Definition
Shadow AI
Shadow AI is the use of AI tools, prompts, extensions, agents, or automations without official approval, inventory, security review, or ownership. It often begins as helpful experimentation, then becomes a hidden risk because company data, vendor dependency, cost, and output quality sit outside governance.
Last updated: 25 June 2026
Why it matters
It is one of the fastest ways for AI cost and data exposure to grow without leadership seeing it.
Signals to watch
- Browser tools are unknown
- Data policies are unclear
- No owner can list active AI uses