Shadow AI refers to the unauthorized or uncontrolled use of artificial intelligence and machine learning tools within an organization. Similar to Shadow IT, Shadow AI occurs when employees or departments adopt AI solutions without the knowledge or approval of the IT or security teams. This can include using public AI services for data analysis, natural language processing tools, or even developing custom AI models using cloud platforms. While Shadow AI can drive innovation and productivity, it also introduces significant risks, including data privacy concerns, potential exposure of sensitive information, and compliance issues. Managing Shadow AI involves creating clear policies on AI usage, educating employees about the risks, and implementing monitoring tools to detect unauthorized AI activities.
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