Eleanor Hobson: The AI Liability Squeeze for Portfolio Companies

Summary In this episode of the AI Pathfinder for Private Equity podcast, Steve Budd and Eleanor Hobson discuss the growing liability concerns surrounding AI technologies, particularly for mid-market companies. They explore the risks associated with GenAI, the challenges in contractual agreements, and the implications of the EU AI Act. Eleanor provides insights on how portfolio companies can mitigate risks and emphasises the importance of AI literacy and compliance in navigating this evolving landscape. The conversation highlights the need for a strategic approach to AI adoption and the potential future trends in the industry. Takeaways AI is not just an opportunity; it also brings significant liability Mid-market companies are feeling squeezed between AI providers and customer demands Generative AI tools create a complex risk landscape for businesses Contractual obligations are shifting, placing more risk on AI users The EU AI Act introduces new expectations for documentation and compliance AI literacy is essential for both providers and customers Links Kemp IT Law website Eleanor Hobson on on LinkedIn AI Pathfinder Private Equity AI Strategy Meet-ups:  https://www.aipathfinder.co/private-equity-ai-events Have a question or would like to suggest improvements, please contact steve@aipathfinder.co