Stunning advances in machine learning and generative artificial intelligence (AI), combined with an explosion in public discussion of its pros and cons, have pushed artificial intelligence to the top of policymakers' agendas around the world. Businesses can see the potential and are learning how best to harness AI's power for efficiency, insight and speed. Governments are exploring how to use it to unleash productivity gains. Regulators are investigating how to reduce risks of harm and align AI's impact with society's interests.

We have been growing our AI legal expertise for many years. Our international team of lawyers includes pioneering authors in the field of AI law, as well as strength and depth of coal-face experience working with clients in the vanguard of this technology.

What you need to know now

Artificial intelligence is a hot topic for many companies as it rapidly becomes an integral part of their products and services. It's also a major focus for lawmakers internationally. It can generate risk across a wide range of legal and regulatory areas, even before laws that specifically target the regulation of AI are enacted. 

There is no "one size fits all" risk profile for AI as it is such a flexible and versatile technology. Generative AI throws up additional risks. However, the economic potential is huge, thus companies need to find a way to sensibly manage such risks.

Top of the list of challenges to consider are:

• strong top-down AI governance and a consistent approach to risk evaluation
• transparency, explainability and monitoring the performance of your AI systems
• control and contractual liability frameworks 
• emerging AI-specific regulation, particularly the EU's AI Act and UK government policy
• data laws and your data strategy
• intellectual property rules and protections
• cybersecurity and confidentiality
• impact on your workforce and HR policies
• ESG considerations including in your AI supply chain. 
• equality and non-discrimination laws
• relevance of wider digital regulation such as platform regulation, consumer protection or digital markets laws

Learn more about these laws and what they mean for your business in our overview of AI risk.

What's on the horizon?

With the EU AI Act becoming law on 1 August 2024, the implementation timetable is now fixed. Bans on prohibited AI practices will take effect from 2 February 2025, most general-purpose AI obligations will become effective from 2 August 2025, and a comprehensive regime will apply for most high-risk AI systems from 2 August 2026. Companies still await the member states’ decisions on which national authorities will appointed as supervisory authorities under the AIA.

In the UK, current government policy is for existing regulators to use their existing powers to regulate AI where it falls within their jurisdiction. However, the Government has announced that it intends to introduce highly-targeted legislation focussed on the most powerful models. In addition, the Government intends to consult on various risks and challenges relating to AI.

AI litigation has so far taken place mainly in the field of intellectual property, particularly in relation to generative AI systems. We expect challenges to develop in relation to liability. AI supply chains can be complex, so responsibility for harm is likely to be contentious. The EU's proposed AI liability directive has been delayed.

How we can help you

Businesses choose us because of our pedigree in transformative IT projects and the implementation and use of novel technologies. We can help your business with advice on all aspects of your AI strategy, including: 

• ensuring board-level understanding of AI governance
• developing and implementing an AI risk assessment framework 
• managing risk in the face of a regulatory or legislative lacuna
• advising on AI procurement and development contracts whether for on-premise systems or cloud-based AI as a Service applications
• creating legal clarity around liability through well-crafted contractual frameworks
• helping you protect the value in data and how to best release it
• supporting you in developing well curated, compliant training datasets
• ensuring your intellectual property rights are optimised and enforced 
• advising you on workforce retraining or restructuring initiatives 
• amending your acceptable use of technology policy to include use of AI and generative AI applications 
• ensuring that the use of AI in your customer interactions is compliant
• putting the right legal protection in place for your cutting-edge tech start up

Our breadth and depth of experience is hard to match. Contact one of our AI experts to learn more.