Technology is part of everyday life and plays an increasingly significant part in commerce. Keeping pace with technological innovation is now becoming a key differentiator in most commercial sectors. Businesses that fail to implement and use new technology may lose ground that they find they cannot recover.
There is the perception that technology delivers the competitive edge and improved services and any business that does not embrace the advances will struggle to maintain relevance. Furthermore, the technological world moves extremely fast, it will be necessary for a constant learning programme to be implemented in order to stay ahead of each new innovation.
Artificial Intelligence
Artificial Intelligence (AI) promises to be the biggest game changer. The principle of machine learning is older that many people realise and was envisaged some considerable decades ago when the theory of machine learning was pitched in a paper published in 1950 in a scientific journal called Mind, “Computing Machinery and Intelligence” (Alan Turing) which posed the question “Can machines think?” Together with second world war codebreakers, Jack Good and Donald Michie, who also went on to write extensive works on technology.
Philip Hooley, a partner, comments “AI effectively replicates the cognitive functions of human beings, up to a point, using algorithms to detect data patterns which can be applied to certain functions. Whilst security is a major concern, there are other issues that urgently need to be addressed” Philip further commented “AI is regarded differently by countries across the world. Some countries are embracing it, such as USA and China, whereas Italy banned one example of it, ChatGPT. The speed of AI’s evolution has resulted in calls for the control and regulation of AI. It may appear that the UK Government may be intending to lead the way. AI’s rapid growth may make it extremely difficult to police worldwide unless there is a global consensus on the need to limit its capacity.”
The Government Initiatives
There are two significant initiatives announced by the Government, first, the world first summit on artificial intelligence safety in November at Bletchley Park in Buckinghamshire, a significant location in the history of technology. The objective of the summit is to bring together International governments, leading AI companies and experts will to take part in crucial talks on the safe development and use of AI technology. This is In an attempt to encourage all countries to work together and agree on a shared approach to the safety measures needed to moderate and diminish the risks of AI. Technology Secretary Michelle Donelan said: “International collaboration is the cornerstone of our approach to AI regulation, and we want the summit to result in leading nations and experts agreeing on a shared approach to its safe use. The UK is consistently recognised as a world leader in AI and we are well placed to lead these discussions. The location of Bletchley Park as the backdrop will reaffirm our historic leadership in overseeing the development of new technologies.
AI is already improving lives from new innovations in healthcare to supporting efforts to tackle climate change, and November’s summit will make sure we can all realise the technology’s huge benefits safely and securely for decades to come.”
The second Government initiative was announced by the Prime Minister, Rishi Sunak, on Thursday in that the UK is to set up the first AI Safety Institute in the world to “carefully examine, evaluate and test new types of AI to explore the risks.” As AI advances and becomes increasingly sophisticated the extent of the security risks to individuals and businesses are significantly amplified.
Mitigating AI Risks
AI has assisted malicious hackers to bypass security measures and exploit vulnerabilities in systems leading to the theft of intellectual property, the spreading of damaging misinformation and the development of destructive cyberattacks exposing client’s personal data, opening up the risk of punitive sanctions for breaches of the General Data Protection Rules (GDPR).
In the absence of regulations that protect against AI security threats, businesses must maintain constant vigilance to mitigate these security risks. Every aspect of day-to-day business activity should be reviewed and strengthened from drafting robust contracts to tackling all perceived breaches perpetrated by suppliers, clients and professional advisors to send out a message demonstrating that a company is vigilant and not afraid to take legal action immediately an infringement or violation is observed.
Giambrone & Partners experienced commercial lawyers note that the stated aims of the AI Safety Institute aims to evaluate each new development in AI and assess the consequences having established a comprehensive understanding of what each new type of AI is capable of. If this can be done at the same speed as AI expands and advances its capacity, it will be invaluable. If the AI Safety Institute fails to keep pace with AI advances it will be of little more limited benefit in off-setting the new AI threats.
Philip Hooley is a highly experienced commercial litigator having worked in the legal sector of the City of London for twenty-five years advising on commercial disputes in various industry sectors ranging from traditional IT to digital transformation, cyber security and Artificial Intelligence (AI), technology, insurance and reinsurance, financial services, professional negligence, pharmaceutical, insolvency and energy for organisations based in the UK and overseas.
He also advises on the management of multifaceted claims in various jurisdictions providing technical strength and commercial awareness of cultural differences in cross-border matters.
Philip’s experience extends to extremely high-profile cases valued at in excess of one billion dollars for organisations that are household names. His clients value his astute ability to secure favourable outcomes for complex disputes at the pre-action stage where possible. Should this be unavoidable, he is a robust litigator and brings strategic insight to each case.