Shadow Generative AI may be putting your business at risk

Chris Odindo, an AI expert at De Montfort University in the UK. [Courtesy]

Just when you thought it was safe to breathe again after the major AI companies' recent updates, there comes a new term to consider: Shadow AI, a hidden danger that lurks within businesses.

Even the phrase evokes a sense of dangerous darkness. Shadow AI refers to the unauthorised use of AI tools, applications, or systems by employees or departments. While the intentions behind that might be positive, aiming to improve efficiency or solve problems, the lack of oversight can lead to serious consequences.