Power of Shadow AI Awareness

Power of Awarness of Shadow AI Usage

AI tools, especially Generative AI (GenAI) has transformed work - but not always with permission. Shadow AI is the term for the unauthorized or unsanctioned use of artificial intelligence tools - especially generative AI - within an organization, many times run on personal devices of employees, without the knowledge or approval of IT, security, or compliance teams.

It’s efficient. It’s invisible. And it’s risky.

📊 Usage is Surging

• studies suggest that appr. 75% of employees use GenAI at work - often without approval
• 73.8% of ChatGPT and 94.4% of Gemini usage is through personal accounts
• Sensitive data leaks into GenAI tools rose 156% last year

Major technology and financial services have banned or restricted tools like ChatGPT and GitHub Copilot to mitigate data and compliance risks, but many employees insist on using these tools on their personal devices to save time or stay ahead of competition.

🚨 What’s at Stake

• a large telecom manufacturer's staff leaked source code via ChatGPT
• A US bank was fined $250M over biased GenAI-driven lending
• Cybersecurity firms warn insider GenAI use now outpaces external threats
• Violations of GDPR & the EU AI Act are growing with unvetted model inputs

🛡️ How to Respond

• Usage of Solution - Action - Governance Framework: define approved tools and use cases
• Training Programs: Build AI literacy and ethical awareness
• Detection Tools: Monitor with cybersecurity tools as Data Loss Prevention, Cloud Access Security Broker, Security Information and Event Management)
• Approved Alternatives: Provide enterprise-grade AI tools
• Policy Enforcement: Block risky usage; track personal accounts

Shadow AI isn’t just an IT issue, t’s a culture challenge. Companies must act fast to balance innovation with responsibility.

What are your thoughts?

#AI #responsibleAI #shadowAI #AIliteracy #AIgovernance