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ARTICLE · 02 APRIL 2024

Building Your AI Model The Right Way – Part III: A Guide For Boards

Brown Rudnick LLP
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Artificial Intelligence (AI) has become a focal point in the corporate world. While technical teams grapple with the feasibility of AI creation...

United StatesTechnology
Morgan Jones
Morgan Jones
Matthew Richardson
Matthew Richardson

Artificial Intelligence (AI) has become a focal point in the corporate world. While technical teams grapple with the feasibility of AI creation, and executives strategize on budget allocation for its development and deployment, it is imperative for the board of directors to deliberate on their role in this context. Beyond considering the competitive advantage and return on investment, board members must also contemplate the new obligations and risks associated with AI adoption.

The development and utilization of AI in a company's offerings could entail several obligations. Initially, the company must ascertain if the proposed AI is permissible in the jurisdiction where it will be deployed or accessible by customers. For example, the recently approved EU AI Act (see our previous post) prohibits certain AI use cases, such as social credit scoring, certain instances of facial recognition data scraping, and select biometric data processing. Privacy laws also grant

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