Study Guide - AIGP 03262024
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mirzagogicStudy Guide - AIGP 03262024
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mirzagogicAIGP Study Guide
Last Revised: 3/26/2024
Domain 1: Understanding the Foundations of Artificial Intelligence
Understand the basic elements of AI and ML
● Understand common elements of AI/ML definitions under new and emerging law:
○ 1. Technology (engineered or machine-based system; or logic, knowledge, or
learning algorithm).
■ AI is“An engineered or machine-based system thatcan, for a given set of
objectives, generate outputs such as predictions, recommendations, or
decisions influencing real or virtual environments. AI systems are
designed to operate with varying levels of autonomy.” - NIST
■ “Machine learning (ML) is a branch of artificial intelligence (AI) and
computer science that focuses on the using data and algorithms to enable
AI to imitate the way that humans learn, gradually improving its accuracy.”
(s ource)
■ Knowledge-based systemsare a form of artificial intelligence(AI)
designed to capture the knowledge of human experts to support
decision-making. An expert system is an example of a knowledge-based
system because it relies on human expertise. (source)
○ 2. Automation (elements of varying levels).
■ Automation is any technology that reduces human labor,especially
for predictable or routine tasks.
■ AI simulates human intelligencewith machines thatcan learn, reason,
and act independently.
■ Essentially,automation is about setting up machinesto follow
commands. AI is about setting up machines to mimic humans and
think for themselves. (source)
○ 3. Role of humans (define objectives or provide data).
■ The work of humans can be enhanced by AI, AI is meant to help make
human’s work more efficient and better quality.
■ Humans may define the objective for an AI, or may provide the data to
train the AI to perform a certain objective (analyze data, create
something, etc)
■ “Humans decide which datasets are discoverable, linked and analyzed.”
(s ource)
■ Humans determine whether data, algorithms, algorithmic methods, code
and people — as brought together and operating within technical,
operational and legal controls, safeguards and guide rails specified by the
same or different humans — are reliable and safe to produce appropriate
outputs that lead to appropriate outcomes on humans or the environment.
Humans, directly or indirectly, consciously or otherwise, determine what is
appropriate. (source)
○ 4. Output (content, predictions, recommendations, or decisions).
■ Predictive AI- offers predictions, can be used to inform
recommendations or decisions (source)
■ Generative AI- generates new content, such as text, images, and video
Parameters Generative AI Predictive AI
redicts and analyzes existing patterns or
P
Objective Generates new, original content or data
outcomes
Function Creates new information or content akes predictions based on existing data
M
Requires historical data for learning and
Training data Requires diverse and comprehensive data
prediction
Examples Text generation, image synthesis Forecasting, classification, regression
Learns from historical data to make
Learning process Learns patterns and relationships in data
predictions
Use cases Creative tasks, content creation Business analytics, financial forecasting
Limited to existing patterns, may miss novel
Challenges May lack specificity in output
scenarios
Generally more complex and Requires less complex training compared to
Training complexity
resource-intensive generative models
enerative AI is creative and produces
G Predictive AI lacks the element of content
Creativity
things that have never existed before creation
Generative AI uses complex algorithms and Predictive AI generally relies on statistical
Different algorithms deep learning to generate new content algorithms and machine learning toanalyze
based on the data it is trained on data and make predictions
(source)
● Understand what it means that an AI system is a socio-technical system.
○ A socio-technical systemis a type of system in whichboth social and
technical elements are intertwined with each other.AI Systems are
considered social-technical because they are not just technical tools but also
have asocial impact on the people who use them andare affected by them.
(s ource)
● Understand the need forcross-disciplinary collaboration(ensure UX, anthropology,
sociology, linguistics experts are involved and valued).
○ “allows complex problems to be solved that a single discipline alone could not
handle.” (source) (reference)
● Knowledge of the OECD framework for the classification of AI systems.
○ https://oecd.ai/en/classification
○ The Framework is used to:
■ Promote a common understanding of AI:Identify featuresof AI
systems that matter most, to help governments and others tailor policies
to specific AI applications and help identify or develop metrics to assess
more subjective criteria (such as well-being impact).
■ Inform registries or inventories:Help describe systemsand their basic
characteristics in inventories or registries of algorithms or automated
decision systems.
■ S upport sector-specific frameworks:Provide the basis for more
detailed application or domain-specific catalogs of criteria, in sectors such
as healthcare or in finance.
■ Support risk assessment:Provide the basis for related work to develop
a risk assessment framework to help with de-risking and mitigation and to
develop a common framework for reporting about AI incidents that
facilitates global consistency and interoperability in incident reporting.
■ Support risk management:Help inform related workon mitigation,
compliance and enforcement along the AI system lifecycle, including as it
pertains to corporate governance.
The framework classifies AI systems and applications along the following
○
dimensions:
■ People & Planet-This considers the potential of appliedAI systems to
promote human-centric,trustworthy AI that benefits people and planet. In
each context, it identifies individuals and groups that interact with or are
affected by an applied AI system. Core characteristics include users and
impacted stakeholders, as well as the application’s optionality and how it
impacts human rights, the environment, well-being, society and the world
of work.
■ Economic Context-This describes the economic andsectoral
environment in which an applied AI system is implemented. It usually
pertains to an applied AI application rather than to a generic AI system,
and describes the type of organization and functional area for which an AI
system is developed. Characteristics include the sector in which the
system is deployed (e.g. healthcare, finance, manufacturing), its business
function and model; its critical (or non-critical) nature; its deployment,
impact and scale, and its technological maturity.
■ Data & Input-This describes the data and/or expertinput with which an
AI model builds a representation of the environment. Characteristics
include the provenance of data and inputs, machine and/or human
collection method, data structure and format, and data properties. Data &
Input characteristics can pertain to data used to train an AI system (“in the
lab”) and data used in production (“in the field”).
■ AI Model-This is a computational representation ofall or part of the
external environment of an AI system – encompassing, for example,
processes, objects, ideas, people and/or interactions that take place in
that environment. Core characteristics include technical type, how the
model is built (using expert knowledge, machine learning or both) and
how the model is used (for what objectives and using what performance
measures).
■ Task & Output-This refers to the tasks the systemperforms, e.g.
personalisation, recognition,forecasting or goal-driven optimisation; its
outputs; and the resulting action(s) that influence the overall context.
Characteristics of this dimension include system task(s); action autonomy;
ystems that combine tasks and actions like autonomous vehicles; core
s
application areas like computer vision; and evaluation methods.
● U
nderstand the use cases and benefits of AI(recognition, event detection,
forecasting, personalization, interaction support, goal-driven optimization,
recommendation).
○ “By producing fresh content,generative AIis usedto augment but not replace
the work of writers, graphic designers, artists, and musicians. It is particularly
useful in the business realm in areas like product descriptions, variations to
existing designs, or helping commercial artists explore different concepts. Among
its most common use cases, generative AI can:
■ Text: Generate credible text on various topics. It can compose business
letters, provide rough drafts of articles, and compose annual reports.
■ Images: Output realistic images from text prompts, create new scenes,
and simulate a new painting.
■ Video: Compile video content from text automatically and put together
short videos using existing images.
■ Music: Compile new musical content by analyzing a music catalog and
rendering a new composition.
■ Product design: Can be fed inputs from previous versions of a product
and produce several possible changes that can be considered in a new
version.
■ Personalization: Personalize experiences for users such as product
recommendations, tailored experiences, and new material that closely
matches their preferences.” (source)
○ “P redictive AIis finding innumerable use cases acrossa wide range of
industries. If managers knew the future, they would always take appropriate
steps to capitalize on how things were going to turn out. Anything that improves
the likelihood of knowing the future has high value in business. Predictive AI use
cases include financial forecasting, fraud detection, healthcare, and marketing.
Predictive AI can:
■ Financial services:Enhances financial forecasts.By pulling data from a
wider data set and correlating financial information with other
forward-looking business data, forecasting accuracy can be greatly
improved.
■ Fraud detection:Spot potential fraud by sensing anomalousbehavior. In
banking and e-commerce, there might be an unusual device, location, or
request that doesn’t fit with the normal behavior of a specific user. A login
from a suspicious IP address, for example, is an obvious red flag.
■ Healthcare:Find use cases such as predicting diseaseoutbreaks,
identifying higher-risk patients, and spotting the most successful
treatments.
■ Marketing:More closely define the most appropriatechannels and
messages to use in marketing. It can provide marketing strategists with
the data they need to write impactful campaigns and thereby bring about
greater success.” (source)
Understand the differences among types of AI systems
● Understand the differences betweenstrong/broad andweak/ narrow AI.
○ “Weak AI, often known as narrow AI, is a category of artificial intelligence
confined to a singular or limited domain. Weak AImimics human thought
processes. By performing time-consuming operationsand conducting data
analysis through methods that people can’t always use, this technology can be
advantageous to society.” “It cannot break the rules;it just adheres to them
and is constrained by them. Weak AI helps convertenormous amounts of data
into useful information by identifying patterns and generating predictions.”
(s ource)
○ “Strong AI, also known as artificial general intelligence (AGI) or deep AI, is a
computer system with acomprehensive intellect capableof learning and
employing its intellectual ability to solve any problem.”“It can understand,
work and have a thought process different from humans in certain situations.
Strong AI uses an understanding of mind AI framework to understand the goals,
motivations, standards, and cognitive processes that govern other intelligent
beings.” (source)
Weak AI Strong AI
Limited to perform specific tasks Perform intelligent human level activities
Programmed for fixed function ave the ability to learn, think and perform new
H
activities like humans
It doesn’t have any consciousness or awareness It poses creativity, common sense and logic like
of its own. humans.
hey have a goal to complete a task with
T hey have a goal to solve problems at a faster
T
creative and accurate solutions. pace.
xamples of weak AI include Alexa, Siri and
E here are no real examples of strong AI because it
T
Google Assistant. NLP, Google Maps is a hypothetical theory. Some fictional examples
(suggesting alternative routes), ChatGPT, Email are Wall-E and Big Hero 6. Useful for: Cyber
Spam Filter Security, Robots with high intellect, Integration of
strong AI in IoT (Internet of Things), Language
translation machines
Image recognition systems
(source)
● U
nderstand the basics of machine learning and its training methods (supervised,
unsupervised, semi-supervised, reinforcement).
(source)
○ S upervised- work with pre-labeled data. Classificationand regression are the
most common types of supervised learning algorithms.
■ “Classification algorithms decide the categoryofan entity, object or
event as represented in the data. The simplest classification algorithms
answer binary questions such as yes/no, sales/not-sales or cat/not-cat.
More complicated algorithms lump things into multiple categories like cat,
dog or mouse.Popular classification algorithms includedecision
trees, logistic regression, random forest and support vector
machines.” (source)
■ “R egression algorithms identify relationships withinmultiple
variablesrepresented in a data set. This approachis useful when
analyzing how a specific variable such as product sales correlates with
changing variables like price, temperature, day of week or shelf location.
Popular regression algorithms include linear regression,
multivariate regression, decision tree and least absolute shrinkage
and selection operator (lasso) regression.” (source)
○ Unsupervised-Automates the process of finding patternsin a dataset.
Clustering and dimensional reductionare two commonunsupervised learning
algorithmic types.
■ “C lustering algorithmshelp group similar sets ofdata together based on
various criteria. Practitioners can segment data into different groups to
identify patterns within each group.” (source)
■ “D imension reduction algorithmsexplore ways to compactmultiple
variables efficiently for a specific problem.” (source)
○ S emi-supervised-characterize processes that use unsupervised learning
algorithms to automatically generate labels for data that can be consumed by
supervised techniques.
○ Reinforcement- used to improve models after they’ve been deployed.The most
common reinforcement learning algorithms use various neural networks. (source)
Understand deep learning, generative AI, multi-modal models, transformer models, and
●
the major providers.
○ Deep learning
■ “D eep learning is a type ofmachine learningand artificialintelligence(A
I)
that imitates the way humans gain certain types of knowledge. Deep
learning models can be taught to perform classification tasks and
recognize patterns in photos, text, audio and other various data. It is also
used to automate tasks that would normally need human intelligence,
such as describing images or transcribing audio files.”(Source)
■ Enables a computer to learn by example.
■ Can be used for digital assistants, fraud detection, and facial recognition
■ Is able to create accurate predictive models from large amounts of
unlabeled, unstructured data
(source)
○ Generative AI
■ Generates content, like images and text. Newer version of AI compared to
predictive AI, which recognizes patterns across time. This is a type of
deep learning that generates content to resemble existing data.
○ Multi-modal models
■ A subset of deep learning that deals with the fusion and analysis of data
from multiple modalities, such as text, images, video, audio, and sensor
data. Combines the strengths of different modalities to create a more
complete representation of the data, leading to better performance on
various machine learning tasks. (source)
■ Multimodal learning presents two primary benefits (source):
● Multiple sensors observing the same data can make more robust
predictions, because detecting changes in it may only be possible
when both modalities are present.
● The fusion of multiple sensors can facilitate the capture of
complementary information or trends that may not be captured by
individual modalities
■ In general, multimodal architectures consist of three parts (source):
● Unimodal encoders encode individual modalities. Usually, one for
each input modality.
● A fusion network that combines the features extracted from each
input modality, during the encoding phase.
● A classifier that accepts the fused data and makes predictions.
○ Transformer models
■ A type of deep learning model, used for Natural Language Processing
(NLP). These models can translate text and speech in near-real-time.
Transformer models work by processing input data, which can be
sequences of tokens or other structured data, through a series of layers
that contain self-attention mechanisms and feedforward neural networks.
Transformer models are trained usingsupervised learning,where they
learn to minimize a loss function that quantifies the difference between
the model's predictions and the ground truth for the given task. (source)
Understandnatural language processing: text as inputand output.
●
○ “the input is a block oftext(either written textor text converted from
s peech), and the output is somedesired characteristicof the text,such
as its purpose (search query, command, review, etc.) and meaning or tone
(positive, negative, angry, biased).” (source)
● U
nderstand the difference between robotics androboticprocessing automation
(RPA).
○ “The term 'robotics' specifically relates to machines that can see, sense, actuate
and, with varying degrees of autonomy, make decisions.” (source)
○ “RPA is a software robot thatmimics human actions,whereas artificial
intelligence is the simulation of human intelligence using computer software.”
(s ource)
Understand the AI technology stack
● “The AI stack is a structural framework comprisinginterdependent layers, each serving
a critical function to ensure the system’s efficiency and effectiveness. Unlike a monolithic
architecture, where each component is tightly coupled and entangled, the AI stack’s
layered approach allows for modularity, scalability, and easy troubleshooting.This
architecture comprises critical components such asdata ingestion, data storage, data
processing, machine learning algorithms, APIs, and user interfaces. These layers
act as the foundational pillars that support the intricate web of algorithms, data pipelines,
and application interfaces in a typical AI system. Let’s understand these layers in depth.”
(source)
● “The Generative AI tech stack comprises infrastructure, ML models (e.g., GANs,
transformers), programming languages, and deployment tools. It's structured in three
layers—Applications, Model, and Infrastructure—guiding tech choices for efficient
development, cost reduction, and tailored outputs.” (source)
● Platforms and applications.
○ “A well-architected AI tech stack fundamentally comprises multifaceted
application frameworks that offer an optimized programming paradigm, readily
adaptable to emerging technological evolutions. Such frameworks, including
LangChain, Fixie, Microsoft’s Semantic Kernel, and Vertex AI by Google Cloud,
equip engineers to build applications equipped for autonomous content creation,
semantic comprehension for natural language search queries, and task
execution through intelligent agents.”
● Model types.
○ Foundation Models (FMs), essentially serving as thecognitive layer that
enables complex decision-making and logical reasoning. Large scale, pre-trained
models.
○ Closed-Source Foundation Models- obscures or protectsthe AI models,
provenance of training data, and/or the underlying code. Tends to be faster and
can be used via various cloud services.(source)
○ Open-Source Foundation Models- openly sharing AI models,the provenance
of training data and the underlying code. While not as fast, it enables greater
scrutiny of underlying code, models and data and often results in improved
explainability and security. (source)
(source)
● Compute infrastructure: software and hardware (servers and chips).
○ Software
■ “our AI infrastructure will need a software stack that includesmachine
learning libraries and frameworks(like TensorFlow,PyTorch, or
Scikit-learn),a programming language(like Python),and possibly a
distributed computing platform(like Apache Sparkor Hadoop). You'll
also need tools fordata preparation and cleaning,as well as for
monitoring and managing your AI workloads.” (source)
○ Hardware
■ “Machine learning and AI tasks are often computationally intensive and
may requirespecialized hardwaresuch as GPUs or TPUs.These
resources can be in-house, but increasingly, organizations leverage
cloud-based resources which can be scaled up or down as needed,
providing flexibility and cost-effectiveness.” (source)
■ “Accelerator chips optimized for model training and inference workloads”
(s ource)
Understand the history of AI and the evolution of data science
● 1956 Dartmouth summer research project on AI (source)
○ Birth of AI as a field of research
○ “the conference was “to proceed on the basis of the conjecture that every aspect
of learning or any other feature of intelligence can in principle be so precisely
described that a machine can be made to simulate it.”
● Summers, winters and key milestones.
○ “The peaks, or AI summers, see innovation and investment. The troughs, or AI
winters, experience reduced interest and funding.” (source)
○ 1956–1974: THE GOLDEN YEARS
■ During the Golden Years of AI, the programs – including computers
solving algebra word problems and learning to speak English – seem
"astonishing" to most people.
○ 1974–1980: 20TH CENTURY AI WINTER
■ The first AI winter occurs as the capabilities of AI programs remain
limited, mostly due to the lack of computing power at the time. They can
still only handle trivial versions of the problems they were supposed to
solve.
○ 1987–1993: A RENEWED INTEREST
■ The business community's fascination and expectations of AI, particularly
expert systems, rise. But they are quickly confronted by the reality of their
limitations.
● Understand how the current environment isfueled byexponential growth in
computing infrastructure and tech megatrends(cloud,mobile, social, IOT, PETs,
blockchain, computer vision, AR/VR, metaverse).
○ Increasing computing and storage capacities (source)
○ Enormous growth in the amount of data available for learning and
analysis.(source)
○ The development of learning machines based on artificial and neural networks.
(s ource)
omain 2: Understanding AI Impacts and Responsible AI Principles
D
Understand the core risks and harms posed by AI systems
● Understand the potential harms to anindividual (civilrights, economic opportunity,
safety).
○ “An inaccurate system will implicate people for crimes they did not commit. And it
will shift the burden onto defendants to show they are not who the system says
they are.” (Source)
○ “Face recognition uniquely impacts civil liberties.The accumulation of
identifiable photographs threatens important free speech and freedom of
association rights under the First Amendment, especially because such data can
be captured without individuals’ knowledge.”(Source)
○ ”T he collection and retention of face recognitiondata poses special
security risks.All collected data is at risk of breachor misuse by external and
internal actors, and there are many examples of misuse of law enforcement data
in other contexts.4Face recognition poses additionalrisks because, unlike a
social security number or driver’s license number, we can’t change our faces.
Law enforcement must do more to explain why it needs to collect so much
sensitive biometric and biographic data, why it needs to maintain it for so long,
and how it will safeguard it from breaches.”(Source)
○ ”O ur biometrics are unique to each of us, can’t bechanged, and often are easily
accessible. Face recognition, though, takes the risks inherent in other biometrics
to a new level because it is much more difficult to prevent the collection of an
image of your face. We expose our faces to public view every time we go
outside, and many of us share images of our faces online with almost no
restrictions on who may access them. Face recognition therefore allows for
covert, remote, and mass capture and identification of images.9 The photos that
may end up in a database could include not just a person’s face but also how she
is dressed and possibly whom she is with.” (Source)
○ ”G overnment surveillance like this can have a realchilling effect on Americans’
willingness to engage in public debate and to associate with others whose
values, religion, or political views may be considered different from their own. For
example, researchers have long studied the “spiral of silence”— the significant
chilling effect on an individual’s willingness to publicly disclose political views
when they believe their views differ from the majority.11”(Source)
● Understand thepotential harms to a group (discriminationtowards sub-groups).
○ ”F ace recognition disproportionately impacts peopleof color.Face
recognition misidentifies African Americans and ethnic minorities, young people,
and women at higher rates than whites, older people, and men, respectively.2
Due to years of well-documented, racially biased police practices, all criminal
databases—including mugshot databases—include a disproportionate number of
African Americans, Latinos, and immigrants.3 Thesetwo facts mean people of
color will likely shoulder significantly more of the burden of face recognition
systems’ inaccuracies than whites.”(S
ource)
○ ” D ue to years of well-documented racially-biased police practices, all criminal
databases—including mugshot databases—include a disproportionate number of
African Americans, Latinos, and immigrants.17 Thesetwo facts mean people of
color will likely shoulder exponentially more of the burden of face recognition
inaccuracies than whites.”
○ ”If job seekers’ faces are matched mistakenly to mug shots in the criminal
database, they could be denied employment through no fault of their own. Even if
job seekers are properly matched to a criminal mug shot, minority job seekers will
be disproportionately impacted due to the notorious unreliability of FBI records as
a whole”
● Understand thepotential harms to society(democraticprocess, public trust in
governmental institutions, educational access, jobs redistribution).
○ Emily Bender claims the real risks and harms are more “about concentration of
power in the hands of people, about reproducing systems of oppression, about
damage to the information ecosystem, and about damage to the natural
ecosystem (through profligate use of energy resources).”
Understand thepotential harms to a company or institution(reputational, cultural,
●
economic, acceleration risks). (source)
○ Sensitive Data Exposure:Handling large datasets canlead to unintended
exposure of confidential information, including customer and business data,
posing risks of identity theft, financial fraud, and loss of public trust. Protection of
privacy and data security have been prioritized and will be subject to closer
scrutiny as a result of the recent executive order.
○ Cybersecurity Vulnerabilities:Integration of AI withentities’ institutional
platforms can create entry points for hackers, risking not just data theft but also
potential disruption of operations, particularly supply chains.
○ Data Control Concerns:Relying on external AI solutionscan lead to issues with
data control and governance, and can potentially expose companies to additional
risks if vendors do not meet ESG or cybersecurity standards.
○ Opaque Decision Processes:The complexity of AI algorithms,especially in
deep learning, often results in a lack of transparency and explainability, making it
difficult for stakeholders to understand how decisions are made. This “black box”
nature of AI can hinder accountability and trust in AI-driven ESG initiatives.
○ Accountability Challenges:In cases where AI-drivendecisions lead to adverse
ESG outcomes, it can be difficult to attribute responsibility, complicating legal and
ethical accountability.
○ Compliance Complexity:AI systems utilized in an effortto enhance ESG
performance may not account or keep up with the rapidly expanding number of
ESG-related laws, regulations and standards developing across different regions,
increasing the risk of inadvertent non-compliance.
○ Legal Uncertainties:Rapidly evolving AI technologiescan outpace existing
legal frameworks, creating uncertainties about liability for collection, maintenance
and use of data, intellectual property rights, and other legal issues.
● U
nderstand thepotential harms to an ecosystem(natural resources, environment,
supply chain). (source)
○ High Energy Consumption:The computation-intensivenature of training and
running AI, particularly large models, can lead to high energy consumption and
significant carbon footprints, potentially contradicting environmental sustainability
efforts.
○ Life Cycle Impact of AI Hardware:The production,operation, and disposal of
the hardware necessary for AI (e.g., servers, data centers) contribute to
environmental concerns such as electronic waste and resource depletion.
Understand the characteristics of trustworthy AI systems
● Understand what it means for an AI system to be ″human-centric.″
○ Creating AI systems thatamplify and augment ratherthan displace human
abilities. HCAI seeks to preservehuman controlina way that ensures artificial
intelligence meets our needs while also operating transparently, delivering
equitable outcomes, and respecting privacy.Source
● Understand the characteristics of anaccountable AIsystem(safe, secure and resilient,
valid and reliable, fair).
○ The obligation and responsibility of the creators, operators and regulators of an
AI system to ensure the systemoperates in a mannerthat is ethical, fair,
transparent and compliant with applicable rules and regulations (see
fairness and transparency).
○ Accountability ensures the actions, decisions and outcomes of an AI system can
betraced back to the entity responsible for it.
● Understand what it means for an AI system to betransparent.
○ The extent to which information regarding an AI system is made available to
stakeholders, including disclosing whether AI is used and explaining how the
model works.
○ It implies openness, comprehensibility and accountability in the way AI
algorithms function and make decisions.
● Understand what it means for an AI system to beexplainable.(XAI)
○ The ability to describe or provide sufficient information about how an AI system
generates a specific output or arrives at a decision in a specific context to a
predetermined addressee.
○ XAI is important in maintaining transparency and trust in AI.
● Understand what it means for an AI system to beprivacy-enhanced.(Reference)
(Reference)
○ Privacy-enhancing technologies (PETs)are a collectionof digital technologies
and approaches thatallow for the collection, processing,analysis, and
sharing of information while safeguarding the privacy of personal data.
They enable a relatively high level of utility from data whileminimizing the need
for extensive data collection and processing.
○ Embody fundamental data protection principles by minimizing personal data use,
maximizing information security, and/or empowering individuals.
○ Federated Learning
■ Federated learning is a type of machine learning that enables the training
of machine learning models across multiple decentralized devices
without transferring the raw data to a central server.
■ Each device trains the model using its local data, and only aggregated
updates get shared with the central server. Thishelpspreserve data
privacy as the raw data remains on the devices and is never shared.
○ AI-generated synthetic data
■ This approach uses advanced AI algorithms to generate synthetic data
with the same statistical properties and correlations as real data but
without including personally identifiable information
nderstand the similarities and differences among existing and emerging ethical
U
guidance on AI
● Understand how the ethical guidance is rooted in Fair Information Practices (FIPPs),
European Court of Human Rights, and Organization for Economic Cooperation and
Development principles.
○ Fair Information Practicies (FIPPS)-a collectionof widely accepted principles
that agencies use when evaluating information systems, processes, programs,
and activities that affect individual privacy. The FIPPs arenot requirements;
rather, they are principles that should be applied by each agency according to the
agency’s particular mission and privacy program requirements. (source)
■ Access and Amendment-Agencies should provide individualswith
appropriate access to PII and appropriate opportunity to correct or amend
PII.
■ Accountability-Agencies should be accountable forcomplying with
these principles and applicable privacy requirements, and should
appropriately monitor, audit, and document compliance. Agencies should
also clearly define the roles and responsibilities with respect to PII for all
employees and contractors, and should provide appropriate training to all
employees and contractors who have access to PII.
■ Authority-Agencies should only create, collect, use,process, store,
maintain, disseminate, or disclose PII if they have authority to do so, and
should identify this authority in the appropriate notice.
■ Minimization-Agencies should only create, collect,use, process, store,
maintain, disseminate, or disclose PII that is directly relevant and
necessary to accomplish a legally authorized purpose, and should only
maintain PII for as long as is necessary to accomplish the purpose.
■ Quality and Integrity-Agencies should create, collect,use, process,
store, maintain, disseminate, or disclose PII with such accuracy,
relevance, timeliness, and completeness as is reasonably necessary to
ensure fairness to the individual.
■ Individual Participation- Agencies should involvethe individual in the
process of using PII and, to the extent practicable, seek individual
onsent for the creation, collection, use, processing, storage,
c
maintenance, dissemination, or disclosure of PII. Agencies should also
establish procedures to receive and address individuals’ privacy-related
complaints and inquiries.
■ Purpose Specification and Use Limitation-Agenciesshould provide
notice of the specific purpose for which PII is collected and should only
use, process, store, maintain, disseminate, or disclose PII for a purpose
that is explained in the notice and is compatible with the purpose for
which the PII was collected, or that is otherwise legally authorized.
■ Security-Agencies should establish administrative,technical, and
physical safeguards to protect PII commensurate with the risk and
magnitude of the harm that would result from its unauthorized access,
use, modification, loss, destruction, dissemination, or disclosure.
■ Transparency-Agencies should be transparent aboutinformation
policies and practices with respect to PII, and should provide clear and
accessible notice regarding creation, collection, use, processing, storage,
maintenance, dissemination, and disclosure of PII.
○ European Court of Human Rights (source)
■ Rules on individual or State applications alleging violations of the civil and
political rights set out in the European Convention on Human Rights.
Organization for Economic Cooperation and Development principles
○
(s
ource)
■ Ensuring the basis of an effective corporate governance framework
● The corporate governance framework should promote transparent
and efficient markets, be consistent with the rule of law and clearly
articulate the division of responsibilities among different
supervisory, regulatory and enforcement authorities.
■ The rights and equitable treatment of shareholders and key
ownership functions
● ‘The corporate governance framework should protect and facilitate
the exercise of shareholders’ rights and ensure the equitable
treatment of all shareholders, including minority and foreign
shareholders. All shareholders should have the opportunity to
obtain effective redress for violation of their rights.’
● Basic shareholder rights should include the right to:
○ Secure methods of ownership registration;
○ Convey or transfer shares;
○ Obtain relevant and material information on the corporation
on a timely and regular basis;
○ Participate and vote in general shareholder meetings;
○ Elect and remove members of the board; and
○ Share in the profits of the corporation.
■ Institutional investors, stock markets, and other intermediaries
● ‘The corporate governance framework should provide sound
incentives throughout the investment chain and provide for stock
markets to function in a way that contributes to good corporate
governance.’
○ All shareholders of the same series of a class should be
treated equally
○ Insider trading and abusive self-dealing should be
prohibited
○ Members of the board and key executives should be
required to disclose to the board whether they, directly,
indirectly or on behalf of third parties, have a material
interest in any transaction or matter directly affecting the
corporation.
■ The role of stakeholders in corporate governance
● The corporate governance framework should recognize the rights
of stakeholders established by law or through mutual agreements
and encourage active co-operation between corporations and
stakeholders in creating wealth, jobs, and the sustainability of
financially sound enterprises.
■ Disclosure and transparency
● The corporate governance framework should ensure that timely
and accurate disclosure is made on all material matters regarding
the corporation, including the financial situation, performance,
ownership, and governance of the company.
■ The responsibilities of the board
● The corporate governance framework should ensure the strategic
guidance of the company, the effective monitoring of management
by the board, and the board’s accountability to the company and
the shareholders.
OECD AI Principles(source)
●
○ Promotes AI that is innovative and trustworthy and that respects human rights
and democratic values. Value-based principles
■ Inclusive growth, sustainable development and well-being
● Stakeholders should proactively engage in responsible
stewardship of trustworthy AI in pursuit of beneficial outcomes for
people and the planet, such as augmenting human capabilities
and enhancing creativity, advancing inclusion of underrepresented
populations, reducing economic, social, gender and other
inequalities, and protecting natural environments, thus invigorating
inclusive growth, sustainable development and well-being.
■ Human-centred values and fairness
● AI actors should respect the rule of law, human rights and
democratic values, throughout the AI system lifecycle. These
include freedom, dignity and autonomy, privacy and data
protection, non-discrimination and equality, diversity, fairness,
social justice, and internationally recognised labor rights.
● To this end, AI actors should implement mechanisms and
safeguards, such as capacity for human determination, that are
appropriate to the context and consistent with the state of art.
■ Transparency and explainability
● AI Actors should commit to transparency and responsible
disclosure regarding AI systems. To this end, they should provide
meaningful information, appropriate to the context, and consistent
with the state of art:
○ to foster a general understanding of AI systems,
○ to make stakeholders aware of their interactions with AI
systems, including in the workplace,
○ to enable those affected by an AI system to understand the
outcome, and,
○ to enable those adversely affected by an AI system to
challenge its outcome based on plain and
easy-to-understand information on the factors, and the
logic that served as the basis for the prediction,
recommendation or decision.
Robustness, security and safety
■
● AI systems should be robust, secure and safe throughout their
entire lifecycle so that, in conditions of normal use, foreseeable
use or misuse, or other adverse conditions, they function
appropriately and do not pose unreasonable safety risk.
● To this end, AI actors should ensure traceability, including in
relation to datasets, processes and decisions made during the AI
system lifecycle, to enable analysis of the AI system’s outcomes
and responses to inquiry, appropriate to the context and consistent
with the state of art.
● AI actors should, based on their roles, the context, and their ability
to act, apply a systematic risk management approach to each
phase of the AI system lifecycle on a continuous basis to address
risks related to AI systems, including privacy, digital security,
safety and bias.
■ Accountability
● AI actors should be accountable for the proper functioning of AI
systems and for the respect of the above principles, based on their
roles, the context, and consistent with the state of art.
● W hite House Office of Science and Technology PolicyBlueprint for an AI Bill of
Rights(s ource)
○ 5 principles:
■ Safe and Effective Systems
● You should be protected from unsafe or ineffective systems.
■ Algorithmic Discrimination Protections
● You should not face discrimination by algorithms and systems
should be used and designed in an equitable way
■ Data Privacy
● You should be protected from abusive data practices via built-in
protections and you should have agency over how data about you
is used.
■ Notice and Explanation
● You should know that an automated system is being used and
understand how and why it contributes to outcomes that impact
you.
■ Human Alternatives, Considerations, and Fallback
● You should be able to opt out, where appropriate, and have
access to a person who can quickly consider and remedy
problems you encounter.
○ From Principles to Practice—a handbook for anyone seeking to incorporate
these protections into policy and practice
● High-level Expert Group AI(source)
○ European Commission appointed a group of experts to provide advice on its
artificial intelligence strategy.
○ Deliverable 1:Ethics Guidelines for Trustworthy AI
■ The document puts forward a human-centric approach on AI and list 7
key requirements that AI systems should meet in order to be trustworthy.
○ Deliverable 2:Policy and Investment Recommendationsfor Trustworthy AI
■ Building on its first deliverable, the group put forward 33
recommendations to guide trustworthy AI towards sustainability, growth,
competitiveness, and inclusion. At the same time, the recommendations
will empower, benefit and protect European citizens.
○ Deliverable 3:The final Assessment List for TrustworthyAI (ALTAI)
■ A practical tool that translates the Ethics Guidelines into an accessible
and dynamic self-assessment checklist. The checklist can be used by
developers and deployers of AI who want to implement the key
requirements. This new list is available as a prototype web based tool and
in PDF format.
○ Deliverable 4:Sectoral Considerations on the Policyand Investment
Recommendations
■ The document explores the possible implementation of the
recommendations, previously published by the group, in three specific
reas of application: Public Sector, Healthcare and Manufacturing & the
a
Internet of Things.
● UNESCO Principles(s ource)
○ “provide a basis to make AI systems work for the good of humanity,
individuals, societies and the environment and ecosystems, and to prevent harm.
It also aims at stimulating the peaceful use of AI systems.”
○ “In addition to the existing ethical frameworks regarding AI around the world, this
Recommendation aims to bring a globally accepted normative instrument
that focuses not only on the articulation of values and principles, but also
on theirpractical realization, viaconcrete policyrecommendations, with a
strong emphasis on inclusion issues ofgender equalityand protection of the
environment and ecosystems.”
○ “ protect, promote and respect human rights and fundamental freedoms,
human dignity and equality, including gender equality; to safeguard the interests
of present and future generations; to preserve the environment, biodiversity
and ecosystems; and to respect cultural diversity in all stages of the AI
system life cycle”
Asilomar AI Principles
●
○ 23 principles divided into 3 categories developed at a conference sponsored by
the Future of Life Institute (nonprofit) (source)
(source)
● TheInstitute of Electrical and Electronics EngineersInitiative(IEEE) on Ethics of
Autonomous and Intelligent Systems (reference)
○ “To ensure every stakeholder involved in the design and development of
autonomous and intelligent systems is educated, trained, and empowered to
prioritize ethical considerations so that these technologies are advanced for the
benefit of humanity.” (source)
○ E ight general principles: human rights and well-being, transparency,
accountability, effectiveness, competence and “awareness of misuse” in addition
to “data agency,” giving individuals control over their data
○ Ethics-by-design approach
CNIL AI Action Plan.(s ource) (reference)
●
○ Understanding the functioning of AI systems and their impacts on people:
Through its new artificial intelligence service, the CNIL will focus on addressing
key data protection issues relevant to the design and operation of AI applications.
These issues include the protection of publicly available data on the web against
scraping, the protection of data transmitted by users of AI systems, and
consequences for the rights of individuals to their data with respect to data
collected for training AI applications and the outputs produced by AI systems,
among other issues.
○ Guiding the development of AI that respects personal data:To support
organizations innovating in the field of AI and to prepare for the potential passage
of the EU AI Act, the CNIL will publish guidance and best practices on several AI
topics, including a guide on rules applicable to the sharing and re-use of data as
well as recommendations for the design of generative AI systems.
○ Supporting innovative players in the AI ecosystem in France and Europe:
The CNIL will support actors in the AI ecosystem to innovate in a way that
ensures protection of French and European fundamental rights and freedoms. In
particular, the CNIL will soon open a new call for projects for participation in its
2023 regulatory sandbox and plans to engage in increased dialogue with
research teams, R&D centers and organizations developing AI systems.
○ Auditing and controlling AI systems:The CNIL plansto develop a tool to audit
AI systems and will continue to investigate complaints lodged with its office
related to AI, including generative AI.
omain 3: Understanding How Current Laws Apply to AI Systems
D
Understand the existing laws that interact with AI use
● Know the laws that addressunfair and deceptive practices.
○ Federal Trade Commission (FTC) Act (US) (Wheeler-Lea Act of 1938)
○ EU Directive on unfair commercial practices from 2005 (source)
○ The Children's Online Privacy Protection Act (COPPA),which governs the
collection of information about minors
○ The Gramm Leach Bliley Act (GLBA), which governs personalinformation
collected by banks and financial institutions
○ Telemarketing Sales Rule (TSR), Telephone Consumer Protection Act of
1991, and the Do-Not-Call Registry
○ Junk Fax Protection Act of 2005 (JFPA)
○ Controlling the Assault of Non-Solicited Pornography and Marketing Act of
2003 (CAN-SPAM) and the Wireless Domain Registry
○ Telecommunications Act of 1996 and Customer Proprietary Network
Information (CPNI)
○ Cable Communications Policy Act of 1984
○ Video Privacy Protection Act of 1998 (VPPA) and Video Privacy Protection
Act Amendments of 2012
○ Driver's Privacy Protection Act (DPPA)
● Know relevantnon-discrimination laws(credit, employment,insurance, housing, etc.).
○ “The FCRA regulates "consumer reporting agencies" and people who use the
reports generated by consumer reporting agencies. Crucially, a generative AI
service potentially could meet the definition of "consumer reporting agency" if the
service regularly produces reports about individuals' "character, general
reputation, personal characteristics, or mode of living" and these reports are used
for employment purposes.”(S ource)
○ Confidentiality of Substance Use Disorder Patient Records Rule
■ Prohibits patient information from being used to initiate criminal charges
or as a predicate to conduct a criminal investigation of the patient
○ The Fair Credit Reporting Act(FCRA), which regulatesthe collection and use of
credit information
○ Fair and Accurate Credit Transactions Act of 2009 (FACTA)
■ contains protections against identity theft, “red flags” rules
○ Privacy Protection Act of 1980 (PPA)
■ The PPA requires law enforcement to obtain a subpoena in order to
obtain First Amendment-protected materials
○ Title VII of the Civil Rights Act of 1964(“CRA”)prohibits employment
discrimination on the basis of race, color, religion, sex, or national origin
○ Title I of theAmericans With Disabilities Act(“ADA”)prohibits employment
discrimination against “qualified” individuals with disabilities
○ Genetic Information Nondiscrimination Act of 2008 (GINA)
○ Illinois Artificial Intelligence Video Interview Act– Requires that any
employer relying on AI technology to analyze a screening interview must
roviding information to candidates and obtain consent; must also report
p
demographic data to the state to analyze bias
○ Maryland HB 1202– Prohibits the use of facial recognitiontechnology in the
hiring process without consent of applicant
○ NYC Regulation– A bias audit must be conducted onany use of automated
employment decision tools requires; notice must be provided to applicants and
alternative selection process must be provided
○ The Wiretap Act
● Know relevantproduct safety laws. Know relevant IPlaw.
○ Consumer Product Safety Act (CPSA)in 1972 for thepurposes of protecting
consumers against the risk of injury due to consumer products, enabling
consumers to evaluate product safety, establishing consistent safety standards,
and promoting research into the causes and prevention of injuries and deaths
associated with unsafe products.(source)
○ The General Product Safety Regulation (GPSR)requiresthat all consumer
products on the EU markets are safe and it establishes specific obligations for
businesses to ensure it. It applies to non-food products and to all sales channels.
(s ource)
○ “U .S. Patent and Trademark Office (USPTO), U.S. CopyrightOffice, and courts
have yet to fully establish clear guidelines concerning AI-created content or
inventions. However,they generally recognize rightsonly for human authors
and inventors. In Europe, theEuropean Patent Office(EPO) and European
Union Intellectual Property Office (EUIPO) have similar stances, though
discussions are ongoing about potential changes.” (source)
Understand the basic requirements of theEU DigitalServices Act(transparency of
●
recommender systems). (source)
○ The DSA imposes obligations on all information society services that offer an
intermediary service to recipients who are located or established in the EU,
regardless of whether that intermediary service provider is incorporated or
located within the EU.
○ Transparency obligations:Advertising, user profiling,and recommender
systems
■ Under Article 26, providers of online platforms must supply users with
information relating to any online advertisements on its platform so that
the recipients of the services can clearly identify that such information
constitutes an advertisement. Providers of online platforms are prohibited
from presenting targeted advertisements based on profiling using either
the personal data of minors or special category data (as defined in the
GDPR).
■ Article 27 requires providers of online platforms that use recommendation
systems to set out in their T&Cs the main parameters they use for such
systems, including any available options for recipients to modify or
influence them. Under Article 38, VLOPs and VLOSEs must provide at
least one option (not based on profiling) for users to modify the
parameters used.
Know relevantprivacy laws concerning the use of data.
●
○ The Federal (US) Privacy Act of 1974 and the E-Government Act of 2002 require
agencies to address the privacy implications of any system that collects
identifiable information on the public
○ The Health Insurance Portability and Accounting Act (HIPAA), which governs the
collection of health information
○ Health Insurance Technology for Economic and Clinical Health Act of 2009
(H ITECH), which increased penalties under HIPAA andprovided greater access
rights to individuals.
○ The Family Educational Rights and Privacy Act (FERPA),which protects the
privacy of student education records
○ Protection of Pupil Rights Amendment of 1978 (PPRA),which prevents the sale
of student information for commercial purposes
○ CCPA/CPRA, Virginia Consumer Data Protection Act (VCDPA), CPA, CTDPA,
Montana’s Consumer Data Privacy Act, Delaware Personal Data Privacy Act,
Utah Consumer Privacy Act (UCPA), Oregon Consumer Privacy Act (OCPA),
Iowa’s Consumer Data Protection Act (ICDPA), New Jersey Data Privacy Act
(NJDPA), Indiana Consumer Data Protection Act, Tennessee Information
Protection Act, Texas Data Privacy and Security Act (TDPSA)
Understanding key GDPR intersections
● Understand automated decision making, data protectionimpact assessments,
anonymization, and how they relate to AI systems
○ “The data subject shallhave the right not to be subject to a decision based
solely on automated processing,including profiling, which produces legal
effects concerning him or her or similarly significantly affects him or her.” (source)
○ “the data controller shall implement suitable measures to safeguard the data
subject’s rights and freedoms and legitimate interests,at least the right to
obtain human intervention on the part of the controller, to express his or
her point of view and to contest the decision.”(source)
○ Creating a dataset to train an AI system may involve the use of PII. This can lead
to “high risks” to people’s rights and freedoms. A data protection impact
assessment is mandatory in this scenario. This is different than an AI Conformity
assessment.
○ Anonymizing the training data can help to mitigate concerns by separating the
information from the person.
● Understand theintersection between requirements forAI conformity assessments
and DPIAs.
○ “Before a high-risk AI system can be brought into the market, a Conformity
Assessment (CA) should be made to ensure compliance with the AIA.
Additionally, in the AIA, the GDPR is explicitly mentioned when it comes to
processing personal data[2], and when performing a Data Protection Impact
ssessment[3](DPIA) is required. This means there will be anoverlap between
A
these two assessments as a high-risk AI system would almost
automatically include high risk processing under the GDPR” (source)
○ “A CA is focused on ensuring compliance with specific legal requirements, which
are considered mitigation measures for high-risk systems. The main goal of CA is
to guarantee adherence to the mitigation measures or requirements mandated by
the law. An approved CA is required to enter the market.”(source)
○ “A DPIA has a slightly different purpose, it serves as a tool for accountability by
requiring controllers to assess and make decisions based on risks. It also
mandates reporting on the decision-making process. The primary objective of
DPIA is to hold controllers accountable for their actions and ensure more
effective protection of individuals’ rights. The controller is ‘free’ to decide if and
how it will mitigate risk.”(s ource)
○ “W henever a high-risk AI system involves the processingof personal data, a
DPIA will almost certainly be required. Both processes involve assessing risks
related to specific systems and have distinct sets of requirements. To prevent
redundant work or conflicting conclusions, it is probable that the CA can form the
foundation for the DPIA of the controller. If the provider also operates as a
controller under the GDPR, then both the DPIA and CA will be carried out by the
same entity, reinforcing each other.”(s ource)
● Understand the requirements forhuman supervision of algorithmic systems.
○ Users have the right to:
■ Know about the automated decision;
■ Understand the decision-making logic;
■ Challenge the decision and share their perspective; and
■ Request human intervention for decision review.
○ This is why data controllers mustplan for human intervention, allowing
individuals to review their situation, understand the decision, and contest
it.(s ource)
Understand an individual’s right to meaningful information about the logic of AI systems.
●
○ The existence of automated decision making, including profiling.
○ “Meaningful information about the logic involved.”
■ ““Meaningful information about the logic involved” in relation to Article 22
of the GDPR should be understood asinformation around the
algorithmic method used rather than an explanation about the
rationale of an automated decision.For example, if a loan application is
refused, Article 22 may require the controller to provide information about
the input data related to the individual and the general parameters set in
the algorithm that enabled the automated decision. But Article 22 would
not require an explanation around the source code, or how and why that
specific decision was made.” (source)
○ “The significance and the envisaged consequences of such processing” for the
individual.
Understanding liability reform
● Awareness of the reform ofEU product liability law.(source)
○ Article 4 of the proposed Directive brings software into the scope of EU product
liability laws. Operating systems, firmware, computer programs and applications
and AI systems are all expressly included (by Recital 12).
○ Article 7 extends liability to manufacturers of defective components, distributors,
fulfilment service providers and online platforms.
○ Articles 8 and 9 provide a disclosure regime and set of rebuttable presumptions
designed to assist claimants.
● Understand the basics of theAI Product LiabilityDirective.
○ “Complements the Artificial Intelligence Act by introducing a new liability regime
that ensures legal certainty, enhances consumer trust in AI, and assists
consumers’ liability claims for damage caused by AI-enabled products and
services.It applies to AI systems that are available on the EU market, or
operating within the EU market.” (source)
● Awareness of U.S. federal agency involvement (EO14091)(source)
○ Further Advancing Racial Equity and Support for Underserved
Communities Through the Federal Government
○ requires federal agencies to integrate equity into planning and decision-making
○ “When designing, developing, acquiring, and using artificial intelligence and
automated systems in the Federal Government, agencies shall do so, consistent
with applicable law, in a manner that advances equity.”
○ “[Agencies shall consider opportunities to:] ensure that their respective civil rights
offices are consulted on decisions regarding the design, development,
acquisition, and use of artificial intelligence and automated system”
○ The term“algorithmic discrimination”refers to instanceswhen automated
systems contribute to unjustified different treatment or impacts disfavoring
peoplebased on their actual or perceived race, color,ethnicity, sex (including
based on pregnancy, childbirth, and related conditions; gender identity; intersex
status; and sexual orientation), religion, age, national origin, limited English
proficiency, disability, veteran status, genetic information, or any other
classification protected by law.
omain 4: Understanding the Existing and Emerging AI Laws and Standards
D
Understanding the requirements of the EU AI Act
● Understand the classification framework of AI systems (prohibited, high-risk, limited risk,
low risk). (source)
○ Prohibited-considered a significant threat to fundamentalrights, democratic
processes, and societal values. Such systems are likely to compromise the
integrity of critical infrastructures and engage in activities that could lead to
serious incidents.
○ High Risk-primarily used in critical sectors suchas healthcare, transportation,
and law enforcement. These systems undergo strict conformity assessments to
ensure their accuracy, robustness, and cybersecurity, and their deployment is
heavily regulated to mitigate potential risks associated with their use. The Act
also mandates human oversight in deploying high-risk AI, ensuring accountability
and providing an additional safety and security layer.
○ Limited Risk-considered less risky than their high-riskcounterparts and thus
face fewer regulatory constraints. However, while they do not require the same
level of scrutiny, they must still adhere to specific transparency obligations to
maintain accountability and trustworthiness in their deployment. This means that
the developers and operators of these systems must be able to provide clear
explanations of how the system works, what data it uses, and how it makes
decisions.
○ Low Risk- Some examples of such applications includeAI-powered video
games and spam filters. The key aspect of this proposal is that it seeks to
minimize regulatory burdens placed on such systems, thereby promoting
innovation and development in areas where risks associated with the use of AI
are deemed negligible or non-existent.
● Understand requirements for high-risk systems and foundation models.
○ Demonstrating that the tech and its use does not pose asignificant threatto
health, safety and fundamental rights. These include a comprehensive set ofrisk
management, data governance, monitoring and record-keeping practices,
detailed documentation alongside transparency and human oversight
obligations, and standards for accuracy, robustness and cybersecurity.
(S ource)
● Understand notification requirements (customers and national authorities).
○ “The AI Act requires developers of high-risk AI to set up areporting system for
serious incidentsas part of wider post-market monitoring.A serious incident
is defined as an incident or a malfunction that led to, might have led or
might lead to serious damage to a person’s health or their death, serious
damage to property or the environment, the disruption of critical
infrastructure or the violation of fundamental rights under EU law.
Developers and, in some cases, deployers mustnotify the relevant authorities
and maintain records and logs of the AI system’s operation at the time of
the incidentto demonstrate compliance with the AI Act in case of ex-post audits
of incidents. “ (Source)
● Understand the enforcement framework and penalties for noncompliance.
○ Penalties for non-compliance follow a three-tiered system, with more severe
violations of obligations and requirements carrying heftier penalties. (source)
○ The heftiest fines are imposed for violations related to prohibited systems of up to
€35,000,00 or 7% of worldwide annual turnover for the preceding financial year,
whichever is higher.
○ The lowest penalties for AI operators are for providing incorrect, incomplete, or
misleading information, up to €7,500,000 or 1% of total worldwide annual
turnover for the preceding financial year, whichever is higher.
○ Penalties for non-compliance can be issued to providers, deployers,
importers, distributors, and notified bodies.
(Source)
● Understand procedures for testing innovative AI and exemptions for research.
○ An exception within the AI Act to process special categories of personal data to
detect and correct bias within AI applies to providers of AI systems.
■ “the AI Act's exception applies to developers and entities outsourcing the
development of AI systems, for non-private use. The exception does not
seem to apply to organizations renting a fully developed AI system as a
service, for example.” (source)
● Understandtransparency requirements, i.e., registration database.
○ High-risk AI systems must be registered in anEU-wide public database
○ obligation to warn people that they are interacting with an AI system.
Understand other emerging global laws
● Understand the key components ofCanada’s Artificial Intelligence and Data Act
(C-27). (source)
○ “AIDA provides adefinition of “person” that includes trusts, partnerships,
unincorporated associations and any other legal entity,and further clarifies
when a such a “person” will be considered responsible for an AI system.A
person becomes a “person responsible” for an AI system if they design,
develop, make available for use, or manage the operation of an AI systemin
the course of international or interprovincial trade and commerce.”
○ Responsibilities include:
■ ensuring the anonymization of data
■ conducting assessments to determine whether an AI system is
“high-impact,”
■ establishing measures related to risks
■ monitoring and keeping records on risk mitigation
■ requirements for organizations to publish a plain-language description of
all high-impact AI systems on a public website.
○ If adopted, will replace PIPEDA
● Understand the key components ofU.S. state laws thatgovern the use of AI.(source)
○ Algorithmic Discrimination- an automated decisiontool'sdifferential
treatmentof an individual or groupbased on theirprotected class.Bills that
address this place the burden onAI developers andbusinesses using AI,
often referred to asdeployers, toproactively ensurethat the technologies
are not creating discriminatory outcomesin the consumer and employment
context
■ “Provisions found in most of these bills require regular impact
assessmentsof AI tools to ensureagainst discrimination;disclosure
of such assessmentsto government agencies; internal policies,
programs andsafeguards to prevent foreseeable risksfrom AI;
accommodating requests toopt-out of being subjectto AI tools;
disclosure of the AI's useto affected persons; andan explanation of
how the AI tool uses personal information and how risks of
discrimination are being minimized”
■ California, Connecticut, Vermont, Hawaii, Illinois, New York, Oklahoma,
Rhode Island (lost steam), and Washington (lost steam)
○ Automated employment decision tools-"predictive data analytics" used by
employers to make employment decisions about hiring, firing, promotion and
compensation.
■ “require employers to provide advance notice to andobtain consent
from job applicants and employeeswho are subjectto AEDTs,explain
the qualifications and characteristics thatAI will assess to candidates,
andconduct and disclose regular impact assessmentsor bias audits
of AI tools. Most of these bills, however, includecarveoutsfor the use of
AI whenpromoting diversity or affirmative actioninitiatives.”
■ Illinois, Massachusetts, New Jersey, New York, Vermont
○ AI Bill of Rights
■ “provide state residents therights to knowwhen they are interacting with
AI, to know when their data is being used to inform AI,not to be
discriminatedagainst by the use of AI, to haveagencyover their
personal data; tounderstand the outcomesof an AI system impacting
them and toopt outof an AI system”
■ Oklahoma and New York
○ Working Group Bills
■ “creating government commissions, agencies or working groups to study
the implementation of AI technologies and develop recommendations for
future regulation”
■ Utah, Florida, Hawaii, Massachusetts
Understand theCyberspace Administration of China’sdraft regulations on
●
generative AI.(s ource)
○ “The requirements of this regulation will apply todomestic companies and to
overseas generative AI service providersofferinggenerative AI services to
generalpublic in China. It is important to note alsothat the Generative AI
Measures apply to services offered to the public and not the use of generative AI
services by enterprises.”
○ In thedevelopment and use of generative AI services,generative AI service
providers must:
■ not generate illegal content such as false or harmful information;
■ take effective measures to prevent the generation of discriminatory
content;
■ not use advantages in algorithms, data, or platforms where this leads to
monopoly and unfair competitive behaviors;
■ not infringe on others’ portrait rights, reputation rights, honor rights,
privacy rights and personal information rights; and
■ take effective measures based on service types to increase the
transparency of generative AI services and the accuracy and reliability of
generative AI content.
○ In respect of thetraining data, generative AI serviceproviders must:
■ use data and foundation models from legitimate sources;
■ not infringe others’ legally owned intellectual property;
■ obtain personal data with consent or under situations prescribed by the
law or administrative measures; and
■ take effective measures to increase the quality of training data, their
truthfulness, accuracy, objectivity and diversity.
○ W hen providing generative AI services,generative AI service providers bear
cybersecurity obligationsas online information contentproducers and personal
information protection obligations as personal information handlers and must:
■ enter into service agreements with registered generative AI service users
which specify the rights and obligations of both parties;
■ guide users on the legal use of generative AI technology and take
effective measures to prevent users from over-reliance on or “addiction
to” the generated AI service;
■ not collect non-essential personal information, not illegally retain input
information and usage records which can be used to identify a user and
not illegally provide users’ input information and usage records to others;
■ receive and settle data subjects’ requests;
■ tag generated content such as photos and video as pursuant to the
Administrative Provisions on Deep Synthesis of Internet-based
Information Services (Deep Synthesis Provisions);
■ if illegal content is discovered, take measures to stop the generation and
transmission of and delete illegal content, take rectification measures
such as model improvement, and report to the relevant competent
authorities;
■ where users are found to use generative AI services to conduct illegal
activities, take measures to warn the user, or restrict, suspend or
terminate the service, retain the records, and report to the relevant
competent authorities; and
■ establish a mechanism for receiving and handling users’ complaints.
○ In relation to other legal obligations and enforcement supervision, generative AI
service providers shall:
■ if the generative AI service comes with a public opinion attribute or social
mobilization ability, carry out a safety assessment obligation and (within
ten working days from the date of provision of services) go through
record-filing formalities pursuant to the Administrative Provisions on
Algorithm Recommendation for Internet Information Services (Algorithm
Provisions); and
■ when the relevant competent authorities (e.g., the CAC) commence
supervisory checks on the generative AI service, cooperate with them,
explain the source, size and types of the training data, tagging rules and
the mechanisms and principles of the algorithm and provide necessary
technology and data, etc., for support and assistance.
nderstand the similarities and differences among the major risk management
U
frameworks and standards
● ISO 31000:2018 Risk Management – Guidelines.
○ “A management system is the framework of policies, processes and procedures
employed by an organization to ensure that it can fulfill the tasks required to
achieve its purpose and objectives.” (source)
○ Governance and culture; strategy and objective-setting; performance;
information, communications and reporting; and the review and revision of
practices to enhance the performance of the organization.
○ Emphasis on leadership endorsement and engagement, emphasis on
organizational governance, emphasis on iterative nature of risk management
(regularly updating processes and policies in response to new industry
developments)
● U nited States National Institute of Standards and Technology, AI Risk
Management Framework (NIST AI RMF).
○ Voluntarily used to improve the ability to incorporate trustworthiness
considerations into the design, development, use, and evaluation of AI products,
services, and systems.
○ The framework breaks down the AI risk management process into four core
functions: "govern," "map," "measure," and "manage (source)
○ seven “characteristics of trustworthy AI,” which include: valid and reliable, safe,
secure and resilient, accountable and transparent, explainable and interpretable,
privacy-enhanced, and fair with harmful biases managed.(source)
● European Union proposal for a regulation laying down harmonized rules on AI (EU AIA).
(source)
○ A proposed European law on artificial intelligence (AI) – the first comprehensive
law on AI by a major regulator anywhere
○ The majority of obligations fall on providers (developers) of high-risk AI systems.
○ Users are natural or legal persons that deploy an AI system in a professional
capacity, not affected end-users.
○ All GPAI model providers must provide technical documentation, instructions for
use, comply with the Copyright Directive, and publish a summary about the
content used for training.
○ Free and open licence GPAI model providers only need to comply with copyright
and publish the training data summary, unless they present a systemic risk.
○ All providers of GPAI models that present a systemic risk – open or closed –
must also conduct model evaluations, adversarial testing, track and report
serious incidents and ensure cybersecurity protections.
○ Outlines “prohibited” AI systems
● Council of Europe Human Rights, Democracy, and the Rule of Law Assurance
Framework for AI Systems (HUDERIA).
○ Human Rights, Democracy, and the Rule of Law Impact Assessment (HUDERIA)
○ “define a methodology to carry out impact assessments of Artificial Intelligence
(AI) applications from the perspective of human rights, democracy, and the rule of
law, based on relevant Council of Europe (CoE) standards and the work already
undertaken in this field at the international and national level…, and to develop
an impact assessment model.” (source)
● IEEE 7000-21 Standard Model Process for Addressing Ethical Concerns during
System Design
○ “integrates ethical and functional requirements in systems engineering design
and development in order to mitigate risk and increase innovation” (source)
○ “A set of processes by which organizations can include consideration of ethical
values throughout the stages of concept exploration and development is
established by this standard. Management and engineering in transparent
communication with selected stakeholders for ethical values elicitation and
prioritization is supported by this standard, involving traceability of ethical values
through an operational concept, value propositions, and value is positions in the
ystem design. Processes that provide for traceability of ethical values in the
s
concept of operations, ethical requirements, and ethical risk-based design are
described in the standard. All sizes and types of organizations using their own life
cycle models are relevant to this standard.” (source)
● ISO/IEC Guide 51 Safety aspects – guidelines for their inclusion in standards.
○ “reducing risk that can arise in the use of products or systems, including use by
vulnerable consumers. This Guide aims to reduce the risk arising from the
design, production, distribution, use (including maintenance) and destruction or
disposal of products or systems.” (source)
Singapore Model AI Governance Framework.(s ource)
●
○ provides detailed and readily-implementable guidance to private sector
organizations to address key ethical and governance issues when deploying AI
solutions
○ Decisions made by AI should be: EXPLAINABLE, TRANSPARENT & FAIR
○ AI systems should be HUMAN-CENTRIC
omain 5: Understanding the AI Development Life Cycle
D
Understand the key steps in the AI system planning phase
● Determine the business objectives and requirements.
● Determine the scope of the project.
● Determine the governance structure and responsibilities.
Understand the key steps in the AI system design phase
● Implement a data strategy that includes:
○ Data gathering, wrangling, cleansing, labeling.
○ Applying PETs like anonymization, minimization, differential privacy, federated
learning.
● Determine AI system architecture and model selection (choose the algorithm according
to the desired level of accuracy and interpretability).
Understand the key steps in the AI system development phase
● Build the model.
● Perform feature engineering.
● Perform model training.
● Perform model testing and validation.
Understand the key steps in the AI system implementation phase
● Perform readiness assessments.
● Deploy the model into production.
● Monitor and validate the model.
● Maintain the model.
omain 6: Implementing Responsible AI Governance and Risk Management
D
Ensure interoperability of AI risk management with other operational risk strategies
● Ex. security risk, privacy risk, business risk.
○ “The AI models constitute valuable intellectual assets, demanding features that
prevent unauthorized access or tampering.” (source)
○ “Depending on the sector—such as healthcare or finance—the stack must be
compliant with industry-specific regulations like HIPAA or PCI-DSS” (source)
Integrate AI governance principles into the company
● Adopt a pro-innovation mindset.
● Ensure governance is risk-centric.
● Ensure planning and design is consensus-driven.
● Ensure the team is outcome-focused.
● Adopt a non-prescriptive approach to allow for intelligent self-management.
● Ensure the framework is law-, industry-, and technology-agnostic.
Establish an AI governance infrastructure
● Determine if you are a developer, deployer (those that make an AI system available to
third parties) or user; understand how responsibilities among companies that develop AI
systems and those that use or deploy them differ; establish governance processes for all
parties; establish framework for procuring and assessing AI software solutions.
● Establish and understand the roles and responsibilities of AI governance people and
groups including, but not limited to, the chief privacy officer, the chief ethics officer, the
office for responsible AI, the AI governance committee, the ethics board, architecture
steering groups, AI project managers, etc.
● Advocate for AI governance support from senior leadership and tech teams by:
○ Understanding pressures on tech teams to build AI solutions quickly and
efficiently.
○ Understanding how data science and model operations teams work.
○ Being able to influence behavioral and cultural change.
● Establish organizational risk strategy and tolerance.
● Develop central inventory of AI and ML applications and repository of algorithms.
● Develop responsible AI accountability policies and incentive structures.
● Understand AI regulatory requirements.
● Set common AI terms and taxonomy for the organization.
● Provide knowledge resources and training to the enterprise to foster a culture that
continuously promotes ethical behavior.
● Determine AI maturity levels of business functions and address insufficiencies.
● Use and adapt existing privacy and data governance practices for AI management.
● Create policies to manage third party risk, to ensure end-to-end accountability.
● Understand differences in norms/expectations across countries.
Map, plan and scope the AI project
● Define the business case and perform cost/benefit analysis where trade-offs are
considered in the design of AI systems. Why AI/ML?
● Identify and classify internal/external risks and contributing factors (prohibitive, major,
moderate).
● Construct a probability/severity harms matrix and a risk mitigation hierarchy.
● Perform an algorithmic impact assessment leveraging PIAs as a starting point and
tailoring to AI process. Know when to perform and who to involve.
● Establish level of human involvement/oversight in AI decision making.
● Conduct a stakeholder engagement process that includes the following steps:
○ Evaluate stakeholder salience.
○ Include diversity of demographics, disciplines, experience, expertise and
backgrounds.
○ Perform positionality exercise.
○ Determine level of engagement.
○ Establish engagement methods.
○ Identify AI actors during design, development, and deployment phases.
○ Create communication plans for regulators and consumers that reflect
compliance/disclosure obligations for transparency and explainability (UI copy,
FAQs, online documentation, model or system cards).
● Determine feasibility of optionality and redress.
● Chart data lineage and provenance, ensuring data is representative, accurate and
unbiased.
● Use statistical sampling to identify data gaps.
● Solicit early and continuous feedback from those who may be most impacted by AI
systems.
● Use test, evaluation, verification, validation (TEVV) process.
● Create preliminary analysis report on risk factor and proportionate management.
Test and validate the AI system during development
● Evaluate the trustworthiness, validity, safety, security, privacy and fairness of the AI
system using the following methods:
○ Use edge cases, unseen data, or potential malicious input to test the AI models. •
Conduct repeatability assessments.
○ Complete model cards/fact sheets.
○ Create counterfactual explanations (CFEs).
○ Conduct adversarial testing and threat modeling to identify security threats.
○ Refer to OECD catalog of tools and metrics for trustworthy AI.
○ Establish multiple layers of mitigation to stop system errors or failures at different
levels or modules of the AI system.
○ Understand trade-offs among mitigation strategies.
● Apply key concepts of privacy-preserving machine learning and use privacy-enhancing
technologies and privacy-preserving machine learning techniques to help with privacy
protection in AI/ML systems.
● U nderstand why AI systems fail. Examples include: brittleness; hallucinations;
embedded bias; catastrophic forgetting; uncertainty; false positives.
● Determine degree of remediability of adverse impacts.
● Conduct risk tracking to document how risks may change over time.
● Consider, and select among different deployment strategies.
Manage and monitor AI systems after deployment
● Perform post-hoc testing to determine if AI system goals were achieved, while being
aware of ″automation bias.″
● Prioritize, triage and respond to internal and external risks.
● Ensure processes are in place to deactivate or localize AI systems as necessary (e.g.,
due to regulatory requirements or performance issues).
● Continuously improve and maintain deployed systems by tuning and retraining with new
data, human feedback, etc.
● Determine the need for challenger models to supplant the champion model.
● Version each model and connect them to the data sets they were trained with.
● Continuously monitor risks from third parties, including bad actors.
● Maintain and monitor communication plans and inform user when AI system updates its
capabilities.
● Assess potential harms of publishing research derived from AI models.
● Conduct bug bashing and red teaming exercises.
● Forecast and reduce risks of secondary/unintended uses and downstream harm of AI
models.
omain 7: Contemplating Ongoing Issues and Concerns
D
Awareness of legal issues
● How will a coherent tort liability framework be created to adapt to the unique
circumstances of AI and allocate responsibility among developers, deployers and users?
○ Web-scraping to train AI
■ In the US
● Computer Fraud and Abuse Act (1986), web data scraping
expanded by U.S. Patriot Act in 2001 and, most recently, through
passage of the Identity Theft Enforcement and Restitution Act in
2008.
● Within the CCPA Final Regulations, approved by the California
Office of Administrative Law in March, Section 7012(h) further
clarifies that: "A business that neither collects nor controls the
collection of personal information directly from the consumer does
not need to provide Notice at Collection to the consumer if it
neither sells nor shares the consumer's personal information."
● Thus, according to a blog by Nate Garhart, special counsel at
Farella, Braun, and Martel, no notice needs to be provided for:
○ A data scraper that does not sell the scraped personal
information.
○ A data scraper that uses the scraped information for their
own purposes, even for marketing to identified customers.
○ A data scraper that collects data, deidentifies it, and then
sells the deidentified collection of data.
● On the other hand, according to Garhart, a scraper selling
collections of scraped data that include personal information would
be subject to the requirement to provide notice at collection. This
may apply to AI products trained on personal data scraped from
the web.
■ In the EU
● The GDPR outlinessix lawful bases that can justifydata
collection and processing: consent, contract, legal obligation,
vital interest, public task and legitimate interest.Under most
interpretations of the GDPR,these Article 6 requirementsapply
whether the information is obtained from a publicly
accessible source or collected directly from the data subject.
● What are thechallenges surrounding AI model and datalicensing? (source)
○ Intellectual Property (IP)
■ What intellectual property (IP) rights exist in the output of an AI model?
■ Can AI models create trade secrets, copyrights, or even inventive subject
matter? If so, who owns the associated IP rights? The owner could be the
licensor or licensee (or maybe the model itself?)
○ Performance and Reliability
■ L icensees should insist on minimum performance metrics to ensure that
the licensed model provides adequate accuracy, reliability, and
robustness. If the model does not perform as expected, the business
consequences may be severe, and could lead to litigation. Licensees
should craft warranties and indemnities to ensure that they do not
unreasonably bear the risk of underperformance.
○ Data Protection and Confidentiality
■ While data transfers are a standard component of software licenses,
using licensee data to improve AI products presents additional privacy
and cybersecurity concerns beyond those of a typical software
agreement.
■ Licensees should ensure that any uses of data are consistent with
applicable privacy laws and consistent with the privacy notices provided
to their users. Numerous states are adopting laws relating to AI and
automated decision-making, so licensees will need to stay updated on
developments in this area to ensure ongoing compliance.
Can we develop systems thatrespect IP rights?
●
○ “The resulting generative AI models need not be trained from scratch but can
build upon open-source generative AI that has used lawfully sourced
content.This would enable content creators to producecontent in the same
style as their own work with an audit trail to their own data lake, or to license the
use of such tools to interested parties with cleared title in both the AI’s training
data and its outputs” (source)
○ Tangent argument: “AI systems can also generate new works protectable by
copyright, such as creating new artwork or music. However, most copyright
statutes do not yet not clearly define who owns machine-generated works.“
(s ource)
Awareness of user concerns
● How do we properly educate users about the functions and limitations of AI systems?
○ AI Literacy- “equipping individuals with the knowledgeand skills to understand,
use, and interact with AI responsibly and effectively. It's about enabling people to
make informed decisions about AI technologies, understand their implications,
and navigate the ethical considerations they present.” (Source)
● How do weupskill and reskill the workforceto takefull advantage of AI benefits?
(source)
○ By nurturing complementary skills, it is possible to create a workforce that
seamlessly integrates with AI, leveraging its capabilities to amplify human
potential.
■ Creativity and Innovation through Critical Thinking and Problem-Solving
by leveraging AI's insights to develop groundbreaking solutions
■ Communication and Collaboration by translating AI's findings into
actionable strategies
■ E motional Intelligence and Social Skills to foster trust and collaboration in
AI-driven environments
■ Ethical Decision-Making and Bias Awareness to be mindful of ethical
implications and social impact, to ensure that AI is used responsibly and
ethically
○ While reskilling is the process of learning new skills to adapt to new job
requirements, upskilling helps enhance existing skills to improve one's
performance in their current job. There are several reasons why reskilling and
upskilling are important in the AI-driven workplace, such as:
■ Staying competitive: Workers with the latest skills are more likely to be
hired and promoted.
■ Increasing job satisfaction: Workers who are challenged and engaged in
their work are more likely to be satisfied with their jobs.
■ Improving productivity: Workers with the right skills are more productive
and efficient.
■ Reducing the risk of job displacement: Workers who are adaptable and
can learn new skills are less likely to be displaced by automation.
○ Here are a few ways in which people leaders can leverage AI / ML technology for
skilling:
■ Assessing skill gaps: Identify the skills that are needed for future jobs in
the organization.
■ Developing training programs: Create or partner with training providers to
offer training programs that teach the skills that are needed.
■ Providing financial assistance: Offer financial assistance to employees
who are participating in training programs.
■ Promoting a culture of lifelong learning: Encourage employees to take
advantage of learning opportunities.
Can there be an opt-out for a non-AI alternative?
●
○ “You should be able to opt out, where appropriate, and have access to a person
who can quickly consider and remedy problems you encounter. You should be
able to opt out from automated systems in favor of a human alternative, where
appropriate.” (source)
Awareness of AI auditing and accountability issues
● How can we build a profession of certified third-party auditors globally – and consistent
frameworks and standards for them?
● What are the markers/indicators that determine when an AI system should be subject to
enhanced accountability, such as third-party audits (e.g., automated decision-making,
sensitive data, others)?
● How do we enable companies to remain productive using automated checks for AI
governance and associated ethical issues, while adapting this automation quickly to the
evolving standards and technology?
Other Notes:
● One of the findings from theIAPP Privacy and ConsumerTrust Reportconcerned a set
of behaviors referred to asprivacy self-defense.These include deciding against an
online purchase, deleting a smartphone app or avoiding a particular website due to
privacy concerns. When consumers lose trust in how their data is being collected and
used, they are more likely to engage in these self-defensive behaviors to protect their
privacy.
● The European Commission signed off on its Ethical Guidelines for Trustworthy AI which
outlines “four principles or “ethical imperatives” call for AI systems to respect human
autonomy, prevent harm, incorporate fairness and enable explicability. Another layer of
guidance advises that AI respect human dignity, individual freedom, democracy, justice,
the rule of law, equality, non-discrimination, solidarity and citizens’ rights.” (source)
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