Implications of the AI executive order for business

Over the last few years many countries have released various forms of oversight for artificial intelligence. This has created speculation about how the U.S. will approach this generational challenge. On 30 Oct., the U.S. took the next step toward answering this question when President Joe Biden released a comprehensive Executive Order on the Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence.

Executive Order 14110 identifies the immense opportunity of AI, acknowledging that it must have guardrails to be truly harnessed for the betterment of society. With safety and responsibility as cornerstones of the order, the Biden-Harris administration is directing government departments and agencies to inform these important efforts. Additionally, the order provides a wide range of new opportunities for input from the private sector, academia and civil society.

Guided by eight policies and principles, which serve as direction for the administration's approach to the governance of AI, much of the order requires additional implementation. However, there is a clear sense of urgency, with deadlines ranging from 45-375 days for a wide range of projects from public consultations to new regulations. The first consultations are already beginning. Immediately after the order's release, the Office of Management and Budget released draft guidance for the use of AI by the federal government, along with an invitation for stakeholders to comment.

As you develop AI governance initiatives within your organization, you should understand the policies and principles reflected in the executive order, which will have direct and indirect effects for years to come. One theme is clear in the order: the administration understands that people are at the heart of AI development and use.

Why an executive order?