By Staff Writer at LMG Security   /   Sep 26th, 2024

AI Privacy: 6 Ways To Secure Your Organization from AI Data Leaks

AI privacy - phone is listeningIn today’s fast-paced, interconnected world, AI privacy is becoming an increasingly urgent issue. AI tools are not only found in the apps you use or the virtual assistants on your desk but have seamlessly integrated into almost every device we touch. Whether you’re typing an email, editing a document, or even just chatting on your phone, there’s a high chance that AI is quietly working in the background, predicting your next words, analyzing behaviors, or listening for triggers. This “always-on” state is the new reality and presents significant challenges for AI privacy.

But here’s the kicker—AI isn’t just helping us write emails or manage calendars. It’s also posing real security risks. AI tools, particularly those integrated into personal devices, are often active without our full awareness. Even more worrisome, your vendors, partners, or even employees may already be using AI tools—without your consent or knowledge. This opens a Pandora’s box of security risks. How do you manage an environment where AI is always listening? And what AI privacy risks should be on your radar?

The first step is understanding that adapting to this AI-saturated world isn’t optional. AI is already here, and it’s not going away. Your organization needs to be proactive in addressing these AI privacy risks to protect sensitive information. Let’s explore some critical questions that every CISO, IT leader, and risk manager should be asking.

Understanding AI Privacy Risks & our Top 6 Tips to Secure Your Organization

  1. Alexa, Are You Listening? Yes, She Is.

With the rise of work-from-home environments, more employees are relying on smart assistants like Alexa, Google Home, and Siri to help with day-to-day tasks.

Threat example: Smart devices are designed to listen for commands, but they could also be inadvertently listening to more than just a casual conversation. An offhand comment during a client meeting or sensitive information shared on a conference call could be picked up by these devices, directly affecting AI privacy. Unauthorized data capture by AI is nothing new: Clearview AI took advantage of billions of images from platforms like social media, scraping photos without users’ knowledge to build a powerful facial recognition database. This technology, used by law enforcement agencies, highlighted just how vulnerable we are to unauthorized data capture by AI.

Prevention Tip 1:  Update your company’s remote work policies to include specific guidelines for smart devices in the home office. Employees should be reminded to mute or disable such devices during work hours, especially during conversations that include your organization’s sensitive information.

  1. BYOD Meets AI: A New Set of Concerns

Bring Your Own Device (BYOD) policies have become popular for flexibility and cost savings, but newly integrated AI features create new AI privacy risks. AI will soon be part of the operating systems on employees’ personal devices, from predictive text to background listening services. Your organization is now at risk of having sensitive company data or intellectual property exposed without anyone being the wiser.

Threat example: According to a 2024 study, 77% of businesses experienced AI-related security breaches. These breaches occur because AI is vulnerable at various stages, from development to deployment, making it critical to consider the cybersecurity risks AI poses to personal devices used in a work setting.

Prevention Tip 2: Review and update your BYOD policies with a focus on AI privacy risks. This includes developing and communicating acceptable use policies, considering regular audits of employee devices, ensuring encryption for sensitive data, and potentially restricting the use of certain AI-driven apps or features during work hours.

  1. Vendor Vetting in the Age of AI

AI isn’t just a concern for your internal policies—it’s a major factor in vendor management as well. Your vendors may be using AI to process data, analyze interactions, or even monitor systems. But what if those AI tools inadvertently collect sensitive data or are vulnerable to cyberattacks? Is your sensitive data at risk?

Threat example: Many organizations outsource customer service operations to an overseas provider who handles the majority of client communications. If that company implements Generative AI to speed written chat responses, they may also inadvertently be feeding it sensitive customer or company information. More concerning, if your vendor uses AI (ChatGPT or Copilot are prime examples) to draft strategic plans for your organization’s security or business operations, this is another AI privacy risk.  If these AI systems is breached, it could potentially expose company and customer data. Watch our 8-minute video on AI security risks or read our blog on 2024’s top risks to date and we’ll explain more about how these attacks happen so you can better understand your risks.

Prevention Tip 3:  Expand your vendor vetting process to include a review of AI privacy and data risks. Are your vendors deploying AI tools that could access your data? Do they have safeguards to protect that data? Have they accounted for the risks associated with AI integrations and potential breaches in their own environment?

  1. Do You Allow Phones in Meetings? Think Twice.

It might seem harmless to let employees bring their phones into meetings, but this seemingly innocent decision can create AI privacy risks.

Threat example: Company meetings can be a goldmine of strategic intellectual property and employee personal information. Smartphones are now equipped with AI tools that can listen to and analyze conversations, potentially recording sensitive information. Employees may not even be aware that their devices, or the apps on them, are actively listening, and that private information can quickly become public if that AI platform is breached.

Prevention Tip 4:  Develop acceptable use policies that clearly state when personal devices must be left outside meeting rooms, especially for high-level or confidential discussions.

  1. Shadow AI: AI is no longer just an innovation—it’s a staple of modern work environments and your IT team may not even know what platforms your team is using (this is known as Shadow AI). When intellectual property is entered into an AI platform, it can be used to train AI models—potentially exposing your confidential data to others—or leaked in the event of a platform breach. This can lead to serious consequences, including the loss of proprietary and sensitive information. To successfully adapt to this, your organization’s IT and employee policies must evolve to address AI risks.

Threat example: Samsung had a major intellectual property leak when an employee used the public version of ChatGPT to refine code, unintentionally leaking sensitive meeting notes and source code online. Without policies and training, employees or contractors may use unauthorized AI tools without the knowledge of your IT team, introducing unforeseen security vulnerabilities.

Prevention Tip 5: You should create and communicate acceptable use policies and acceptable AI options to your team. You should also have regular cybersecurity awareness training for employees about cybersecurity risks and include the risks associated with AI. Topics should include how to use AI responsibly, how to identify potential risks, and what actions to take if they believe sensitive data is being exposed.

Prevention Tip 6: The Samsung example also illustrated why organizations must invest in robust AI governance. This includes not only establishing policies for AI use but also ensuring continuous oversight. A governance framework should cover everything from internal AI deployments to how your vendors and partners use AI. By ensuring a structured approach to AI management, you can better mitigate AI privacy risks and foster a culture of transparency and security.

AI brings many benefits, but it also introduces significant risks. Contact us if you need help updating policies, educating employees, and enhancing your vendor vetting process, so you can stay ahead of AI’s security challenges.

About the Author

LMG Security Staff Writer

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