When ChatGPT was introduced in November 2022, it became an overnight household name. Four months later, Microsoft announced its integration of OpenAI’s GPT-4 model into Bing, providing a ChatGPT-like experience within the search engine. While these tools have demonstrated that generative AI has tremendous operational and business potential, there is already a visible constellation of privacy and data security risks associated with their use. In this two-part guest article series, Ballard Spahr attorneys explore a number of these legal and regulatory issues. This second article addresses product liability, healthcare and employment risks, and potential liability under wiretapping laws. It also offers practical compliance measures. Part one covered AI collection and use considerations under U.S. and E.U. privacy laws and regulations. See our two-part series on the practicalities of AI governance: “Tips From a Chat Platform on Building a Program,” (Feb. 1, 2023), and “Core Compliance Strategies” (Feb. 23, 2023).