GameStop flags AI risks as it considers customer-facing tools

GameStop's latest annual report introduces a new risk: integrating artificial intelligence into its business. The company warns that such use could cause reputational or competitive harm, legal liability, and hurt results of operations. The filing says GameStop "may begin using artificial intelligence and machine learning technologies" to enhance workflows and processes, including customer-facing and operational activities, suggesting employees and customers could interact with AI.

It lists hazards such as inaccurate or biased outputs, tools not performing as intended, and other unintended consequences. The report also highlights competitive and reputational concerns if rivals adopt AI more quickly or if GameStop's use becomes controversial.

It notes uncertainty in the legal and regulatory landscape, since laws and industry standards for AI are not yet fully developed and could be costly or restrictive.

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