#HelloWorld. In this issue, we zoom in on the world of AI model training, looking at both dataset transparency and valuation news. Then we zoom out, highlighting Stanford’s helpful summary of 2023 AI regulations and hot-off-the-press ethical guidance on AI use for lawyers from the New York State Bar. It may be a grab bag, but it’s one worth grabbing. Let’s stay smart together. (Subscribe to the mailing list to receive future issues.)
Webinar: Explaining the New EU AI Act
Duane Morris will present Get Smart with AI: Practical Impacts of the New EU AI Act, a webinar on risk mitigation strategies for AI use in business, presented by the Technology, Media and Telecom Industry Group’s Artificial Intelligence Team, on Thursday, May 16, 2024, from 11:00 a.m. to 12:00 p.m. Eastern time and 4:00 p.m. to 5:00 p.m. London time. REGISTER FOR THE WEBINAR.
Join John M. Benjamin and Sandra A. Jeskie for a detailed explanation of the EU AI Act, the implementation and compliance timeline and strategies to prepare your business for the increased scrutiny and regulation of AI on the global stage. We will also consider its possible impact on the U.S. regulatory landscape.
Webinar: Tech Sector Regulations, Developments and Trends in the U.S., U.K. and EU
Duane Morris’ Technology, Media and Telecom Industry Group will present a webinar, Tech Sector Sanctions, Export Controls and Foreign Investment Rules in the U.S., the U.K. and the EU, on Wednesday, April 24, 2024, at 12:00 p.m. Eastern time | 5:00 p.m. London time.
The speakers will discuss recent U.S. executive orders and national security directives on inbound and outbound investment, artificial intelligence and sensitive personal data, as well as other developments and trends. REGISTER FOR THE WEBINAR.
The AI Update | April 4, 2024
#HelloWorld. Spring has sprung. While the EU AI Act receives wall-to-wall coverage in other outlets, this issue highlights recent rules, warnings, and legislative enactments here in the U.S. And it ends on a personal, meditative note from an AI user, worth a read. Let’s stay smart together. (Subscribe to the mailing list to receive future issues.)
Federal Enforcers target “AI Washing”
The SEC has entered into settlements on charges with two investment advisers based on misleading statements in their SEC filings regarding their use of Artificial Intelligence technology. Late last year, the Chair of the SEC had warned against overstating use of AI technology so as to mislead investors, and the settlements this week show an intent to follow-through with this priority. The SEC’s efforts to protect investors dovetail with the FTC’s warnings and enforcement actions against misleading consumers by overstating AI capabilities. Companies in the AI space, particularly those with SEC filing obligations, should be aware of this enforcement activity when making claims regarding their technology.
EU Greenlights AI Act
In light of the EU’s AI legislation, Duane Morris partner Agatha Liu tells Vogue Business that fashion brands to adopt a customer-centric approach, prioritizing transparency and providing consumers with comprehensive insights into AI-driven processes. The Act’s focus on eradicating bias underscores the importance of inclusive AI models within the fashion industry. Read the full article on the Vogue Business website.
The AI Update | March 14, 2024
#HelloWorld. Much to catch up on from February and the first half of March. In this issue, we cover the latest AI activity from Europe, as well as a bevy of guidance and updates from U.S. agencies. Off to the races. Let’s stay smart together. (Subscribe to the mailing list to receive future issues.)
Mitigating AI Risks for Beauty Companies
Kelly Bonner and Agatha Liu of Duane Morris LLP shared their insights and experience with CosmeticsDesign on the risks of incorporating AI technology into business practices, and how can beauty companies protect themselves.
Common uses for AI in beauty & associated risks
One of the most common uses for AI technology is personalizing products and offering personalized product recommendations. “As beauty has become increasingly personalized,” Bonner explained, “companies are increasingly deploying AI technologies to enable customers to visualize new looks (virtual try-on tech) or communicate with customers via chatbots that act as virtual assistants and offer personalized product recommendations.”
What Should GenAI Not Do in Healthcare?
With the advent of generative AI models like Med-PaLM and ChatGPT, providers can now type complex medical questions into a chat box and receive sophisticated (and hopefully accurate) answers. This ability surpasses previous AI applications in the potential to serve patients, but also in the potential to run afoul of laws like corporate practice of medicine (CPOM) rules, the False Claims Act (FCA), and FDA regulations. These concerns — on top of the risk of a generative AI model fabricating answers, known as “hallucinations” — mean that providers should proceed with extreme caution before implementing generative AI tools into their practices.
Read the full article by Matthew Mousley on the Wharton Healthcare Quarterly website.
Decoding and Leveraging AI Regulations for Beauty Sector in US and EU
Duane Morris’ Agatha Liu and Kelly Bonner were interviewed by Personal Care Insights about the challenges and opportunities beauty companies face while using AI to appeal to younger consumer demographics. Below is an excerpt of the article.
How does the competitive landscape of the beauty industry impact businesses’ use of AI technologies, especially when it comes to targeting younger consumer segments?
Bonner: The highly competitive nature of the beauty industry, with its desire to appeal to younger consumers, is certainly a key driver in beauty brands embracing AI tools to offer enhanced customer shopping experiences.
Can you provide some context about US AI regulations that the beauty industry should know? What do you expect is coming, especially considering the AI Act in the EU?
Liu: The EU AI Act imposes specific obligations on the providers and deployers of so-called high-risk AI systems, including testing, documentation, transparency and notification duties.
To read the full interview, please visit the Personal Care Insights page.