Artificial Intelligence Technology in Defense Sector: Obstacles and Benefits
In the rapidly evolving world of defense technology, the integration of artificial intelligence (AI) presents a multitude of business opportunities. This is a crucial moment for defense tech companies, as they grapple with a complex legal environment shaped by evolving civil AI regulations, cybersecurity requirements, and ethical accountability concerns.
The webinar "The AI Defense Tech Moment: Challenges and Opportunities," hosted by WilmerHale, sheds light on these key issues. The event is part of WilmerHale's series on the legal challenges faced by emerging defense tech companies, and it will offer Continuing Legal Education (CLE) credit for experienced New York attorneys who join the live presentation.
One of the major legal challenges is the complexity of civil AI regulation and its second-order impacts on defense. As AI technology is inherently dual-use, civil AI regulations, though often containing explicit carve-outs for military uses, are porous. This means that civil AI regulations indirectly impact defense tech companies through market-shaping effects, judicial interpretations, and additional regulatory costs and risks in developing and deploying AI for defense purposes. Defense companies must actively engage in shaping these civil regulations to avoid unintended constraints.
Another challenge is the need for robust AI cybersecurity standards. New government directives are emphasizing transparent reporting and mitigation of AI-related vulnerabilities, runtime monitoring and incident logging for AI systems, protection against data poisoning and tampering of AI models, and collaboration with researchers on shared cybersecurity datasets. Failure to comply with these requirements risks legal liability, contract loss, or exclusion from federal programs.
Defense AI companies must also address risks such as AI hallucinations (misinformation generated by AI), confidentiality breaches, and intellectual property infringement from the data used to train models. These present potential legal and contractual challenges that require strong compliance and risk mitigation frameworks within companies.
However, these challenges also come with opportunities. Defense tech firms and government bodies have the opportunity to influence legislative and regulatory frameworks to ensure military needs are considered and carve-outs remain effective, preserving operational flexibility. Companies that integrate advanced AI cybersecurity measures early position themselves favorably for government contracts and enhance their reputational standing. The new “rules as code” approach to regulatory compliance enables more precise and automated adherence to legal requirements, providing a market edge.
Moreover, AI offers transformational benefits for intelligence, autonomous systems, and operational efficiency. Companies successfully navigating the legal landscape can capitalize on the demand for advanced AI-enabled defense technologies globally.
In conclusion, the emergence of AI in defense technology poses legal and policy challenges, but it also offers opportunities for defense tech companies. Active engagement with policymakers and rigorous risk management are essential to successfully navigate this moment in AI defense technology. The webinar "The AI Defense Tech Moment: Challenges and Opportunities" offers valuable insights for those navigating this complex landscape.
[1] Arianna Evers and Joshua Geltzer, Partners at WilmerHale, will be discussing the webinar. Erik Swabb, another Partner at WilmerHale, will be moderating the event. The program will apply for Colorado CLE if requested, and attendees of this program may be able to claim England & Wales CPD. WilmerHale has been approved as a Colorado Certified Provider. However, CLE credit is not available for on-demand webinar recordings, and the type and amount of credit awarded in Colorado will be determined solely by the Colorado Supreme Court. All attendees, regardless of jurisdiction, will receive a uniform certificate of attendance. The webinar is planned to offer CLE credit for attendees who join the live presentation in California and non-transitional credit in New York. Additionally, the webinar will focus on key areas to watch for defense tech companies focused on AI. WilmerHale can also issue Connecticut credit, and the program may apply for New Jersey reciprocal credit if requested.
The webinar "The AI Defense Tech Moment: Challenges and Opportunities," hosted by WilmerHale, provides insights on the legal challenges faced by defense tech companies as they integrate artificial intelligence (AI), particularly in addressing the complexities of civil AI regulations and the need for robust AI cybersecurity standards.
Defense AI companies can capitalize on the opportunities presented by AI, such as influencing regulatory frameworks, integrating advanced AI cybersecurity measures, and benefiting from increased demand for advanced AI-enabled defense technologies.
