Are People Lying About AI? How To Avoid A Common Trap.

It sure sounded promising: a startup that claimed it had artificial intelligence (AI) technology that could automate the development of mobile apps. According to "The Wall Street Journal," the company (which recently raised nearly $30 million from AI-focused VC funds), may hardly have any AI capabilities or expertise. According to a study of 2,830 European startups by London-based MMC Ventures, 40% of those that claimed to be "AI startups" had barely any AI at all. This phenomenon is called "AI washing": Companies and people that mislead others about their artificial intelligence (AI) capabilities. AI-washing probably got its name as a variant on "green-washing" or presenting corporate activities as sustainable when they're not. For corporate leaders, the risks of AI-washing may be even greater than that of false sustainability claims.