Navigating Legal Complexities When Using Company Data to Train AI

As AI technology continues to advance, many corporations are contemplating the utilization of their own data to train AI models. The recent updates to OpenAI’s GPT-3.5 Turbo fine-tuning and application programming interface have rejuvenated this conversation. However, before diving headfirst into the implementation, there are crucial legal considerations to keep in mind, as highlighted by James Gatto of Sheppard Mullin.

One of these is the right to use the data. It may seem axiomatic that companies can wield their own data freely, but Gatto reminds businesses that this is not always the case. Ownership details, legal restrictions, and individual privacy rights can all impose limitations on the internal usage of company data. Therefore, it is vital that these factors be verified before deploying data for the training of AI.

Although this notion has been illuminated by the brisk technological advances in AI, it is also applicable in a more general context. Any actions involving the deployment of internal data need to be approached with a clear understanding of the legal landscape to avoid costly and potentially reputation-damaging consequences.

For more insights on this topic and to read the detailed analysis provided by James Gatto, visit
www.law360.com
.