The practices surrounding the authorization and regulation of artificial intelligence (AI) software use are increasingly critical to organizational efficiency and risk mitigation. This area encompasses the policies, procedures, and tools employed to ensure that AI software is utilized in compliance with vendor agreements, legal requirements, and internal governance standards. Examples include tracking usage, enforcing license limitations, and monitoring adherence to data privacy regulations.
Effective oversight in this domain offers numerous advantages, including cost optimization by avoiding overspending on unused licenses and preventing penalties for non-compliance. Furthermore, robust controls contribute to improved security by minimizing the risk of unauthorized access and data breaches. Historically, the management of software licenses was a manual process, but the complexities of AI models and their deployment necessitate more sophisticated, automated solutions.