Anthony Diana is joined by Therese Craparo and Marcin Krieger to start a new series on AI-enabled e-discovery. This series will look at practical and legal issues related to the use of AI in e-discovery, with a focus on actual use cases rather than theoretical discussions. Topics for this episode include how AI is currently being used in e-discovery, the rapid proliferation of tools on the market and the speed of their adoption, and guidance on how to get started – including key do’s and don’ts.

Reed Smith’s Jason Garcia, Gerard Donovan, and Tyler Thompson are joined by Databricks’ Suchismita Pahi and Christina Farhat for a spirited discussion exploring one of the most urgent debates of our era: Should AI be regulated now, or are we moving too fast? Settle in and listen to a dynamic conversation that delves into the complex relationship between innovation and regulation in the world of artificial intelligence.

High tariffs would significantly impact data center projects, through increased costs, supply chain disruptions and other problems. Reed Smith’s Matthew Houghton, John Simonis and James Doerfler explain how owners and developers can attenuate tariff risks throughout the planning, contract drafting, negotiation, procurement and construction phases. In this podcast, learn about risk allocation and other proactive measures to manage cost and schedule challenges in today’s uncertain regulatory environment.

Have you ever found yourself in a perplexing situation because of a lack of common understanding of key AI concepts? You're not alone. In this episode of "AI explained," we delve into Reed Smith's new Glossary of AI Terms with Reed Smith guests Richard Robbins, director of applied artificial intelligence, and Marcin Krieger, records and e-discovery lawyer. This glossary aims to demystify AI jargon, helping professionals build their intuition and ask informed questions. Whether you're a seasoned attorney or new to the field, this episode explains how a well-crafted glossary can serve as a quick reference to understand complex AI terms. Download our E-discovery app.

Arbitrators and counsel can use artificial intelligence to improve service quality and lessen work burden, but they also must deal with the ethical and professional implications. In this episode, Rebeca Mosquera, a Reed Smith associate and president of ArbitralWomen, interviews Benjamin Malek, a partner at T.H.E. Chambers and chair of the Silicon Valley Arbitration and Mediation Center AI Task Force. They reveal insights and experiences on the current and future applications of AI in arbitration, the potential risks of bias and transparency, and the best practices and guidelines for the responsible integration of AI into dispute resolution. The duo discusses how AI is reshaping arbitration and what it means for arbitrators, counsel and parties.

Partners Catherine Castaldo, Andy Splittgerber, Thomas Fischl and Tyler Thompson discuss various recent AI acts around the world, including the EU AI Act and the Colorado AI Act, as well as guidance from the European Data Protection Board (EDPB) on AI models and data protection. The team presents an in-depth explanation of the different acts and points out the similarities and differences between the two. What should we do today, even though the Colorado AI Act is not in effect yet? What do these two acts mean for the future of AI?

Catherine Castaldo, Christian Leuthner and Asélle Ibraimova dive into the implications of the new Network and Information Security (NIS2) Directive, exploring its impact on cybersecurity compliance across the EU. They break down key changes, including expanded sector coverage, stricter reporting obligations and tougher penalties for noncompliance. Exploring how businesses can prepare for the evolving regulatory landscape, they share insights on risk management, incident response and best practices. ----more---- Transcript: Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Catherine: Hi, and welcome to Tech Law Talks. My name is Catherine Castaldo, and I am a partner in the New York office in the Emerging Technologies Group, focusing on cybersecurity and privacy. And we have some big news with directives coming out of the EU for that very thing. So I'll turn it to Christian, who can introduce himself.  Christian: Thanks, Catherine. So my name is Christian Leuthner. I'm a partner at the Reed Smith Frankfurt office, also in the Emerging Technologies Group, focusing on IT and data. And we have a third attorney on this podcast, our colleague, Asélle.  Asélle: Thank you, Christian. Very pleased to join this podcast. I am counsel based in Reed Smith's London office, and I also am part of emerging technologies group and work on data protection, cybersecurity, and technology issues.  Catherine: Great. As we previewed a moment ago, on October 17th, 2024, there was a deadline for the transposition of a new directive, commonly referred to as NIS2. And for those of our listeners who might be less familiar, would you tell us what NIS2 stands for and who is subject to it?  Christian: Yeah, sure. So NIS2 stands for the Directive on Security of Network and Information Systems. And it is the second iteration of the EU's legal framework for enhancing the cybersecurity of critical infrastructures and digital services, it will replace what replaces the previous directive, which obviously is called NIS1, which was adopted in 2016, but had some limitations and gaps. So NIS2 applies to a wider range of entities that provide essential or important services to the society and the economy, such as energy, transport, health, banking, digital infrastructure, cloud computing, online marketplaces, and many, many more. It also covers public administrations and operators of electoral systems. Basically, anyone who relies on network and information systems to deliver their services and whose disruptions or compromise could have significant impacts on the public interest, security or rights of EU citizens and businesses will be in scope of NIS2. As you already said, Catherine, NIS2 had to be transposed into national member state law. So it's a directive, not a regulation, contrary to DORA, which we discussed the last time in our podcast. It had to be implemented into national law by October 17th, 2024. But most of the member states did not. So the EU Commission has now started investigations regarding the violations of the treaty of the functioning of the European Union against, I think, 23 member states as they have not yet implemented NIS2 into national law.  Catherine: That's really comprehensive. Do you have any idea what the timeline is for the implementation?  Christian: It depends on the state. So there are some states that have already comprehensive drafts. And those just need to go through the legislative process. In Germany, for example, we had a draft, but we have elections in a few weeks. And the current government just stated that they will not implement the law before that. And so after the ele

Tyler Thompson sits down with Abigail Walker to break down the Colorado AI Act, which was passed at the end of the 2024 legislative session to prevent algorithmic discrimination. The Colorado AI Act is the first comprehensive law in the United States that directly and exclusively targets AI and GenAI systems.

Catherine Castaldo, Christian Leuthner and Asélle Ibraimova break down DORA, the Digital Operational Resilience Act, which is new legislation that aims to enhance the cybersecurity and resilience of the financial sector in the European Union. DORA sets out common standards and requirements for these entities so they can identify, prevent, mitigate and respond to cyber threats and incidents as well as ensure business continuity and operational resilience. The team discusses the implications of DORA and offers insights on applicability, obligations and potential liability for noncompliance. This episode was recorded on 17 January 2025. ----more---- Transcript:  Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Catherine: Hi, everyone. I'm Catherine Castaldo, a partner in the New York office of Reed Smith, and I'm in the EmTech Group. And I'm here today with my colleagues, Christian and Asélle, who I'll introduce themselves. And we're going to talk to you about DORA. Go ahead, Christian. Christian: Hi, I'm Christian Leuthner. I'm a Reed Smith partner in the Frankfurt office, focusing on IT and data protection law.  Asélle: And I'm Asélle Ibraimova. I am a council based in London. And I'm also part of the EmTech group, focusing on tech, data, and cybersecurity.  Catherine: Great. Thanks, Asélle and Christian. Today, when we're recording this, January 17th, 2025, is the effective date of this new regulation, commonly referred to as DORA. For those less familiar, would you tell us what DORA stands for and who is subject to it? Christian: Yeah, sure. So DORA stands for the Digital Operational Resilience Act, which is a new regulation that aims to enhance the cybersecurity and resilience of the financial sector in the European Union. It applies to a wide range of financial entities, such as banks, insurance companies, investment firms, payment service providers, crypto asset service providers, and even to critical third-party providers that offer services to the financial sector. DORA sets out common standards and requirements for these entities to identify, prevent, mitigate, and respond to cyber threats and incidents as well, as to ensure business continuity and operational resilience.  Catherine: Oh, that's comprehensive. Is there any entity who needs to be more concerned about it than others, or is it equally applicable to all of the ones you listed?  Asélle: I can jump in here. So DORA is a piece of legislation that wants to respect proportionality and allow organizations to deal with DORA requirements that will be proportionate to their size, to the nature of the cybersecurity risks. So, for example, micro-enterprises or certain financial entities that have only a small number of members will have a simplified ICT risk management framework under DORA. I also wanted to mention that DORA applies to financial entities that are outside of the EU, but provide services in the EU so they will be caught. And maybe just to also add in terms of the risks. It's not only the size of the financial entities that matter in terms of how they comply with the requirements of DORA, but also the cybersecurity risk. So let's say an ICT third-party service provider, the risk of that entity will depend on the nature of that service, on the complexity, on whether that service supports critical or important function of the financial entity, generally dependence on ICT service provider and ultimately on its potential to disrupt the services of that financial entity.  Catherine: So some of our friends might just be learning about this by listening to the podcast. So what does ICT stand for, Asélle?  A

In its first leading judgment (decision of November 18, 2024, docket no.: VI ZR 10/24), the German Federal Court of Justice (BGH) dealt with claims for non-material damages pursuant to Art. 82 GDPR following a scraping incident. According to the BGH, a proven loss of control or well-founded fear of misuse of the scraped data by third parties is sufficient to establish non-material damage. The BGH therefore bases its interpretation of the concept of damages on the case law of the CJEU, but does not provide a clear definition and leaves many questions unanswered. Our German data litigation lawyers, Andy Splittgerber, Hannah von Wickede and Johannes Berchtold, discuss this judgment and offer insights for organizations and platforms on what to expect in the future. ----more---- Transcript: Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Andy: Hello, everyone, and welcome to today's episode of our Reed Smith Tech Law Talks podcast. In today's episode, we'll discuss the recent decision of the German Federal Court of Justice, the FCJ, of November 18, 2024, on compensation payments following a data breach or data scraping. My name is Andy Splittgerber. I'm partner at Reed Smith's Munich office in the Emerging Technologies Department. And I'm here today with Hannah von Wickede from our Frankfurt office. Hannah is also a specialist in data protection and data litigation. And Johannes Berchtold, also from Reed Smith in the Munich office, also from the emerging technologies team and tech litigator. Thanks for taking the time and diving a bit into this breathtaking case law. Just to catch everyone up and bring everyone on the same speed, it was a case decided by the German highest civil court, in an action brought by a user of a social platform who wanted damages after his personal data was scraped by a hacker from that social media network. And that was done through using the telephone number or trying out any kind of numbers through a technical fault probably, and this find a friend function. And through this way, the hackers could download a couple of million data sets from users of that platform, which then could be found in the dark web. And the user then started an action before the civil court claiming for damages. And this case was then referred to the highest court in Germany because of the legal difficulties. Hannah, do you want to briefly summarize the main legal findings and outcomes of this decision?  Hannah: Yes, Andy. So, the FCJ made three important statements, basically. First of all, the FCJ provided its own definition of what a non-material damage under Article 82 GDPR is. They are saying that mere loss of control can constitute a non-material damage under Article 82 GDPR. And if such a loss of the plaintiffs is not verifiable, that also justified fear of personal data being misused can constitute a non-material damage under GDPR. So both is pretty much in line with what the ECJ already has said about non-material damages in the past. And besides that, the FCJ makes also a statement regarding the amount of compensation for non-material damages following from scraping incident. And this is quite interesting because according to the FCJ, the amount of the claim for damages in such cases is around 100 euros. That is not much money. However, FCJ also says both loss of control and reasonable apprehension, also including the negative consequences, must first be proven by the plaintiff.  Andy: So we have an immaterial damage that's important for everyone to know. And the legal basis for the damage claim is Article 82 of the General Data Protection Regulation. So it's not

Laura-May Scott and Emily McMahan navigate the intricate relationship between AI and professional liability insurance, offering valuable insights and practical advice for businesses in the AI era. Our hosts, both lawyers in Reed Smith’s Insurance Recovery Group in London, delve into AI’s transformative impact on the UK insurance market, focusing on professional liability insurance. AI is adding efficiency to tasks such as document review, legal research and due diligence, but who pays when AI fails? Laura-May and Emily share recommendations for businesses on integrating AI, including evaluating specific AI risks, maintaining human oversight and ensuring transparency. ----more---- Transcript: Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day. Laura-May: Welcome to Tech Law Talks and our new series on artificial intelligence. Over the coming months, we'll explore the key challenges and opportunities within the rapidly evolving AI landscape. Today, we will focus on AI in the UK insurance market. I'm Laura-May Scott, a partner in our Insurance Recovery and Global Commercial Disputes group based here in our London office. Joining me today is Emily McMahan, a senior associate also in the Insurance Recovery and Global Commercial Disputes team from our London office. So diving right in, AI is transforming how we work and introducing new complexities in the provision of services. AI is undeniably reshaping professional services, and with that, the landscape of risk and liability. Specifically today, we're going to discuss how professional liability insurance is evolving to address AI-related risks, and what companies should be aware of as they incorporate AI into their operations and work product. Emily, can you start by giving our listeners a quick overview of professional liability insurance and how it intersects with this new AI-driven landscape? Emily: Thank you, Laura-May. So, professional liability insurance protects professionals, including solicitors, doctors, accountants, and consultants, for example, against claims brought by their clients in respect of alleged negligence or poor advice. This type of insurance helps professionals cover the legal costs of defending those claims, as well as any related damages or settlements associated with the claim. Before AI, professional liability insurance would protect professionals from traditional risks, like errors in judgment or omissions from advice. For example, if an accountant missed a filing deadline or a solicitor failed to supervise a junior lawyer, such that the firm provided incorrect advice on the law. However, as AI becomes increasingly utilized in professional services and in the delivery of services and advice to their clients, the traditional risks faced by these professionals is changing rapidly. This is because AI can significantly alter how services are delivered to clients. Indeed, it is also often the case that it is not readily apparent to the client that AI has been used in the delivery of some of these professional services. Laura-May: Thank you, Emily. I totally agree with that. Can you now please tell us how the landscape is changing? So how is AI being used in the various sectors to deliver services to clients? Emily: Well, in the legal sphere, AI is being used for tasks such as document review, legal research, and within the due diligence process. At first glance, this is quite impressive, as these are normally the most time-consuming aspects of a lawyer's work. So the fact that AI can assist with these tasks is really useful. Therefore, when it works well, it works really well and can save us a lot of t

Our latest podcast covers the legal and practical implications of AI-enhanced cyberattacks; the EU AI Act and other relevant regulations; and the best practices for designing, managing and responding to AI-related cyber risks. Partner Christian Leuthner in Frankfurt, partner Cynthia O'Donoghue in London with counsel Asélle Ibraimova share their insights and experience from advising clients across various sectors and jurisdictions. ----more---- Transcript: Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day. Christian: Welcome to the Tech Law Talks, now new series on AI. Over the coming months, we'll explore the key challenges and opportunities within the rapidly evolving AI landscape. Today, we will focus on AI and cybersecurity threat. My name is Christian Leutner. I'm a partner at the Reed Smith Frankfurt office, and I'm with my colleagues Cynthia O'Donoghue and Asélle Ibraimova from the London office. Cynthia: Morning, Christian. Thanks. Asélle: Hi, Christian. Hi, Cynthia. Happy to be on this podcast with you. Christian: Great. In late April 2024, the German Federal Office for Information Security has identified that AI, and in particular, generative AI and large language models, LLM, is significantly lowering the barriers to entry for cyber attacks. The technology, so AI, enhances the scope, speed, and the impact of cyber attacks, of malicious activities, because it simplifies social engineering, and it really makes the creation or generation of malicious code faster, simpler, and accessible to almost everybody. The EU legislator had some attacks in mind when creating the AI Act. Cynthia, can you tell us a bit about what the EU regulator particularly saw as a threat? Cynthia: Sure, Christian. I'm going to start by saying there's a certain irony in the EU AI Act, which is that there's very little about the threat of AI, even though sprinkled throughout the EU AI Act is lots of discussion around security and keeping AI systems safe, particularly high-risk systems. But the EU AI Act contains a particular article that's focused on the design of high-risk systems and cybersecurity. And the main concern is really around the potential for data poisoning and for model poisoning. And so part of the principle behind the EU AI Act is security by design. And so the idea is that the EU AI Act regulates high-risk AI systems such that they need to be designed and developed in a way that ensures an appropriate level of accuracy robustness, and cybersecurity. And to prevent such things as data poisoning and model poisoning. And it also talks about the horizontal laws across the EU. So because the EU AI Act treats AI as a product, it brings into play other EU directives, like the Directive on the Resilience of Critical Entities and the newest cybersecurity regulation in relation to digital products. And I think when we think about AI, you know, most of our clients are concerned about the use of AI systems and being, let's say, ensuring that they're secure. But really, you know, based on that German study you mentioned at the beginning of the podcast, I think there's less attention paid to use of AI as a threat vector for cybersecurity attacks. So, Christian, what do you think is the relationship between the AI Act and the Cyber Resilience Act, for instance? Christian: Yeah, I think, and you mentioned it already. So the legislator thought there is a link and the high-risk AI models need to implement a lot of security measures. And the latest Cyber Resilience Act requires some stakeholders in software and hardware products to also implement security measures and also imposes another or l

Reed Smith lawyers Cheryl Yu (Hong Kong) and Barbara Li (Beijing) explore the latest developments in AI regulation and litigation in China. They discuss key compliance requirements and challenges for AI service providers and users, as well as the emerging case law on copyright protection and liability of AI-generated content. They also share tips and insights on how to navigate the complex and evolving AI legal landscape in China. Tune in to learn more about China’s distinct approach to issues involving AI, data and the law.  ----more---- Transcript:  Intro: Hello and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day. Cheryl: Welcome to our Tech Law Talks and new series on artificial intelligence. Over the months, we have been exploring the key challenges and opportunities within the rapidly involving AI landscape. Today, we will focus on AI regulations in China and the relevant PRC court decisions. My name is Cheryl Yu, a partner in the Hong Kong office at Reed Smith, and I'm speaking today with Barbara Li, who is a partner based in our Beijing office. Barbara and I are going to focus on the major legal regulations on AI in China and also some court decisions relating to AI tours to see how China's legal landscape is evolving to keep up with the technological advancements. Barbara, can you first give us an overview about China's AI regulatory developments? Barbara: Sure. Thank you, Cheryl. Very happy to do that. In the past few years, the regulatory landscape governing AI in China has been evolving at a very fast pace. Although China does not have a comprehensive AI as a EU AI act, China has been leading the way in rolling out multiple AI regulations governing generative AI, debate technologies, and algorithms. In July 2023, China issued the Generative AI Measures, which becomes one of the first countries in the world to regulate generative AI technologies. These measures apply to generative AI services offered to the public in China, regardless of whether the service provider is based in China or outside China. And international investors are allowed to set up local entities in China to develop and offer AI services in China. In relation to the legal obligation, the measures lay down a wide range of legal requirements in performing and using generative AI services. Including content screening, protection of personal data and privacy, and safeguarding IPR and trade secrets, and also taking effective measures to prevent discrimination, when the company's design algorithm chooses a training data or creates a large language model. Cheryl: Many thanks, Barbara. These are the very important compliance obligations that business should not neglect when engaging in development of AI technologies, products, and services. I understand that one of the biggest concerns in AI is how to avoid hallucination and misinformation. I wonder if China has adopted any regulations to address these issues? Barbara: Oh, yes, definitely, Cheryl. China has adopted multiple regulations and guidelines to address these concerns. For example, the Deep Synthesis Rule, which became effective from January 2023, and this regulation aims to have a governance over the use of deep-fake technologies in generating or changing digital content. And when we talk about digital content, the regulation refers to a wide range of digital media, including video, voices, text, and images. And the deep synthesis service providers, they must refrain from using deep synthesis of services to produce or disseminate illegal information. And also, the companies are required to establish and improve proper compliance or risk management systems. S

Reed Smith partners Claude Brown and Romin Dabir discuss the challenges and opportunities of artificial intelligence in the financial services sector. They cover the regulatory, liability, competition and operational risks of using AI, as well as the potential benefits for compliance, customer service and financial inclusion. They also explore the strategic decisions firms need to make regarding the development and deployment of AI, and the role of regulators play in supervising and embracing AI. ----more---- Transcript: Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Claude: Welcome to Tech Law Talks and our new series on artificial intelligence, or AI. Over the coming months, we'll explore key challenges and opportunities within the rapidly evolving AI landscape. Today, we're going to focus on AI in financial services. And to do that, I'm here. My name is Claude Brown. I'm a partner in Reed Smith in London in the Financial Industry Group. And I'm joined by my colleague, Romin Dabir, who's a financial services partner, also based in London.  Romin: Thank you, Claude. Good to be with everyone.  Claude: I mean, I suppose, Romin, one of the things that strikes me about AI and financial services is it's already here. It's not something that's coming in. It's been established for a while. We may not have called it AI, but many aspects it is. And perhaps it might be helpful to sort of just review where we're seeing AI already within the financial services sector.  Romin: Yeah, absolutely. No, you're completely right, Claude. Firms have been using AI or machine learning or some form of automation in their processes for quite a while, as you rightly say. And this has been mainly driven by searches for efficiency, cost savings, as I'm sure the audience would appreciate. There have been pressures on margins and financial services for some time. So firms have really sought to make their processes, particularly those that are repetitive and high volume, as efficient as possible. And parts of their business, which AI has already impacted, include things like KYC, AML checks, back office operations. All of those things are already having AI applied to them.  Claude: Right. I mean, some of these things sound like a good thing. I mean, improving customer services, being more efficient in the know-your-customer, anti-money laundering, KYC, AML areas. I suppose robo-advice, as it's called sometimes, or sort of asset management, portfolio management advice, might be an area where one might worry. But I mean, the general impression I have is that the regulators are very focused on AI. And generally, when one reads the press, you see it being more the issues relating to AI rather than the benefits. I mean, I'm sure the regulators do recognize the benefits, but they're always saying, be aware, be careful, we want to understand better. Why do you think that is? Why do you think there's areas of concern, given the good that could come out of AI?  Romin: No, that's a good question. I think regulators feel a little bit nervous when confronted by AI because obviously it's novel, it's something new, well, relatively new that they are still trying to understand fully and get their arms around. And there are issues that arise where AI is applied to new areas. So, for example, you give the example of robo-advice or portfolio management. Now, these were activities that traditionally have been undertaken by people. And when advice or investment decisions are made by people, it's much easier for regulators to understand and to hold somebody accountable for that. But when AI is involved, responsibility so

This episode highlights the new benefits, risks and impacts on operations that artificial intelligence is bringing to the transportation industry. Reed Smith transportation industry lawyers Han Deng and Oliver Beiersdorf explain how AI can improve sustainability in shipping and aviation by optimizing routes and reducing fuel consumption. They emphasize AI’s potential contributions from a safety standpoint as well, but they remain wary of risks from cyberattacks, inaccurate data outputs and other threats. ----more---- Transcript: Intro: Hello and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Han: Hello, everyone. Welcome to our new series on AI. Over the coming months, we will explore the key challenges and opportunities within the rapidly evolving AI landscape. Today, my colleague Oliver and I will focus on AI in shipping and aviation. My name is Han Deng, a partner in the transportation industry group in New York, focusing on the shipping industry. So AI and machine learning have the potential to transform the transportation industry. What do you think about that, Oliver?  Oliver: Thanks, Han, and it's great to join you. My name is Oliver Beiersdorf. I'm a partner in our transportation industry group here at Reed Smith, and it's a pleasure to be here. I'm going to focus a little bit on the aviation sector. And in aviation, AI is really contributing to a wide spectrum of value opportunities, including enhancing efficiency, as well as safety-critical applications. But we're still in the early stages. The full potential of AI within the aviation sector is far from being harnessed. For instance, there's huge potential for use in areas which will reduce human workload or increase human capabilities in very complex scenarios in aviation.  Han: Yeah, and there's similar potential within the shipping industry with platforms designed to enhance collision avoidance, route optimization, and sustainability efforts. In fact, AI is predicted to contribute $2.5 trillion to the global economy by 2030.  Oliver: Yeah, that is a lot of money, and it may even be more than that. But with that economic potential, of course, also comes substantial risks. And AI users and operators and industries now getting into using AI have to take preventative steps to avoid cyber security attacks. Inaccurate data outputs, and other threats.  Han: Yeah, and at Reed Smith, we help our clients to understand how AI may affect their operations, as well as how AI may be utilized to maximize potential while avoiding its pitfalls and legal risks. During this seminar, we will highlight elements within the transportation industry that stand to benefit significantly from AI.  Oliver: Yeah, so a couple of topics that we want to discuss here in the next section, and there's really three of them which overlap between shipping and aviation in terms of the use of AI. And those topics are sustainability, safety, and business efficiency with the use of AI. In terms of sustainability, across both sectors, AI can help with route optimization, which saves on fuel and thus enhances sustainability.  Han: AI can make a significant difference in sustainability across the whole of the transportation industry by decreasing emissions. For example, within the shipping sector, emerging tech companies are developing systems that can directly link the information generated about direction and speed to a ship's propulsion system for autonomous regulation. AI also has the potential to create optimized routes using sensors that track and analyze real-time and variable factors such as wind speed and current. AI can determine both the ideal route and speed f

Emerging technology lawyers Therese Craparo, Anthony Diana and Howard Womersley Smith discuss the rapid advancements in AI in the financial services industry. AI systems have much to offer but most bank compliance departments cannot keep up with the pace of integration. The speakers explain: If financial institutions turn to outside vendors to implement AI systems, they must work to achieve effective risk management that extends out to third-party vendors.   ----more---- Transcript: Intro: Hello and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Therese: Hello, everyone. Welcome to Tech Law Talks and our series on AI. Over the coming months, We'll be exploring the key challenges and opportunities within the rapidly evolving AI landscape. And today we'll be focusing on AI in banking and the specific challenges we're seeing in the financial services industry and how the financial services industry are approaching those types of challenges with AI. My name is Therese Craparo. I am a partner in our Emerging Technologies Group here at Reed Smith, and I will let my colleagues on this podcast introduce themselves. Anthony?  Anthony: Hey, this is Anthony Diana, partner in the New York office of Reed Smith, also part of the Emerging Technologies Group, and also, for today's podcast, importantly, I'm part of the Bank Tech Group.  Howard: Hello, everyone. My name is Howard Womersley Smith. I'm a partner in the Emerging Technologies Group at Reed Smith in London. As Anthony says, I'm also part of the Bank Tech Group. So back to you, Therese.  Therese: All right. So just to start out, what are the current developments or challenges that you all are seeing with AI in the financial services industry?  Anthony: Well, I'll start. I think a few things. Number one, I think we've seen that the financial services industry is definitely all in on AI, right? I mean, there's definitely a movement in the financial services industry. All the consultants have said this, that this is one of the areas where they expect AI, including gender of AI, to really have an impact. And I think that's one of the things that we're seeing is there's a tremendous amount of pressure from the legal and compliance departments because the businesses are really pushing to be AI forward and really focusing on AI. So one of the challenges is that this is here. It’s now. It's not something you can plan for. I think half of what we're seeing is AI tools are coming out frequently, sometimes not even with the knowledge of legal compliance, sometimes with knowledge of the business, where because it's in the cloud, they just put in an AI feature. So that is one of the challenges that we're dealing with right now, which is catch up. Things are moving really quickly, and then people are trying to catch up to make sure that they're compliant with whatever regs that are out there. Howard?  Howard: I agree with that. I think that banks are all in with the AI hype cycle, and I certainly think it is a hype cycle. I think that generally the sector is at the same pace, and at the moment we're looking at an uptick of interest and procurement of AI systems into the infrastructure of banks. I think that, you know, from the perspective of, you know, what the development phase is, I think we are just looking at the stage where they are buying in AI. We are beyond the look and see, the sourcing phase, looking at the buying phase and the impingement of AI into those banks. And, you know, what are the challenges there for? Well, challenges are twofold. One, it's from an existential perspective. Banks are looking to increase shareholder value, and they are look

Regulatory lawyers Cynthia O’Donoghue and Wim Vandenberghe explore the European Union’s newly promulgated AI Act; namely, its implications for medical device manufacturers. They examine amazing new opportunities being created by AI, but they also warn that medical-device researchers and manufacturers have special responsibilities if they use AI to discover new products and care protocols. Join us for an insightful conversation on AI’s impact on health care regulation in the EU.  ----more---- Transcript:  Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with everyday. Cynthia: Welcome to Tech Law Talks and our new series on AI. Over the coming months, we'll explore the key challenges and opportunities within the rapidly evolving AI landscape. Today, we're going to focus on AI and life sciences, particularly medical devices. I'm Cynthia O’Donoghue. I'm a Reed Smith partner in the London office in our emerging technology team. And I'm here today with Wim Vandenberghe. Wim, do you want to introduce yourself? Wim: Sure, Cynthia. I'm Wim Vandenberghe, I'm a life science partner out of the Brussels office, and my practice is really about regulatory and commercial contracting in the life science space. Cynthia: Thanks, Wim. As I mentioned, we're here to talk about the EU AI Act that came into force on the 2nd of August, and it has various phases for when different aspects come into force. But I think a key thing for the life sciences industry and any developer or deployer of AI is that research and development activity is exempt from the EU AI Act. And the reason it was done is because the EU wanted to foster research and innovation and development. But the headline sounds great. If, as a result of research and development, that AI product is going to be placed on the EU market and developed, essentially sold or used in products in the EU, it does become regulated under the EU AI Act. And there seems to be a lot of talk about interplay between the EU AI Act and various other EU laws. So Wim, how does the AI Act interplay with the medical devices regulation, the MDR and the IVDR? Wim: That's a good point, Cynthia. And that's, of course, you know, where a lot of the medical device companies are looking at kind of like that interplay and potential overlap between the AI Act on the one hand, which is a cross-sectoral piece of legislation. So it applies to all sorts of products and services, whereas the MDR and the IVDR are of course only applicable to medical technologies. So in summary, you know, the medical, both the AI Act and the MDR and IVDR will apply to AI systems, provided, of course, that those AI systems are in scope of the respective legislation. So maybe I'll start with the MDR and IVDR and then kind of turn to the AI Act. Under the MDR and the IVDR, of course, there's many AI solutions that are either considered to be a software as a medical device in their own right, or they are part or component of a medical technology. So to the extent that this AI system as software meets the definition of a medical device under the MDR or under the IVDR, it would actually qualify as a medical device. And therefore, the MDR and IVDR is fully applicable to those AI solutions. Stating the obvious, you know, there's plenty of AI solutions that are already now on the market and being used in a healthcare setting as well. Well, what the AI Act kind of focuses on, particularly with regard to medical technology, is the so-called high-class risk AI systems. And for a medical technology to be a high-class AI system under the AI Act, it's essentially it's a twofold kind of criteria that needs to apply. Firs

Reed Smith emerging tech lawyers Andy Splittgerber in Munich and Cynthia O’Donoghue in London join entertainment & media lawyer Monique Bhargava in Chicago to delve into the complexities of AI governance. From the EU AI Act to US approaches, we explore common themes, potential pitfalls and strategies for responsible AI deployment. Discover how companies can navigate emerging regulations, protect user data and ensure ethical AI practices. ----more---- Transcript: Intro: Hello and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Andy: Welcome to Tech Law Talks and our new series on artificial intelligence. Over the coming months, we'll explore the key challenges and opportunities within the rapidly evolving AI landscape globally. Today, we'll focus on AI and governance with a main emphasis on generative AI in a regional perspective if we look into Europe and the US. My name is Andy Splittgerber. I'm a partner in the Emerging Technologies Group of Reed Smith in Munich, and I'm also very actively advising clients and companies on artificial intelligence. Here with me, I've got Cynthia O'Donoghue from our London office and Nikki Bhargava from our Chicago office. Thanks for joining.  Cynthia: Thanks for having me. Yeah, I'm Cynthia O'Donoghue. I'm an emerging technology partner in our London office, also currently advising clients on AI matters.  Monique: Hi, everyone. I'm Nikki Bhargava. I'm a partner in our Chicago office and our entertainment and media group, and really excited to jump into the topic of AI governance. So let's start with a little bit of a basic question for you, Cynthia and Andy. What is shaping how clients are approaching AI governance within the EU right now?  Cynthia: Thanks, Nikki. The EU is, let's say, just received a big piece of legislation, went into effect on the 2nd of October that regulates general purpose AI and high risk general purpose AI and bans certain aspects of AI. But that's only part of the European ecosystem. The EU AI Act essentially will interplay with the General Data Protection Regulation, the EU's Supply Chain Act, and the latest cybersecurity law in the EU, which is the Network and Information Security Directive No. 2. so essentially there's a lot of for organizations to get their hands around in the EU and the AI act has essentially phased dates of effectiveness but the the biggest aspect of the EU AI act in terms of governance lays out quite a lot and so it's a perfect time for organizations to start are thinking about that and getting ready for various aspects of the AAC as they in turn come into effect. How does that compare, Nikki, with what's going on in the U.S.?  Monique: So, you know, the U.S. is still evaluating from a regulatory standpoint where they're going to land on AI regulation. Not to say that we don't have legislation that has been put into place. We have Colorado with the first comprehensive AI legislation that went in. And we also had, you know, earlier in the year, we also had from the Office of Management and Budget guidelines to federal agencies about how to procure and implement AI, which has really informed the governance process. And I think a lot of companies in the absence of regulatory guidance have been looking to the OMB memo to help inform what their process may look like. And I think the one thing I would highlight, because we're sort of operating in this area of unknown and yet-to-come guidance, that a lot of companies are looking to their existing governance frameworks right now and evaluating how they're both from a company culture perspective, a mission perspective, their relationship with consumers, how the

Reed Smith partners share insights about U.S. Department of Health and Human Services initiatives to stave off misuse of AI in the health care space. Wendell Bartnick and Vicki Tankle discuss a recent executive order that directs HHS to regulate AI’s impact on health care data privacy and security and investigate whether AI is contributing to medical errors. They explain how HHS collaborates with non-federal authorities to expand AI-related protections; and how the agency is working to ensure that AI outputs are not discriminatory. Stay tuned as we explore the implications of these regulations and discuss the potential benefits and risks of AI in healthcare.  ----more---- Transcript: Intro: Hello, and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting-edge issues on technology, data, and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Wendell: Welcome to our new series on AI. Over the coming months, we'll explore the key challenges and opportunities within the rapidly evolving AI landscape. Today, we will focus on AI in healthcare. My name is Wendell Bartnick. I'm a partner in Reed Smith's Houston office. I have a degree in computer science and focused on AI during my studies. Now, I'm a tech and data lawyer representing clients in healthcare, including providers, payers, life sciences, digital health, and tech clients. My practice is a natural fit given all the innovation in this industry. I'm joined by my partner, Vicki Tankle.  Vicki: Hi, everyone. I'm Vicki Tankle, and I'm a digital health and health privacy lawyer based in Reed Smith's Philadelphia office. I've spent the last decade or so supporting health industry clients, including healthcare providers, pharmaceutical and medical device manufacturers, health plans, and technology companies navigate the synergies between healthcare and technology and advising on the unique regulatory risks that are created when technology and innovation far outpace our legal and regulatory frameworks. And we're oftentimes left managing risks in the gray, which as of today, July 30th, 2024, is where we are with AI and healthcare. So when we think about the use of AI in healthcare today, there's a wide variety of AI tools that support the health industry. And among those tools, a broad spectrum of the use of health information, including protected health information, or PHI, regulated by HIPAA, both to improve existing AI tools and to develop new ones. And if we think about the spectrum as measuring the value or importance of the PHI, the individuals individuals identifiers themselves, it may be easier to understand that the far ends of the spectrum and easier to understand the risks at each end. Regulators in the industry have generally categorized use of PHI in AI into two buckets, low risk and high risk. But the middle is more difficult and where there can be greater risk because it's where we find the use or value of PHI in the AI model to be potentially debatable. So on the one hand of the spectrum, for example, the lower risk end, there are AI tools such as natural language processors, where individually identifiable health information is not centric to the AI model. But instead, for this example, it's the handwritten notes of the healthcare professional that the AI model learns from. And with more data and more notes, the tool's recognition of the letters themselves, not the words the letters form, such as patient's name, diagnosis, or lab results, the better the tool operates. Then on the other hand of the spectrum, the higher risk end, there are AI tools such as patient-facing next best action tools that are based on an individual's patient medical history, their reported symptoms, their providers, their prescribed medications, p

AI-driven autonomous ships raise legal questions, and shipowners need to understand autonomous systems’ limitations and potential risks. Reed Smith partners Susan Riitala and Thor Maalouf discuss new kinds of liability for owners of autonomous ships, questions that may occur during transfer of assets, and new opportunities for investors. ----more---- Transcript: Intro: Hello and welcome to Tech Law Talks, a podcast brought to you by Reed Smith's Emerging Technologies Group. In each episode of this podcast, we will discuss cutting edge issues on technology, data and the law. We will provide practical observations on a wide variety of technology and data topics to give you quick and actionable tips to address the issues you are dealing with every day.  Susan: Welcome to Tech Law Talks and our new series on AI. Over the coming months, we'll explore the key challenges and opportunities within the rapidly evolving AI landscape. And today we will focus on AI in shipping. My name is Susan Riitala. I'm a partner in the asset finance team of the transportation group here in the London office of Reed Smith.  Thor: Hello, I'm Thor Maalouf. I'm also a partner in the transportation group at Reed Smith, focusing on disputes.  Susan: So when we think about how AI might be relevant to shipping, One immediate thing that springs to mind is the development of marine autonomous vessels. So, Thor, please can you explain to everyone exactly what autonomous vessels are?  Thor: Sure. So, according to the International Maritime Organization, the IMO, a maritime autonomous surface ship or MASS is defined as a ship which, to a varying degree, can operate independently of human interaction. Now, that can include using technology to carry out various ship-related functions like navigation, propulsion, steering, and control of machinery, which can include using AI. In terms of real-world developments, at this year's meeting of the IMO's working group on autonomous vessels, which happened last month in June, scientists from the Korean Research Institute outlined their work on the development and testing of intelligent navigation systems for autonomous vessels using AI. That system was called NEEMO. It's undergone simulated and virtual testing, as well as inland water model tests, and it's now being installed on a ship with a view to being tested at sea this summer. Participants in that conference also saw simulated demonstrations from other Korean companies like the familiar Samsung Heavy Industries and Hyundai of systems that they're trialing for autonomous ships, which include autonomous navigation systems using a combination of AI, satellite technology and cameras. And crewless coastal cargo ships are already operating in Norway, and a crewless passenger ferry is already being used in Japan. Now, fundamentally, autonomous devices learn from their surroundings, and they complete tasks without continuous human input. So, this can include simplifying automated tasks on a vessel, or a vessel that can conduct its entire voyage without any human interaction. Now, the IMO has worked on categorizing a spectrum of autonomy using different degrees and levels of automation. So the lowest level still involves some human navigation and operation, and the highest level does not. So for example, the IMO has a degree Degree 1 of autonomy, a ship with just some automated processes and decision support, where there are seafarers on board to operate and control shipboard systems and functions. But there are some operations which can be automated at times and be unsupervised. Now, as that moves up through the degrees, we get to, for example, Degree 3, where you have a remotely controlled ship without seafarers on board the ship. The ship will be controlled and operated from a remote location. All the way up to degree four, the highest level of automation, where you have a fully autonomous ship, where the operating systems of the ship are able to make their own d