Companies are laying out the risks of generative artificial intelligence to investors: UL Solutions is among the first to disclose the promise and peril of the new technology in its IPO prospectus.

UL Solutions, a Northbrook-based company, has become one of the first to disclose the risks of generative artificial intelligence (AI) in its IPO prospectus. The company highlights both the promise and peril of AI, including the potential automation of jobs, competition, and regulation. Generative AI has rapidly emerged as a disruptive technology, and UL Solutions aims to incorporate it into its business before competitors and customers do. However, challenges such as payment to training model creators and data protection concerns remain. The regulatory uncertainty surrounding AI also poses a risk to investors. [Extracted from the article]