- Annual Reports Show Corporate America is Concerned
- Investments Might Go to Waste
- Dangers of Large Language Models
According to a new study, a growing number of America's top companies see artificial intelligence (AI) as a threat to their business operations. The study, which analyzed annual reports, demonstrated a 475.3% increase in the number of companies citing AI threats over the past year.
Annual Reports Show Corporate America is Concerned
When companies released their 2022 annual reports, there was a more optimistic outlook on the role of AI in the business space; however, a year later, there appears to have been a change in tone. An analysis by Arize, an AI platform that analyzes large files of data for trends, showed that 64% of all companies that mentioned AI did so in a negative context. Major companies, especially those in the media and advertising businesses, are flagging AI as an existential threat. In their annual report, Disney said the weak controls around AI and intellectual property might end up affecting their profitability.
Investments Might Go to Waste
Streaming giant Netflix worries that some of the capacity that has taken them time and investments to build may fail to keep up with AI’s advancements. Their report indicated that if competitors gain an advantage by using such technologies, Netflix's ability to compete effectively and operational results could be adversely impacted.
Dangers of Large Language Models
Large language models have been singled out as the most significant threat. Companies are afraid that as their employees seek efficiency by using AI platforms in their work, they may end up leaking sensitive data. Pharmaceutical giant Vertex believes the risks relating to the inappropriate disclosure of sensitive information or inaccurate information appearing in the public domain remain relevant.
Currently, there is no clear law governing AI in the US, with the closest being the bill in California, which proposes to hold companies accountable for any harm their AI platforms may have caused. California Governor Gavin Newsom is expected to either sign or veto the proposed law by the end of the month, amid pressure from Congress to discard the bill.
