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Summer 2023AI and business

MOLESWORTHS BRIGHT CLEGG employment solicitor, Adam Salkie and trainee solicitor, Katy Dunn reflect on AI and its impact on business.

What is AI?

Short for Artificial Intelligence, put simply, AI refers to the development of computer systems that can perform tasks that typically require human intelligence. As AI technology continues to develop at pace, it has the potential to transform many industries and aspects of daily life.

Whilst historically, there has been a fear of AI and what it could mean, Indian author and spiritualist Amit Ray says: “The coming era of Artificial Intelligence will not be the era of war, but will be the era of deep compassion, non-violence, and love.”

Was he correct? Let’s look at what AI could mean for business.

Positive impact

Whilst AI presents obvious challenges for business, such as job displacement, data privacy concerns and ethical considerations, it is having significant impact on UK businesses and has led to:

  • New business opportunities
  • Increased efficiency. It can be used to automate tasks that were previously done manually and free up employee time to focus on more strategic tasks.
  • Improved customer experience. AI can be used to analyse data and provide personalised recommendations.
  • Costs savings. Automated tasks can save on labour costs.

Potential dangers

It’s important to note the potential significant danger of AI concerning intellectual property and to put appropriate safeguards and regulations in place to protect these rights and prevent misuse.

  • Ownership. Who owns the intellectual property created by AI? If an AI system creates a piece of music or art, who owns the copyright? Note the complications if multiple AI systems are involved in the creation of a work.
  • Misuse. AI can be used to create digitally altered images or videos that can spread disinformation. This can be a threat to intellectual property rights, as well as to privacy and reputation.
  • Infringement. AI can copy and reproduce content at a scale and speed that was hitherto impossible. This can lead to widespread infringement of copyrighted material and other forms of intellectual property.
  • Bias. An AI system may inadvertently infringe on intellectual property due to biased algorithms. A machine learning algorithm may be trained on copyrighted material without proper licensing, leading to unintentional infringement.
  • Security. AI can be used to hack into computer systems and steal intellectual property. There are specific industries where this can be dangerous, such as pharmaceuticals where intellectual property is a critical asset.