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Table of contents

• Why is defining performance metrics and customer requirements more challenging for AI systems?
• How are aspects such as explainability, transparency, and absence of bias measured?
• What solutions and clauses are being used to define, test, and maintain AI performance?

Article summary

TM analysis: Artificial intelligence (AI) has rapidly become an essential tool in delivering technology services, yet defining its performance within contracts often proves challenging. Unlike traditional software, AI solutions can adapt over time, rely on large volumes of data from diverse sources, and involve complex objectives, such as transparency and avoiding bias. Below, we analyse how to measure and maintain AI performance in contracts, focusing on practical market solutions and core contractual clauses that help ensure consistency and compliance in a quickly evolving sector. Written by Marcus Bagnall and Mark Deem, partners at Wiggin LLP.