Genera�ve AI brings its own unique set of challenges. The advent of Genera�ve AI has brought strategic challenges to the forefront. We asked execu�ves about their primary concerns now about AI, in light of the hype around GenAI. 1. Security and privacy The debut of sophis�cated AI applica�ons has intensified the focus on security and privacy concerns. With data breaches and cyber threats on the rise, companies are being pressured to reassess their data protec�on measures. AI, while a tool for enhancing security, also poses new risks, necessita�ng a for�fied approach to safeguard sensi�ve informa�on and user privacy. 2. Ethical and responsible AI use The ethical dimensions of AI use have garnered significant a�en�on. As AI systems begin to replicate complex human decisions, the impera�ve to ensure these technologies operate within ethical boundaries grows stronger. This concern has propelled industry leaders to advocate for ethical AI frameworks that guide responsible use, especially in sectors where AI decision-making impacts significant socioeconomic factors, such as healthcare and finance. 40% 41% prefer global AI standards regula�ng prefer global AI standards, plus specific specific use cases and outcomes regional controls 14% 4% prefer a heterogenous environment think it's too early or of local regula�ons unnecessary to regulate AI Q. Which regulatory landscape is most appropriate for your business's use of AI? TCS AI for Business Study Key Findings Report 22