AI and Security: Why Free Tools Can Be Risky for Your Business

Artificial Intelligence (AI) is transforming how businesses operate—from automating workflows to enhancing decision-making. But as organizations increasingly adopt AI tools, a critical question arises: how secure are these tools, especially the free ones?
I used my extensive experience in AI, focused on the Microsoft platforms, to write this blog. However, the concepts apply to most other platforms as well. Open AI, Google, xAI, Anthropic, and IBM all offer security tools as well.

The Hidden Risks of Free AI Tools

Free AI tools are widely accessible and often powerful, but they come with significant security concerns:

• Data Leakage: Many free AI platforms process user inputs on shared infrastructure. If sensitive company data is entered, it may be stored or used to train models, potentially exposing proprietary information.

• Lack of Compliance: Free tools may not meet industry-specific compliance standards like GDPR, HIPAA, or ISO 27001, putting organizations at legal and regulatory risk.

• Limited Transparency: Users often have little visibility into how data is handled, stored, or shared. Terms of service may allow vendors to retain or analyze inputs without explicit consent.

• No Enterprise Controls: Free tools typically lack admin controls, audit logs, or integration with identity management systems—making it difficult to enforce usage policies or monitor activity.

Why Paid AI Tools Are Safer for Businesses

Enterprise-grade AI solutions like Microsoft Copilot for Microsoft 365 and Copilot in Edge are designed with security and compliance at their core.

If need this, ask your IT Department or consultant what you need to implement the security.

Be careful with paid tools. Some just provide more resources and no security.

Microsoft Copilot for Microsoft 365

The primary advantage of this license is it fully integrates Microsoft applications so that Copilot lights up in Word, Excel, Outlook, PowerPoint, Teams, etc.

• Data Residency and Privacy: Your data stays within your Microsoft 365 tenant. It’s not used to train public models and is protected by Microsoft’s enterprise-grade security.

• Compliance-Ready: Copilot inherits Microsoft 365’s compliance framework, including support for GDPR, HIPAA, and FedRAMP.

• Access Controls: IT admins can manage access, monitor usage, and apply data loss prevention (DLP) policies.

• Audit and Logging: Activities are logged for compliance and security auditing, giving organizations full visibility.

Copilot in Microsoft Edge

To use Copilot in Microsoft Edge with Enterprise Data Protection (EDP), your organization must have a Microsoft 365 subscription that supports Microsoft 365 Copilot and meets certain licensing prerequisites.

• Context-Aware Security: When used in Edge, Copilot can interact with enterprise content securely, respecting organizational boundaries and permissions.

• Browser-Level Protections: Edge offers built-in security features like SmartScreen, sandboxing, and integration with Microsoft Defender for Endpoint.

• Licensing Required: Edge has a free version and a paid version. They are quite different in security.

• What Enterprise Data Protection (EDP) Includes

  When using Copilot in Edge with a supported license:

  • Prompts and responses are protected under Microsoft’s enterprise terms.

  • Web queries (via Bing) are anonymized and not used to train models.

  • Data is encrypted at rest and in transit.

  • Copilot respects organizational policies, including sensitivity labels, retention policies, and access controls.

  • No data is used to train foundation models

    
    Look for the green check mark and the Work/Web sector to see if you have Edge EDP

Other Secure AI Alternatives

While Microsoft leads in enterprise AI security if you are using Microsoft platforms (Microsoft 365 or Azure), other vendors also offer secure options:

• Google Duet AI (Workspace): Integrated with Google Workspace, Duet AI offers enterprise-grade security, data encryption, and admin controls.

• OpenAI Enterprise ChatGPT: Offers enhanced privacy, SOC 2 compliance, and no data retention for prompts or responses.

• Anthropic Claude for Business: Claude’s enterprise version includes data isolation, encryption, and customizable access controls.

• IBM Watsonx.ai: Built for regulated industries, Watsonx.ai supports secure deployment models and integrates with IBM’s governance tools.

• Grok for Business, a dedicated offering for companies that need enterprise-grade AI capabilities.

Final Thoughts

AI can be a game-changer—but only if it’s deployed securely. Free tools may be tempting, but they often lack the safeguards needed for business use. Investing in paid, enterprise-grade AI solutions ensures that your data stays protected, your compliance obligations are met, and your teams can innovate with confidence.

Grok vs. ChatGPT 4 and 5. Fixing issues with my blog post.

I was curious about how good the versions of AI tools I subscribe to actually work in helping me craft and update blog posts. So, I asked Grok 4, ChatGPT-4 and ChatGPT-5 to make suggestions. The specific prompt was intentionally simple and vague:

• Analyze my blog post and note any errors. Also, suggest changes for making it more interesting. https://www.jdb.net/blog/privacy-focused-unifi-protect-setup-a-guide-for-security-conscious-users

Note, I use ChatGPT via my Copilot for Micrsoft 365 subscription.

General Observations

As one might expect, GPT-4 was the weakest and had the fewest suggestions. ChatGPT versions did make SEO suggestions that Grok did not. In my opinion, Grok had the most extensive suggestions. Here is a PDF that has the output of all 3 versions as well as the original version of the blog post. As of this post I’m working on updating the post with some of the suggestions.

Differences: Grok vs. ChatGPT-4 vs. ChatGPT-5

ChatGPT-4 focused on grammar, clarity, and actionable advice, suggesting minor style fixes and the addition of visuals and real-world examples for engagement.

ChatGPT-5 provided deeper content enhancements, recommending a compelling hook, audience segmentation (home vs. business), internal links, SEO optimization, and more interactive elements like checklists and questions.

Grok emphasized its continuously updated knowledge and flagged formatting inconsistencies, outdated references, and the need to address recent UniFi Protect updates and vulnerabilities. Grok also suggested standardizing headings, fixing markdown artifacts, and updating links for portability.

My Process

I started out thinning I could run the blog post through Copilot on Edge (GPT-4) to get some hints on making my blog post more interesting to read. Then the idea hit me that it might be interesting to see what the different AI platforms I had could do in that regard.

Summery

In revisiting the comparison between Grok and ChatGPT versions 4 and 5, it's clear that refining the original post was essential to provide a more accurate and balanced perspective. By addressing previous inaccuracies and clarifying key distinctions in capabilities, user experience, and integration potential, this updated analysis offers readers a clearer understanding of how these AI models stack up. Whether you're exploring AI for personal use or professional applications, staying informed about their evolving strengths and limitations is crucial—and this post aims to be a helpful step in that direction.

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