By 2028, AI regulatory violations will result in a 30% increase in legal disputes for tech companies, according to Gartner.

A May through June 2025 Gartner survey of 360 IT leaders involved in the rollout of generative AI (genAI) tools found that over 70% indicated that regulatory compliance is within their top three challenges for their organization’s widespread genAI productivity assistants deployment.

Only 23% of respondents are very confident in their organization’s ability to manage security and governance components when rolling out genAI tools in their enterprise applications.

“Global AI regulations vary widely, reflecting each country’s assessment of its appropriate alignment of AI leadership, innovation and agility with risk mitigation priorities,” said Lydia Clougherty Jones, Sr. Director Analyst at Gartner.

“This leads to inconsistent and often incoherent compliance obligations, complicating alignment of AI investment with demonstrable and repeatable enterprise value and possibly opening enterprises up to other liabilities.”

At the same time the impact from the geopolitical climate is steadily growing, but the ability to respond lags behind. Fifty-seven percent of non-U.S. IT leaders from the same survey indicated that the geopolitical climate at least moderately impacted GenAI strategy and deployment, with 19% of respondents reporting it has a significant impact.

Yet, nearly 60% of those respondents reported that they were unable or unwilling to adopt non-U.S. genAI tool alternatives.

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In a Gartner September 3, 2025 webinar poll, 40% of the 489 respondents indicated that their organisation’s sentiment to AI sovereignty – defined as the ability of nation-states to control the development, deployment, and governance of AI technologies within their jurisdictions – is “positive” (as in viewed with hope and opportunity), and 36% indicated their organisation’s sentiment was “neutral” (as in taking a “wait and see” approach).

In the same poll, 66% of the respondents indicated they were proactive and/or engaged in response to sovereign AI strategy, and 52% indicated that their organisation was making strategic or operating model changes as a direct result of sovereign AI.

With genAI tools, such as genAI productivity assistants, becoming more ubiquitous in uncertain and fluctuating geopolitical and legal environments, especially with AI sovereignty in mind, Gartner has suggested a range of steps for IT leaders to take.

This includes engineering self-correction, creating rigorous use-case review procedures, increasing model testing and sandboxing, and injecting content moderation techniques into their systems.