Report: In the S&P 500, Disclosure of AI Risks Surges from 12% to 83%

From 2023 to 2025, the share of S&P 500 companies disclosing AI as a risk jumped from 12% to 83%.

Yet the surge in AI risks has exposed a gap in corporate board preparedness. While many boards have strengthened their broader technology oversight, AI expertise remains scarce:

• From 2021 to 2025, disclosure of technology expertise among S&P 500 directors rose from 20% to 51%, while cybersecurity expertise increased from 15% to 27%.
• By contrast, AI expertise slightly ticked up, from 1.5% to 2.7%.

“AI is now firmly on the board agenda, but governance maturity is still catching up. Many companies have moved quickly to recognize AI as a material risk, but they are still working through who owns oversight, how issues are escalated, and what level of board fluency is needed as AI becomes more embedded across the business,” said Andrew Jones, author of the report and Principal Researcher at The Conference Board.

These findings come from a new report by The Conference Board, based on S&P 500 disclosure data, as of December 2025, and a survey of 130 executives, largely from US public companies.

AI is now firmly on the risk agenda: disclosure surged from 2023 to 2025.

• From 2023 to 2025, the share of S&P 500 companies disclosing AI as a risk jumped from 12% to 83%

The AI vs. tech gap: 51% of companies disclose tech skills among directors; AI expertise is under 3%.

• From 2021 to 2025, disclosure of AI expertise among S&P 500 directors grew from 1.5% to 2.7%
• Cybersecurity expertise grew from 15% to 27%
• Technology expertise grew from 20% to 51%

Just 23% of surveyed executives consider their board highly fluent in AI.

• 23% say their board is highly fluent in AI
• 51% say their board has moderate fluency
• 25% say their board has low or no fluency

AI education takes a backseat in the boardroom.

• 26% of executives say their company will focus on strengthening AI board education or AI upskilling
• Only 21% plan to add new directors with dedicated AI or technology expertise

Less than 10% of executives say their companies are fully prepared to comply with AI regulations.

• 9% say their companies are very prepared
• 58% say they are somewhat prepared
• 28% say they are in the early stages of preparation
• 5% say they are not prepared

“Companies are no longer treating AI governance as a niche or future issue. But most are still in the process of turning broad principles into durable governance practice. The challenge now is to build clearer accountability, stronger controls, and oversight models that can adapt as AI use deepens and regulatory scrutiny grows,” said Brian Campbell, Leader of The Conference Board Governance & Sustainability Center.

Cybersecurity challenges rank as the top AI risk for executives.

• 58% cite cybersecurity and data breaches as the AI-related risk most significant to their company
• 33% cite privacy and data protection
• 28% cite operational and implementation risk
• 27% cite legal liability and litigation exposure

75% of executives expect AI to cause a large disruption to employment & workforce structures.

• 75% of surveyed executives say AI will disrupt employment and workforce structures on a large scale in the next three years
• 41% say AI will exacerbate inequality between and within countries

Most executives also see AI as a long-term driver of productivity and efficiency.

• 80% say AI will generate sustained productivity and efficiency gains across the economy in the next three years

Most executives see responsible governance as essential for shaping AI’s trajectory.

• 61% say responsible governance and regulation will determine whether AI’s net impact is positive