Navigating Data Security in the Era of AI

With the launch of services such as ChatGPT, Artificial Intelligence (AI) technologies are becoming increasingly mainstream, prompting businesses in every industry to adopt AI to automate repetitive and time-consuming processes. This allows staff to focus on more business-critical tasks. While these advancements may offer many benefits, AI also brings significant risks that organizations cannot afford to overlook.

Data Security Concerns

New technologies have heightened data security concerns among business decision-makers.  Sharing business data with AI systems often involves storing and processing vast amounts of sensitive information. This increases the risk of data breaches, which can occur due to vulnerabilities in the AI system itself, the infrastructure supporting it, or through cyberattacks. Unauthorized access to business data can lead to financial loss, reputational damage, and legal liabilities. 

According to the AI Threat Landscape Report 2024 by HiddenLayer, AI security breaches are a growing issue. The survey found that 77% of businesses reported an AI-related breach in the last year. Despite this, only 61% of IT leaders are confident their budgets are sufficient to stop hackers in their tracks. The reality is that although AI adoption might save money upfront, there is still a cost: data. Historically, guidelines for protecting privacy lag behind the adoption of new technologies. Too often, the implications of privacy breaches become clear only after the initial excitement has subsided. 

Consumer Concerns

Emerging technologies like AI foster innovation but also spark uncertainty among consumers. According to Ping Identity, 97% of consumers have concerns about their personal data being online. In particular, they have heightened expectations around the security for their logins, passwords, and authentication, and face uncertainty around emerging technologies, such as decentralized identity and AI.

Ping Identity found that concerns about identity security are on the rise, with identity theft and fraud a top worry for 87% of consumers – an increase of 24% since 2023.  Additionally, 89% of consumers surveyed by Ping Identity are worried about AI’s impact on identity security, with those who don’t use AI expressing even greater concern than those who do. 

How Organizations Can Help

Without comprehensive policies that address the protection of both electronic and paper documents, along with proper organizational enforcement, businesses risk exposing sensitive data. As such, organizations should maintain cybersecurity policies, such as:  

• Email and Internet Acceptable Use  

• Business Continuity 

• Incident Response  

• Privacy and Security Workforce Training  

• Cybersecurity  

• Workstation Security  

• Access Control  

• Network Security 

Organizations should also provide ongoing and robust education to their employees to help ensure a better understanding of the current best practices in the context of emerging technologies. A robust training and compliance program is crucial not only for regulatory compliance but also for protecting businesses from data breaches and penalties. 

Regular employee training on current regulations and technologies can also help protect potentially vulnerable businesses from cyberattacks by arming the organizations’ employees with the necessary defensive tools. A trusted and knowledgeable partner, like Shred-it^®, can help guide businesses and provide the insights needed to navigate the complex landscape.

Finally, organizations should also create and maintain an incident response plan, which not only helps companies feel confident in what to do if a breach occurs, but as a result, reduces the impact of an event by mobilizing key stakeholders quickly to address and resolve the issue. With proper training and preparation, employees can mitigate risks, and consumers are more likely to trust companies that take robust steps to protect their information. 

Learn more about how Shred-it^® can support your company with a training and compliance program.

^{*This article is for general information purposes only and should not be construed as legal advice on any specific facts or circumstances.}