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Misuse of AI is brands’ top reputational threat, new survey says

Misusing artificial intelligence (AI) is the top threat to companies’ reputations – more so than being accused of putting children in the way of mental, emotional or physical harm and issues exposed by the US-Israel war on Iran, among other brand risks, according to a new survey of more than 150 public affairs leaders. Those findings in the new edition of the quarterly Reputation Risk Index, released on Tuesday, came on the heels of other perhaps more dire warnings from leading tech figures that AI in the wrong…

By the Truvace desk2 min read1 sourceJournalismTRV-2026-1451· cite & verify
Misuse of AI is brands’ top reputational threat, new survey says

In brief

A quarterly Reputation Risk Index released on 6 October 2026 found that more than 150 public affairs leaders view AI misuse as the biggest reputational danger for companies. It ranked above child-safety accusations and the fallout from the Iran war, which had led the previous edition in July.

The result matters because the publisher is now urging firms to act quickly to limit long-term brand damage as public trust in AI diminishes. It reflects perceptions of risk among a selected group of leaders rather than measured brand harm, and the survey does not show which AI practices cause the most damage.

Main points

  1. AI misuse has been flagged as a top worry repeatedly since the index's first edition in April 2025, but this edition adds a formal advisory urging action.
  2. Suggested tactics include removing or reducing AI content and relying on humans for customer service.
  3. Respondents included former heads of state, government ministers and senior executives from more than 20 countries across five continents.
  4. Child-harm accusations and infringement of sensitive personal information also ranked highly, behind AI misuse.
  5. The Iran war, top risk in July, slipped out of the top tier as concerns eased.

The problem

Misuse or overuse of AI is ranked the top threat to corporate reputations, which risks damaging companies' standing with customers, investors and other stakeholders.

The rundown

The index is published by the Global Risk Advisory Council, created by the Washington DC public affairs firm Global Situation Room. Its chair, Isabel Casillas Guzman, said rapid AI deployment for productivity gains has coincided with falling public trust, making brand protection more urgent.

Respondents described AI as accelerating safety and data concerns, hacks, fraud, privacy strain and workforce upheaval, and said lawsuits increasingly link AI products to real-world harm. The top five also included unethical or illegal behavior for advantage or profit, and poor strategic or operational decisions.

The article also notes that the Trump administration named Jay Clayton, the director of national intelligence, as a new AI czar two days before the chair's message. Clayton earlier told lawmakers AI was a gamechanger but also a threat.

Sources

  1. JournalismThe Guardian2026-10-06

The debate