A Systems‐Level Approach to Address Risks and Ethics in Artificial Intelligence Systems

ABSTRACT Artificial intelligence (AI) is rapidly changing the world, from completely controlling routine or mundane tasks like text and image generation, to powering advanced algorithms that control critical systems. The recent advances in generative AI quickly overwhelmed multiple industries from education to finance as first adopters rushed (and continue to rush) to take advantage of the technology. The expanding AI ecosystem presents novel risks and ethical challenges that must be handled to ensure that technology is leveraged fairly and ethically. There are intertwined risks and ethical challenges stemming from the stochastic nature of AI (i.e., intrinsic risks), as well as from specific applications (i.e., extrinsic risks). Appropriately regulating AI requires a systems‐approach to develop an integrated solution to these dependent challenges. Thus far, however, questions of risk, ethics and regulation appear to occupy separate spaces. This article reviews the risks and ethical implications of AI and proposes a system‐level approach to integrating ethics and regulation for the nascent industry.