Sampling AI Risk Disclosures
Not long ago the Financial Times had a prominent report that more companies are disclosing artificial intelligence as a potential risk to their business . More than half of Fortune 500 companies cited AI as a potential risk in their annual reports this year, the article said, compared to only 9 percent that did so just two years earlier. Well, OK… but exactly what are those companies disclosing about AI risks? After all, it’s easy to see why more companies are talking about AI as a risk: because ChatGPT exploded onto the scene in late 2022. It’s cool and disturbing and everywhere and has potentially huge disruptive effects, so companies can’t really not say at least something about AI’s significance to their operations. Still, that’s not the same as saying how AI might be a risk to your company. Some firms might see their business models eviscerated; others might see their businesses soar if they’re nimble enough to take advantage of AI in a timely manner. To explore this questi...