Tech & Sourcing @ Morgan Lewis

Beginning January 17, 2025, the European Union’s Digital Operational Resilience Act (DORA) will require financial entities to maintain and submit to EU regulators a comprehensive register of their contractual arrangements with third-party information and communication technology (ICT) service providers. Financial entities are being given the opportunity to sign up for a voluntary reporting exercise by May 31, 2024, running between July and August 2024, to help them prepare for one of the most challenging aspects of implementing DORA.

We recently published a report based on our four-part series on Tech & Sourcing @ Morgan Lewis, in which we consider a number of conundrums facing companies looking to leverage artificial intelligence (AI) as part of their outsourcing arrangements. As outsourcing remains a key tool through which companies can streamline operations, cut costs, and access specialized expertise, the explosive advancements in AI and related technologies have introduced new and exciting opportunities and complexities for companies in implementing and maintaining outsourcing relationships.

Please join us on Thursday, May 16, 2024 from 2:00–3:00 pm ET as partners Amanda Robinson and David Plotinsky discuss recent increased US congressional attention on technology companies. This will include discussion of the rise in investigations/interest in artificial intelligence (AI), electric vehicles, green technology, and investments into or from technology companies with China ties, as well as practical tips on responding to a congressional letter or subpoena.

The UK Competition and Markets Authority (CMA) recently published an update paper outlining its concerns with artificial intelligence (AI) foundation models (FMs). Market players in this space should remain mindful of the CMA’s growing interest as the regulator continues its dedicated program to consider the impact of FMs on markets throughout 2024, with a further update anticipated in August.

Please join us on Monday, May 13, 2024 at 12:00–1:00 pm ET as partners Steven Stone, Mike Pierides and Kristin Lee cover the latest US, UK, and European financial services regulatory expectations regarding artificial intelligence (AI). The discussion will include AI policies, procedures, third-party risk management, AI technology governance, and risk factor disclosures.

The Federal Trade Commission (FTC) approved a Final Rule on April 23, 2024 banning almost all worker noncompetes. Questions abound regarding the authority of the FTC to create such a rule and the potential implications of its implementation. To help create some clarity, Morgan Lewis lawyers have prepared answers to frequently asked questions (FAQs) related to the Final Rule’s applicability and anticipated impact as well as what businesses can do to prepare.

Our Technology Marathon, now in its 14th year, is an annual series of webinars tailored to explore pivotal topics, trends, and developments in the technology sector. These webinars are designed to inform and benefit our clients and colleagues.

This blog is the finale to our Cracking AI and Outsourcing Conundrums series, a series in which we’ve discussed thought-provoking topics and set the stage for dynamic discussions with outsourcing customers and providers on the opportunities and risks of generative AI (GenAI) solutions in the outsourcing space. In this Part 4, we examine certain top-of-mind issues arising in connection with ownership and use rights when leveraging GenAI.

Please join us on Wednesday, May 8, 2024 from 12:00–1:00 pm ET as partners Rahul Kapoor and Ksenia Andreeva and associate Shokoh H. Yaghoubi discuss the benefits and challenges of open source software (OSS) and its connection with permissive and copyleft licenses, compatibility issues, and the intersection of OSS and AI.

Welcome to Part 3 of our Cracking AI and Outsourcing Conundrums series. In Part 1, we discussed at a high level the challenges of requiring outsourcing providers to drive innovation through the use of generative AI (GenAI) while at the same time complying with an outsourcing customer’s AI policies. In Part 2, we dove into the conundrum of balancing a company’s need for enhanced quality checks with the desire (by the company and the outsourcing provider) to drive productivity and realize savings.