Welcome to Part 3 of our series on Shadow AI. In the first installment, we defined Shadow AI and the risks that the unauthorized use of artificial intelligence tools present.

When employees use Shadow AI—that is, unauthorized, unvetted tools that the company is not overseeing or even aware of—it introduces risks, including around privacy and cybersecurity compliance. These risks rarely occur in isolation.

In case there were any doubts about privilege and generative AI, OpenAI CEO Sam Altman recently dispelled them. TechCrunch (and numerous other publications) recently quoted

SIFMA C&L Seminar - Austin

Takeaways from Spring 2025 Legal Event Season

Spring 2025 was a season of deep reflection and bold speculation acr