Compliance and AI Risk: The Hidden Exposure
What happens to your compliance posture the moment you paste sensitive information into an external AI system? Most organizations are using AI in ways that fundamentally break their own security, privacy, and compliance assumptions.
About This Episode
We've already seen real cases where private conversations with language models were indexed by search engines, where proprietary company information showed up in responses to other organizations, and where source code generated by AI carried licensing conflicts or quietly introduced security vulnerabilities.
When you send sensitive data to an external, API-based AI model, you are extending trust far beyond your security perimeter, beyond your audit controls, beyond your data governance policies, and often beyond your ability to verify what actually happens to that data.
From a compliance perspective, that's not innovation. That's exposure.
Key Takeaways
- Don't input personal data into external AI systems
- Don't upload confidential documents
- Don't share proprietary code or internal communications
- Favor local or offline models where possible
- Assume anything sent externally may persist beyond your control