AI adoption surges amidst data vulnerabilities

Businesses are embracing AI despite data concerns, highlighting a need for strong infrastructure and skills to ensure safety and effectiveness.

In the current technological landscape, 64% of businesses report making AI-based decisions, even when their underlying data may not be fully accurate. This trend highlights the importance of aligning AI adoption with appropriate data infrastructure to support reliable outcomes.

As AI becomes more integrated into business operations, many US organisations are accelerating its adoption. This can sometimes lead to compliance being deprioritised, with 54% of businesses focusing on speed rather than regulatory considerations in implementing AI.

The AND Digital Winning the Intelligent Customer report identifies challenges in this approach. Organisations continue to manage fragmented or poorly governed data, with 63% indicating that siloed customer information can hinder innovation and increase the risk of privacy incidents.

Investment patterns further reflect this imbalance. While 72% of businesses direct resources towards AI tools, fewer allocate funding to the underlying data infrastructure needed to support these systems. Without this foundation, AI initiatives may not achieve their intended operational benefits.

Ahead of Data Privacy Day on 28 January, and in the context of recent cyber incidents, there is an increased focus on strengthening data management practices. The prioritisation of real-time data processing by 85% of businesses indicates a growing recognition of the need to modernise infrastructure to support AI effectively.

Richard Bovey, Chief for Data at AND Digital, notes that while businesses are expanding AI use, attention to data quality, governance, and employee skills is essential to ensure AI is implemented safely and effectively.

As Data Privacy Day approaches, businesses are encouraged to review and reinforce privacy frameworks, combining compliance measures with staff training and improvements in data management practices to support responsible AI use.

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