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Plan ahead for AI regulation

AI as the new commercial revolution and the privacy issues to consider

The DPO Centre, the leading data protection and privacy experts, is urging organisations to plan ahead for future Artificial Intelligence (AI) regulation following the growing trend of AI being considered in day-to-day business operations.

There is a legislative push to regulate the use of AI technology, with the European Commission publishing a proposal for a Regulation on Artificial Intelligence, the first of its kind.

The AI Regulation contains extensive regulatory compliance implications for organisations across a wide range of sectors and is expected to be implemented in late 2022 with a transition period. The proposed regulation will apply to any AI system that is used, or provides an output, within the EU and is aimed specifically at the use and development of AI systems. Whereas the United Kingdoms House of Lords AI Committee, is tasked with considering “the economic, ethical and social implications of advances in artificial intelligence”.

Rob Masson, CEO, The DPO Centre commented, “Organisations should be putting in place an AI Explainability Framework now to safeguard themselves from falling foul of the law. An Explainability Framework is intended for those whose personal data will be used by the AI system. This enables a wider range of users to use and understand how the system processes their data. There should be a clear explanation of how the AI system uses personal data and how the decision-making will come about, it should focus on the transparency principle of the UK and EU GDPRs. In short it must be accessible and understandable; the explanation must justify the outcome and should be contestable.”

Explainability helps to satisfy data subject rights provided under UK and EU GDPR rules. In the future, regulation is likely to call for transparency in AI to improve trust, confidence, and the reputation of the organisation. Having an AI Explainability Framework in place will help ease the burden when it becomes required by law. Having such a Framework will also allow for greater accountability and will help to avoid undue bias and discrimination, especially when paired with other mechanisms like an Algorithm Impact Assessment (AIA).

Mr Masson continued, “We see AI as the new commercial revolution and it is developing rapidly, both technologically and legally. For many organisations the big question is: How do you remain compliant, while gaining the commercial benefit of using AI? Explainability-by-design is key for any organisation wanting to put in place best practice for privacy and data protection. The implementation of an Explainability Framework will build the foundation of trust and transparency across the organisation and is necessary to operate in an effective and open manner.”

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