"So far this year, 418 publicly traded companies valued at more than $1 billion have cited AI-related risk factors associated with reputational harm in those reports, according to an analysis conducted with AlphaSense. That is a 46% jump from 2024 and roughly nine times greater than in 2023. AI datasets could hurt a company's image, the filings say, by producing biased or incorrect information, compromising security, or infringing on others' rights."
"For instance, Take-Two Interactive Software highlighted AI as a risk factor in its 2024 filing with the SEC and expanded that disclosure with more than double the number of words in its 2025 filing. "All of us are using AI today in a way that's greater than we used it a year ago and greater than the year before that," the video-game maker's CEO, Strauss Zelnick, told Business Insider. "With more usage, more experimentation, and more implementation, there's the potential for more risk as well.""
An increasing number of large public companies now list AI-related reputational risks in SEC filings. So far this year, 418 companies valued at over $1 billion cited potential reputational harm from AI, a 46% increase from 2024 and roughly nine times the level in 2023. Filings warn that AI-generated datasets and tools can produce biased or incorrect information, compromise security, or infringe on others' rights. Firms across industries — including gaming, finance, and consumer products — have expanded disclosures. Some executives note that growing AI adoption and experimentation raises operational and reputational risks even as companies pursue competitive advantages.
Read at Business Insider
Unable to calculate read time
Collection
[
|
...
]