The role of AI in U.S. consumer privacy: Developing new concepts for CCPA and GLBA compliance in smart services

The rapid adoption of artificial intelligence (AI) in U.S. consumer services has transformed customer interactions, operational efficiency, and service delivery. However, this technological shift presents complex challenges in maintaining compliance with data privacy regulations, such as the California Consumer Privacy Act (CCPA) and the Gramm-Leach-Bliley Act (GLBA). This paper explores the role of AI in enhancing smart services while safeguarding consumer privacy, highlighting key risks, compliance challenges, and regulatory gaps. A conceptual model is proposed to guide organizations in integrating privacy-by-design strategies, emphasizing transparency, consent management, and ethical AI principles. The paper also discusses emerging technologies and best practices that support privacy protection while leveraging AI-driven insights. Collaborative efforts between regulators and technology providers are recommended to foster innovation while ensuring robust data privacy. The findings provide practical strategies for balancing technological advancement with regulatory compliance, offering insights for policymakers, industry stakeholders, and service providers.

Keywords: Artificial Intelligence, Consumer Privacy, Data Protection, Compliance Strategies, Privacy Regulations, Smart Services.