Republished with full copyright permissions from The San Francisco Press.

As the use of large language models and artificial intelligence (AI) continues to gain prominence in the business world, the legal and ethical implications surrounding these technologies are becoming increasingly complex. A recent development in this realm is the establishment of the Data & Trust Alliance, a nonprofit organization formed by a coalition of companies including American Express, Humana, IBM, Pfizer, UPS, and Walmart. This alliance aims to develop standards for describing the origin, history, and legal rights to data, in response to the numerous AI-related lawsuits that have brought these issues to the forefront.

In light of recent events at OpenAI, the addition of a non-voting observer position for Microsoft on the company’s board highlights the significance of strategic partnerships in the AI sector. This move is part of a broader effort to stabilize OpenAI’s operations and leadership, underscoring the interconnected nature of key industry players in shaping the future of AI.

The practical and ethical considerations of disclosing the use of AI in the legal industry have also garnered attention, with varying perspectives on the extent to which clients should be informed about the specific tools employed in legal research processes. While some argue for transparency as a prudent practice, others express reservations about potential implications and obligations arising from such disclosures.

Moreover, the European Union’s General Data Privacy Regulation presents a significant challenge for AI companies using large language models trained on publicly available personal data. The debate on whether such models can be made compliant with the “right to be forgotten” enshrined in the legislation remains ongoing, as companies await clarity on regulatory action.

The emergence of the Data & Trust Alliance and the ongoing discussions surrounding AI disclosure, compliance, and regulation underscore the multifaceted challenges and opportunities presented by the intersection of AI and business. As companies navigate this complex terrain, a nuanced understanding of the legal and ethical implications will be essential to foster trust, transparency, and responsible AI deployment in the broader ecosystem.