AI and privacy: how does that work?

At a time when artificial intelligence (AI) is becoming an ever larger part of daily life, it is worth pausing over the impact of its use on privacy and the rules that apply. In this article I discuss a number of points to watch.

Rules on the use of AI and algorithms

AI and algorithms usually work on the basis of data. A great deal of data. That can range from simple usage statistics to sensitive personal data. But what is and is not allowed?

Where you process personal data you have to comply with the General Data Protection Regulation (GDPR), including where you do so in combination with AI. As the provider of an AI system you also have to comply with the AI Act. The following points matter when using AI:

• Transparency is key: Users are entitled to clear information about how their data is collected and processed. That means you have to explain clearly what your AI system does and which data it uses.
• Consent: There are cases in which explicit consent is needed in order to use personal data. That applies in any event where you process sensitive data, such as health information or biometric data.
• Non-discrimination: Algorithms may not produce discriminatory outcomes. An AI system that assesses job applicants, for instance, may not unjustifiably favour a particular group on the basis of race or sex.

Make sure your organisation’s policy meets these rules, and avoid legal problems.

What should you watch out for in privacy terms when using AI?

The use of AI brings its own challenges for privacy. Here are a few points to bear in mind:

• Data minimisation: Process only the data that is strictly necessary for your AI system to function. More data does not always mean a better outcome, but it does mean a greater risk of privacy breaches.
• Anonymising data: Where possible, use anonymised data. That considerably reduces the risk of privacy breaches.
• Audits and monitoring: Carry out regular checks on your AI systems to make sure they comply with privacy legislation. Think of checking how data is stored and secured.
• Privacy by design: Build privacy protection into your AI solution from the outset. That saves you having to solve problems later.

AI brings great opportunities, but responsibilities as well. By taking privacy law seriously you not only keep your users satisfied, you also avoid fines and reputational damage. AI and privacy can coexist, as long as you handle data sensibly.