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Majority of AI users remain in the dark regarding on data AI tools collect: Research

Cassie, the leading consent and preference management platform serving Fortune 500 companies globally, today released the findings of its report: The AI Trade-Off. Surveying over 600 consumers in the United States, the results uncover which AI perks consumers find irresistible, even if it means compromising their personal information – as well as the deal-breakers that deter them from using AI tools.

From virtual assistants to smart home devices, AI tools offer unmatched convenience, but this often comes at the cost of sharing personal data. According to the report, 34% of AI users incorporate these tools into their daily lives for a variety of tasks, including setting reminders (62%), checking the weather (63%), and playing music (67%). However, this convenience comes at a price that most users don’t even know they’re paying: while 78% of AI users value their data privacy more than the conveniences of AI, over half (54%) are unaware of how much personal data these tools collect.

Adding to these concerns is the fact that half of consumers don’t actually know how AI works, with 52% not confident in their ability to distinguish between AI-powered and non AI-powered tools. While only 14% claim to not use any AI tools, 79% of those who don’t use AI admit that they aren’t entirely sure which tools constitute “AI-powered.”

“Consumers have grown to love the convenience that AI tools offer, but there’s a worrying indifference as to how their data is being used,” said Nicky Watson, founder of Cassie. “As the public becomes more privacy-conscious, it’s important for them to understand the risks involved with using AI, such as data breaches or misuse of personal information. By being transparent about data practices and giving clear consent options, companies can build trust and help users feel more secure with their AI experiences.”

Additional key findings from Cassie’s AI Trade-Off report include:

  • When data is the currency, many users experience buyer’s remorse: 3 in 10 AI users believe AI tools collect too much personal data.
  • Notably 71% have regretted data sharing with an AI tool after discovering the extent of what they shared.
  • While 84% of consumers are aware that AI collects data to train models, a majority (85%) admit they don’t know how much data is actually being collected for this purpose.
  • Many consumers struggle to comprehend AI data-sharing policies, with 78% finding them confusing and 87% believing these policies often fail to prioritize consumer data protection.
  • To address these challenges, 95% of consumers believe that opting out of data sharing should be a fundamental right, indicating a strong need for brands to offer clearer pathways for consent.

Learn more by reviewing the complete AI Trade-Off report, now available for download here.

ITN
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