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by Ryan Daws • Published September 24, 2025 at 04:16 PM
Ethics

Generative AI in retail: Adoption comes at high security cost

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The retail industry has rapidly adopted generative AI, with 95% of organizations now utilizing these tools, up from 73% a year earlier, driven by the need to stay competitive. However, this widespread adoption introduces significant security risks, as it expands the attack surface for cyber threats and data leaks, prompting a shift from personal AI accounts to company-approved solutions to mitigate shadow AI risks. Despite the dominance of ChatGPT, used by 81% of retailers, competitors like Google Gemini and Microsoft Copilot are gaining ground, reflecting a diverse and evolving AI landscape within the sector.

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