Regulation of Artificial Intelligence in Europe and Japan

Enterprises around the world are rapidly incorporating artificial intelligence (AI) into existing and new products and processes. This effort is not just to improve such offerings and services, but to achieve a qualitatively higher level of capability not possible before. It is clear that AI carries the potential for many new opportunities, across all industries, but it is also already recognized that it brings numerous risks as well. As with any technology, senior management and board directors need to be aware of both the opportunity and the risk in order to successfully and responsibly manage the enterprise. The opportunities are great--AI can assist in robotic process automation (RPA), machine learning, natural language processing, finding new drugs and therapies, and will be essential for driverless transportation--but if the risks are downplayed or overlooked, there can be serious reputational and/or legal consequences.