Retail and e-commerce represent one of the largest deployments of consumer-facing AI systems in the economy. From dynamic pricing algorithms that adjust millions of prices in real-time to recommendation engines that shape purchasing decisions, AI now mediates the relationship between retailers and consumers at virtually every touchpoint.
The logistics and warehousing industry has become one of the most aggressive adopters of AI and robotics, with Amazon alone deploying over 750,000 robots across its fulfillment network. This rapid automation has produced extraordinary efficiency gains, and extraordinary safety challenges. When a 700-pound autonomous mobile robot collides with a warehouse worker, who bears responsibility? When AI-driven productivity algorithms push injury rates to dangerous levels, what standard of care applies?
AI in Supply Chain: Commercial Harm at Scale # Artificial intelligence has transformed supply chain management. The global AI in supply chain market has grown from $5.05 billion in 2023 to approximately $7.15 billion in 2024, with projections reaching $192.51 billion by 2034, a 42.7% compound annual growth rate. AI-driven inventory optimization alone represents a $5.9 billion market in 2024, expected to reach $31.9 billion by 2034.
AI Therapy Apps: A $2 Billion Industry Without a License # AI mental health apps have become a multi-billion dollar industry serving millions of users seeking affordable, accessible psychological support. Apps like Woebot, Wysa, Youper, and others promise “AI therapy” using cognitive behavioral therapy techniques, mood tracking, and conversational interfaces. The market is projected to reach $7.5-7.9 billion by 2034, with North America commanding 57% market share.
The AI-Powered Gambling Epidemic # Online sports betting has exploded since the Supreme Court’s 2018 Murphy v. NCAA decision struck down the federal ban on sports wagering. What followed was not just the legalization of gambling, it was the deployment of sophisticated AI systems designed to maximize engagement, identify vulnerable users, and exploit psychological triggers to drive compulsive betting behavior.
The End of Platform Immunity for AI # For three decades, Section 230 of the Communications Decency Act shielded online platforms from liability for user-generated content. That shield is crumbling. Courts now distinguish between passively hosting third-party content, still protected, and actively generating, amplifying, or curating content through AI systems, increasingly not protected.
AI and the Scientific Integrity Crisis # The scientific publishing ecosystem faces an unprecedented crisis as generative AI enables fraud at industrial scale. Paper retractions exceeded 10,000 in 2023, a ten-fold increase over 20 years, with AI-powered paper mills overwhelming traditional peer review systems. For researchers, universities, publishers, and AI developers, the liability implications are profound and still emerging.
AI in Government: Constitutional Dimensions of Algorithmic Decision-Making # Government agencies at all levels increasingly rely on algorithmic systems to make or inform decisions affecting citizens’ fundamental rights and benefits. From unemployment fraud detection to child welfare screening, from criminal sentencing to immigration processing, AI tools now shape millions of government decisions annually. Unlike private sector AI disputes centered on contract or tort law, government AI raises unique constitutional dimensions: due process requirements for decisions affecting liberty and property interests, equal protection prohibitions on discriminatory algorithms, and Section 1983 liability for officials who violate constitutional rights.
AI Translation: When Algorithms Fail the Most Vulnerable # Machine translation has become ubiquitous. Google Translate processes over 100 billion words daily. Healthcare providers, courts, and government agencies increasingly rely on AI-powered translation for interactions with limited English proficient (LEP) individuals. But when translation errors occur in high-stakes settings, medical diagnoses, asylum applications, legal proceedings, the consequences can be catastrophic.
Greenwashing in the Age of AI: A Double-Edged Sword # Environmental, Social, and Governance (ESG) claims have become central to corporate reputation, investor relations, and regulatory compliance. Global ESG assets are projected to reach $53 trillion by end of 2025. But as the stakes rise, so does the risk of misleading sustainability claims, and AI is playing an increasingly complex role.
AI Companions: From Emotional Support to Legal Reckoning # AI companion chatbots, designed for emotional connection, romantic relationships, and mental health support, have become a distinct category of liability concern separate from customer service chatbots. These applications are marketed to lonely, depressed, and vulnerable users seeking human-like connection. When those users include children and teenagers struggling with mental health, the stakes become deadly.
The Youth Mental Health Crisis Meets Product Liability # Social media platforms face a historic legal reckoning. Thousands of lawsuits allege that platforms’ algorithmic design intentionally maximizes engagement at the cost of children’s mental health, driving addiction, anxiety, depression, eating disorders, and suicide. Courts are increasingly willing to treat recommendation algorithms as products subject to liability, rather than neutral conduits protected by Section 230.