Domain
stringclasses 4
values | Loss Name
stringlengths 14
24
| Explanation
stringlengths 147
173
| Source
stringclasses 1
value |
|---|---|---|---|
Compliance
|
Legal Compensations
|
Settlement payments to affected parties for harm caused by AI malfunctions or decisions. Attorney fees and court costs for defending lawsuits from individuals or groups.
|
Prof. Hernan Huwyler
|
Compliance
|
Contractual Credits
|
Service credits issued to customers when AI performance falls below guaranteed levels (SLAs). Refunds and discounts applied for missed availability or accuracy commitments.
|
Prof. Hernan Huwyler
|
Compliance
|
Regulatory Fines
|
Penalties for violating AI regulations like EU AI Act, GDPR, or NYC 144. Sanctions for data breaches, discriminatory outcomes, or copyright infringements.
|
Prof. Hernan Huwyler
|
Compliance
|
Legal Response
|
External legal counsel fees for investigating and responding to AI-related claims. Internal legal team costs for compliance reviews and regulatory correspondence.
|
Prof. Hernan Huwyler
|
Compliance
|
Control Remediation
|
Costs to fix governance gaps identified in failed AI audits. Documentation, implementation, and certification expenses for new compliance controls and frameworks.
|
Prof. Hernan Huwyler
|
IT/Technical
|
Data Regeneration
|
Costs to rebuild training datasets when data becomes corrupted, poisoned, or drifted. Expenses for new data collection, labeling, cleaning, and validation.
|
Prof. Hernan Huwyler
|
IT/Technical
|
Algorithm Remediation
|
Engineering costs to retrain models that produce biased or inaccurate predictions. Compute resources and testing expenses for fixing drifted or poorly performing algorithms.
|
Prof. Hernan Huwyler
|
IT/Technical
|
Infrastructure Overruns
|
Unexpected cloud computing (GPU/TPU) and storage costs from inefficient AI resource usage. Emergency scaling expenses when systems face performance bottlenecks.
|
Prof. Hernan Huwyler
|
Operational
|
Decision Errors
|
Financial losses from incorrect AI-driven business decisions made at scale (e.g., bad loans, wrong inventory purchases). Costs of resource misallocation.
|
Prof. Hernan Huwyler
|
Operational
|
Operational Inefficiency
|
Manual intervention costs when humans must correct or override AI outputs (Human-in-the-loop costs). Lost productivity from rework and staff time diverted.
|
Prof. Hernan Huwyler
|
Operational
|
Development Waste
|
Write-off of failed AI projects that never reach production deployment. Sunk costs in licenses, development efforts, and procurement that yield no value.
|
Prof. Hernan Huwyler
|
Operational
|
Business Disruption
|
Revenue loss during downtime when AI-dependent processes stop functioning. Emergency replacement costs and lost transactions from service interruptions.
|
Prof. Hernan Huwyler
|
Operational
|
Provider Switching
|
Contract termination fees and cancellation penalties with current AI vendors/LLMs. Migration costs, integration expenses, and negotiation time for new provider onboarding.
|
Prof. Hernan Huwyler
|
Revenue
|
Customer Churn
|
Lost revenue from customers leaving after negative AI experiences (hallucinations, poor chatbots). Acquisition costs for replacing churned clients.
|
Prof. Hernan Huwyler
|
Revenue
|
Reputation Damage
|
Brand value decline and crisis management costs following publicized AI incidents. Lost business opportunities and reduced market position from negative media coverage.
|
Prof. Hernan Huwyler
|
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.