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Why Accountability Matters in AI Development and Governance

February 10, 2025 / 12:21

This episode features Kevin Werbach, Professor and Chair of the Department of Legal Studies and Business Ethics at Wharton, discussing accountable AI and the Wharton Accountable AI Lab.

Werbach explains the concept of accountable AI, emphasizing the importance of understanding and mitigating the risks associated with artificial intelligence. He highlights the need for systematic practices to ensure AI systems are developed responsibly.

The conversation touches on the challenges companies face in implementing AI governance, with Werbach noting that many organizations struggle to understand best practices and effective governance mechanisms.

Werbach shares his extensive background in technology policy, including his work with the Clinton and Obama administrations, and discusses how AI differs from previous technologies like the internet and blockchain.

Finally, he introduces his podcast, The Road to Accountable AI, which features interviews with government officials, technologists, and business leaders focused on responsible AI development.

TL;DR

Kevin Werbach discusses accountable AI and the challenges of responsible AI governance at the Wharton Accountable AI Lab.

Episode

12:21
00:00:00
Angie Basiouny: This podcast is brought to you
00:00:03
by Knowledge at Wharton.
00:00:13
Welcome to Knowledge at Wharton. I'm Angie Basiouny. I'm here
00:00:16
today with Kevin Werbach. He is Professor and Chair of the
00:00:18
Department of Legal Studies and Business Ethics at Wharton. He's
00:00:22
also the Faculty Director of our new Wharton Accountable AI Lab,
00:00:26
which is dedicated to advancing responsible development
00:00:29
of artificial intelligence. And that is what we're going to talk
00:00:32
about today. Kevin, welcome aboard.
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Kevin Werbach: Thanks so much.
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Appreciate having you here. So let's just jump right into it.
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What is accountable AI? Why did you start this lab?
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Accountable AI
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is about understanding the challenges that AI poses. The
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starting point is that AI is an incredible innovation. It has
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tremendous potential to create value for businesses and to do a
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great deal of social good. But we can't realize that potential,
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we can't achieve the benefits of AI without acknowledging,
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understanding and mitigating the risks. Thinking about the
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potential dangers and harms and problems with AI. So accountable
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AI is about not just thinking what could happen, what are the
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risks, although that's part of it, not just asking from an
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abstract perspective, what principles should organizations
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have about what they're doing with AI? Again, that's part of
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it. Not just saying generally, we should be responsible about
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AI or have well-governed AI, although that's part of it. It's
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saying, systematically, how do we put into place the kinds of
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practices and the understandings that it takes to ensure that AI
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systems are deployed and developed in the ways that
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maximize their benefits and appropriately mitigate and
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address or redress the problems and harms. And accountability is
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chosen by— is something I chose intentionally. It's about making
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those connections, the connection between the risks and
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the potential or real harms and what actually happens. To
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prevent them, to mitigate them, to understand them, to address
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them. Having all those practices in place and doing it in a
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thoughtful, systematic, structured, rigorous way, which,
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of course, is very consistent with how we
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think about things at Wharton.
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So let me ask you, is the Lab going to— are you going to
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develop, sort of like a best practices or prescriptive
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information for business— business leaders, for tech
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companies, about how to use AI, how to deploy it?
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One of the things that I have found in speaking with companies
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in the research that I do in this area, and as we were
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putting together the plans for the Lab, is that most of them are
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really struggling to get on top of these issues. They don't
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understand what other organizations are doing. There's
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a few companies who are very far advanced, especially some of the
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big technology companies have invested significantly in
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responsible AI or AI governance. But even they have questions
00:03:09
about, what should they be doing? What are other companies
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doing? Are they appropriately addressing all of the issues?
00:03:16
What does the data show about what kinds of governance
00:03:19
mechanisms are effective? And most companies are not even at
00:03:23
that point. So we are certainly not going to say we'll tell
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companies what the best practices are. AI is so diverse,
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and there's so many different kinds of AI. There's— there's
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machine learning systems, there's generative AI. It's a
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different thing if we're talking about a company that is doing
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hardcore technical development of AI models, versus a company
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that may be a very large enterprise but is deploying a
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system that they are procuring from elsewhere, versus a small
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startup that is involved in this area. And it depends on what
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industry you're in and so forth. So we are first going to try to
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understand what organizations are actually doing, what's
00:04:01
successful, what's not successful, what are the gaps, to
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try and synthesize some of that to help organizations understand
00:04:07
what the possibilities are. And it's a moving target. It's going
00:04:10
to be an ongoing process of understanding what can be done,
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what are all the problems that are most concerning, and how can
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they be overcome?
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That is a tall task, but I know that you're up for it. I want to
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tell people a little bit about your about your background. You
00:04:24
have a law degree from Harvard. You came to Wharton in 2004, so
00:04:29
going on 21 years now. But you also worked in the Clinton
00:04:33
Administration, the Obama Administration. You worked with
00:04:35
the FCC on emerging technology. You've been at this for a long
00:04:39
time. You have four books about technology, including
00:04:41
blockchain. You've seen the emerging technology. You've
00:04:46
worked on the business implications, the ethical
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implications. Here's AI. Is it different? How is it different
00:04:52
from the concerns that we've dealt with in the past? Or is it
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the same?
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Some of both. As you note, I have been working on emerging
00:04:59
technologies my whole career. When I started in the 1990s, that was
00:05:02
the internet. And I wrote a paper on internet policy at the
00:05:06
Federal Communications Commission. This was early on,
00:05:08
before I was an academic. And at that point, there were something
00:05:13
like less than 50 million people on the internet in the entire
00:05:16
world, and the vast majority of them were people dialing up on
00:05:20
their telephone to the proprietary America Online
00:05:23
service. There was not a single person in all of China who had a
00:05:26
private internet connection at that point. And yet, we could
00:05:28
see the issues that were coming up. We could see that this has a
00:05:31
technology that has the potential to change the world,
00:05:34
and we needed to understand what the issues were. And so all
00:05:37
throughout my career, I've tried to get engaged on major,
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important technology developments early enough to
00:05:45
identify the issues to work on, helping to develop the
00:05:49
regulatory strategies, work with government, identify and
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highlight what the problems are before it was too late. And so I
00:05:57
did that with broadband technology. I did that with
00:05:59
something called gamification, which is applying psychological
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techniques and other techniques from video games to motivate
00:06:06
people in different contexts. I did it, as you mentioned, with
00:06:09
blockchain, which was another field that because— that I saw coming,
00:06:14
that had this diverse potential, but it was still poorly
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understood. In fact, it's still poorly understood today. AI, I
00:06:20
put in a similar bucket. We are, in some ways, very far along
00:06:24
with AI. The AI, if you're talking about in terms of
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machine learning technology, is decades old. In some ways,
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though, we're just at the beginning. We're just a couple
00:06:32
years after the kind of ChatGPT shot heard around the world
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announcement that kicked off this incredible race to exploit
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the potential and understand the potential of generative AI. And
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we know there are all these problems. We know there are
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issues about privacy and bias and intellectual property and
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manipulation and so on and so forth, and yet we don't have
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good solutions. So AI is similar to these earlier technologies in
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that it starts at a point where it has tremendous potential and
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generates a lot of excitement, but there's a lack of
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understanding broadly about, really, whether we'll realize its
00:07:11
potential and what the impacts will be. But every technology is
00:07:14
different. And with each of these waves, we build on what
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came before. So AI leverages the fact that we have the internet,
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and we have these incredible networks and technical
00:07:24
capabilities which allow things to be deployed and scaled very
00:07:28
fast around the world. And we see this tremendous amount of
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activity and investment going into this space. So it's
00:07:34
different than it was back 30 years ago, when I was looking at
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dial up internet, but it's similar in that we have this
00:07:41
period of uncertainty, and I think that is the point where
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it's most important to really dig in. Think about the ethical
00:07:48
issues, think about the governance issues, think about
00:07:50
the regulatory issues. And so that's
00:07:52
really the genesis of the Accountable AI Lab.
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There are a number of issues. In my experience interviewing
00:07:58
people about AI, which I've been doing quite a bit over the last
00:08:01
year, I find that there are three camps, right? So there are
00:08:04
the people who fear it, the people who celebrate it, can't
00:08:08
wait for more of it. And then those are— those are— there are
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folks who are just proceeding with caution, right? Yellow
00:08:13
light, green light, red light. What camp do you fall into? Why?
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And, you know, what's your overall message about AI,
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especially heading up this Lab?
00:08:23
All three. - All three.
00:08:25
You can't fear it without celebrating. Because if you fear
00:08:29
it, it means that you believe AI has this incredible potential,
00:08:32
that it's going to be deployed and going to have real impacts.
00:08:35
And similarly, you can't celebrate it without recognizing
00:08:39
these challenges, a whole range of challenges. And some of them
00:08:42
are very speculative, but many of them are very real. I've talked
00:08:45
to lots of companies that say our focus is not on regulation.
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Our focus is on whatever the government tells us. We know
00:08:54
we're going to deploy these systems that might have
00:08:56
problems. And if we build and deploy something that breaks, it
00:09:00
fails, the generative AI system hallucinates and gives false
00:09:02
information, that could be a big problem for us with our
00:09:05
customers in the marketplace. So— and these are companies that are
00:09:09
deploying. These are companies that are excited about it, but
00:09:11
they realize they need to understand the problems. And
00:09:14
then the reality is, there are some aspects of this where speed
00:09:18
is absolutely essential. Companies need to invest things
00:09:22
are developing so fast, there's so much potential. You don't
00:09:24
want to get left behind. But you need to understand where there
00:09:29
are points where care is warranted, where there is the
00:09:33
opportunity and the need to slow down and ask and answer
00:09:37
these questions. And even if the technology is moving really
00:09:40
fast, there's going to be regulation. There are going to
00:09:43
be laws passed. There are going to be court cases addressing these
00:09:45
issues. And so you can't just ignore all of that. You have to
00:09:49
appreciate that development of the legal process and the
00:09:52
development of, frankly, the kinds of deeper understandings
00:09:56
that come out of research in lots of different fields, not
00:09:59
just in law. In terms of, what are the technical capabilities? What
00:10:02
can we do to mitigate bias? What is the potential for explanation
00:10:06
of generative AI systems? It's a fascinating area of advanced
00:10:10
research. And what is the development of ethical and
00:10:14
psychological behavioral understandings of what's going
00:10:16
on here? That is happening over time. Not at the same speed as
00:10:21
the technical development of AI, but it's going to have a really
00:10:24
big impact, all those things, on being able to realize the full
00:10:28
potential of the technology.
00:10:30
I know that you and so many of your colleagues at Wharton, and
00:10:33
beyond Wharton— everybody's working on these issues. So I'm
00:10:35
really excited to see what's going to come out of the Lab.
00:10:38
Before we go, I do want to let folks know about your podcast.
00:10:41
It's called <i>The Road to Accountable AI</i>. I've listened
00:10:44
to a couple of episodes. You got some really interesting guests
00:10:46
on there. Can you just tell us a little bit about it?
00:10:49
Yeah, the podcast is an interview show. I spend 30 to 40
00:10:52
minutes on each episode talking with a guest, and it's a range.
00:10:56
I speak with senior government officials from multiple
00:11:00
countries. I speak with technologists, I speak with
00:11:04
academics, I speak with business executives who are leading the
00:11:08
responsible AI groups or AI governance groups at some of the
00:11:11
largest companies. And I speak with startups that are building
00:11:15
tools to address some of these problems. And so it's really
00:11:17
intended as an educational journey on how this broad area
00:11:24
of accountable AI is developing, and trying to help people
00:11:28
understand what the state of the art is and also what the
00:11:32
questions are that they should be thinking about.
00:11:34
It definitely goes deep. I appreciate it. Thanks for being
00:11:37
here. - Absolutely,
00:11:38
really a pleasure to do it, and thanks so much for the interest.
00:11:41
Kevin Werbach, everyone, Professor and Chair of the
00:11:44
Department of Legal Studies and Business Ethics here at Wharton.
00:11:47
He's also the Faculty Director of our new Wharton Accountable
00:11:51
AI Lab. If you'd like to learn more about that initiative, type
00:11:55
in Wharton Accountable AI Lab in your browser. I also invite you
00:11:58
to check out his podcast, <i>Road to Accountable AI</i>. For <i>Knowledge</i>
00:12:02
<i>at Wharton</i>, I'm Angie Basiouny. Thanks for joining us.
00:12:06
For more insight from <i>Knowledge at Wharton</i>, please visit
00:12:10
knowledge.Wharton.upenn.edu.

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Episode Highlights

  • The Birth of Accountable AI
    Kevin Werbach explains the mission of the Wharton Accountable AI Lab, focusing on responsible AI development.
    “Accountable AI is about understanding the challenges that AI poses.”
    @ 00m 43s
    February 10, 2025
  • Navigating AI's Future
    Werbach discusses the need for companies to balance speed and caution in AI deployment.
    “You need to understand where there are points where care is warranted.”
    @ 09m 14s
    February 10, 2025
  • Podcast Insights
    Kevin Werbach introduces his podcast, 'The Road to Accountable AI', featuring diverse guests discussing AI governance.
    “It's really intended as an educational journey on how this broad area of accountable AI is developing.”
    @ 10m 41s
    February 10, 2025

Episode Quotes

  • AI has incredible potential, but we must acknowledge the risks.
    Why Accountability Matters in AI Development and Governance
  • Every technology is different, but we learn from the past.
    Why Accountability Matters in AI Development and Governance
  • You can’t fear it without celebrating.
    Why Accountability Matters in AI Development and Governance

Key Moments

  • Accountable AI Lab00:43
  • AI Risks and Benefits00:49
  • Podcast Launch10:41

Words per Minute Over Time

Vibes Breakdown

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