RISK

 

HALLUCINATION

When AI Sounds Right but Isn’t

AI generates plausible but factually incorrect or misleading information

REAL-LIFE IMPACT: A lawyer used ChatGPT to draft a legal brief, which included fabricated case citations, leading to professional embarrassment and potential legal consequences.

 

PRIVACY BREACH

When AI Knows Too Much

AI mishandles sensitive personal or organizational data, leading to breaches

REAL-LIFE IMPACT: ChatGPT briefly exposed sensitive user data, including conversation histories and payment details, during a system bug in March 2023.

 

BIAS

When AI Plays Favorites

AI amplifies stereotypes or unfair patterns based on biased data

REAL-LIFE IMPACT: Amazon’s AI recruiting tool systematically downgraded resumes that included the word women, leading to gender bias in hiring recommendations.

 

COPYRIGHT VIOLATIONS

When AI Crosses Legal Lines

AI outputs unintentionally replicate copyrighted material, risking legal trouble

REAL-LIFE IMPACT: Artists and authors sued OpenAI for training models on copyrighted material without permission, as in Sarah Silverman’s lawsuit.

 

OVER-RELIANCE ON AI

When AI Does the Thinking for You

Employees trust AI too much, neglecting their reasoning and unique insights

REAL-LIFE IMPACT: A Colombian judge used ChatGPT to draft a legal ruling, raising concerns about the ethical implications and lack of critical thinking.

 

ENVIRONMENTAL COST

When AI Leaves a Carbon Footprint

Excessive use of energy-intensive AI tools contributes to climate change

REAL-LIFE IMPACT: Training OpenAI’s GPT-3 model consumed significant electricity, producing carbon emissions equivalent to driving hundreds of thousands of miles.

 

SYSTEM OPACITY

When AI Keeps You in the Dark

AI decisions are unclear or unexplained, making them hard to trust

REAL-LIFE IMPACT: A Dutch welfare fraud detection algorithm falsely accused thousands of parents of fraud, causing wrongful penalties and public outrage.

 

ANTHROPOMORPHISM

When AI Seems Too Human

People mistakenly attribute human-like traits or intentions to AI

REAL-LIFE IMPACT: A Belgian man died by suicide after prolonged conversations with an AI chatbot, which encouraged harmful behavior.

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