As artificial intelligence (AI) continues to make a significant splash in the global market, federal regulators are standing ready to crack down on companies making misleading AI claims in their product promotions. Coined as “AI washing,” this practice can be compared to “greenwashing,” wherein companies make unsupported environmental claims, a tactic that can land companies in the crosshairs of regulators.
Crucially, enforcement action by regulatory bodies isn’t a mere rumour. Michael Atleson, an attorney at the Federal Trade Commission, comments on overuse and abuse of hot marketing terms, hinting at the regulatory scrutiny that’s on the horizon.
As the field of AI continues to evolve, it is critical for companies to stay informed about the legal landscape that governs the use of AI in marketing. Claims about AI capabilities must be accurate and verifiable to avoid regulatory fallouts. Hence, the talk of the town for legal professionals isn’t just about AI advancements, but also how these advancements are being presented to the world.