessments, data inventories and flow audits can become AI inventories and audits, and data subject access rights can be reframed as explainability and transparency.

Generative AI presents significant privacy risks due to its reliance on vast quantities of data. The manner in which platforms scrape public data from across the web to train generative AI models is still unclear in terms of compliance with European privacy laws. Data protection authorities are already scrutinizing generative AI due to these concerns.

**AI Governance: A ‘Different Beast’**

Kimberly Zink, Global Data Strategist at Applied Materials, acknowledges that privacy frameworks offer a valuable foundation for embarking on AI governance programs, specifically in terms of risks associated with personal data. However, she emphasizes that generative AI presents an entirely distinct set of challenges. Following a straightforward compliance approach may lead companies to overlook critical risks associated with generative AI. Hence, Zink asserts that a broader vision encompassing qualified individuals collaborating in an early and quality-driven conversation is crucial.

Dennis Hirsch, Professor of Law and Director of the Program on Data and Governance at The Ohio State University, emphasizes the requirement for companies to adopt a cross-disciplinary approach encompassing privacy, data analytics, and legal perspectives. Microsoft, a major participant in generative AI through its investment in OpenAI, acknowledges the necessity for diverse teams within its organization responsible for the ethical implementation of AI. This includes approximately 350 staff members dedicated to responsible AI across product, engineering, and sales teams, along with a team in the Office of Responsible AI overseeing coordination.

Mastercard has established internal principles regarding data responsibility and has a dedicated AI governance team reporting to Caroline Louveaux. The team comprises the Chief Privacy Officer, Chief Data Officer, Chief Security Officer, and other executives.

**Regulation’s Influence**

Upcoming AI regulations, such as the EU AI Act currently in negotiation, are expected to raise awareness among corporate leadership and boards concerning AI risks, similar to the General Data Protection Regulation’s impact on privacy. The choice of which regulators will oversee AI, including data protection authorities or another governing body, will significantly shape corporate AI governance. Furthermore, AI regulations will contribute to establishing clearer boundaries within a field that many companies currently refer to as ethics or responsibility. The establishment of guardrails and clear guidelines will help organizations understand the parameters within which they can operate AI systems effectively.

In summary, as companies strive to navigate the legal implications and risks surrounding AI, the role of an AI legalese decoder, such as the one offered by the International Association of Privacy Professionals, is paramount. By providing comprehensive training and certification programs to individuals across organizations and advocating for a cross-disciplinary approach to AI governance, the AI legalese decoder assists companies in identifying potential risks, complying with regulations, and fostering ethical practices in the field of AI.

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