Shadow AI detection finds the unapproved AI tools your team already uses, from signals you already have: expense and subscription records, login logs, browser extensions, and meeting-bot attendance. You get one inventory of every AI tool in use, the risky ones flagged, and a clear approved-or-blocked list. No single signal catches everything, so a human judges the edge cases. Live in two to three weeks.
The problem
AI tools show up everywhere and belong to no one. Someone expensed a ChatGPT Plus subscription on the company card. Someone else installed a browser extension that reads every page they open. An AI notetaker has been quietly joining client calls for months, recording and storing transcripts in an account nobody vetted. Because no one owns the list, most companies genuinely cannot say which AI tools their people use, or what data those tools see.
Put a number on it. In the 2024 "Oh, Behave!" Annual Cybersecurity Attitudes and Behaviors Report from CybSafe and the National Cybersecurity Alliance, 38 percent of workers admitted to sharing sensitive information with AI tools without their employer knowing. For a 40-person company, that is around 15 people feeding company or client information into tools nobody approved. Most leaders assume the number is a handful. It rarely is.
The hours are not the real cost here. The real cost is a client contract that says their data stays in named systems, quietly broken because someone pasted a deliverable into a free chatbot to summarize it. It is a confidential call recorded by a notetaker you did not know was in the room. It is finding out during a security review, or a client's own audit, instead of on your own terms. None of that shows up until it does, and by then it is a conversation you did not choose to have.
How the automation works
Pull the signals you already have.
The system reads the sources a small company already keeps: expense and subscription records, single sign-on and login logs, a browser and extension inventory, which meeting bots joined which calls, and network or domain-lookup (DNS) signals where they exist.
Match the signals to real AI tools and score the risk.
Each signal gets checked against a directory of known AI tools, then flagged by what it can touch. A grammar helper is low risk. A free chatbot that staff paste client documents into, or an unvetted notetaker sitting on confidential calls, is not.
Turn it into one approved-or-blocked list.
You get a single inventory: every AI tool actually in use, ranked by risk, with a recommended action for each. Approve it, replace it with a safer option, or block it.
The pieces are proven: parsing expenses and subscriptions, reading login and network logs, taking a browser extension inventory, and matching all of it against a directory of known AI tools. The real work is the wiring. No single signal catches everything, so it combines several imperfect sources and still needs a person to judge which tools genuinely put data at risk. And it has to run as an open business inventory, not secret surveillance of individuals. The main way this goes wrong is running it as a gotcha: the moment people feel hunted, they move their AI use somewhere you cannot see it, and you are more blind than when you started. That framing, and the judgment on the edge cases, is what gets set up and handed over during implementation.

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What this looks like in practice
Leadership assumed AI use was limited to "a couple of people on ChatGPT."
- No one could name the AI tools in use. The working guess was maybe 3 tools; the real number turned out to be 14.
- An AI notetaker had been silently joining client calls for months, storing full transcripts in a free personal account.
- Two staff routinely pasted client documents into a free chatbot to summarize them, against what the client contract allowed.
- One inventory listing all 14 AI tools actually in use, with 4 flagged as touching client or confidential data.
- The unvetted notetaker was caught, removed from client calls, and replaced with an approved tool covered by a business data agreement.
- The two chatbot habits moved to an approved tool that keeps company data out of training, closing the contract exposure.
Typical impact
Typical ranges for this pattern, not client claims. Your numbers get modeled in the audit.
Systems it connects
Plus most tools with an API. The audit maps your exact stack.
Who this fits
- You handle client or confidential data, so an unapproved AI tool is a real exposure, not a minor one
- 10 or more employees, past the point where you can just ask everyone what they use
- You suspect AI use is happening across the team but have no clear list of what or where
- You want visibility and safer approved options, not a way to catch and punish staff