Uncontrolled AI is driving hidden risks and costs for firms

A new report reveals that 70% of artificial intelligence currently deployed within enterprises is uncontrolled, leading to significant hidden risks and escalating costs.

 This "shadow AI" phenomenon occurs when employees and departments implement AI tools without official IT oversight or governance. The lack of centralized control is not only creating security vulnerabilities and data privacy concerns but is also actively slowing down the return on investment for organizations, News.Az reports, citing Business Wire.

The data suggests that while companies are eager to adopt AI to boost productivity, the fragmented nature of these deployments makes it difficult to track spending or ensure compliance with emerging regulations. Consequently, businesses are facing unexpected operational expenses and a lack of strategic alignment. Experts warn that unless enterprises establish robust governance frameworks to bring these uncontrolled systems under management, the potential benefits of AI will continue to be offset by financial waste and organizational risk.

News.Az 

By Leyla Şirinova