Ethical AI and privacy in digital personalization: balancing personalization and user trust

This article explores the complex intersection of artificial intelligence, personalization, and privacy in digital environments, exploring how organizations can effectively balance personalized user experiences with ethical considerations and regulatory compliance. The article shows key challenges in this domain, including regulatory frameworks like GDPR and CCPA, ethical concerns such as algorithmic bias and discrimination, and the growing importance of zero-party data as a user-centric approach to data collection. The article further analyzes how explainable AI (XAI) frameworks can address the "black box" nature of AI systems while building user trust. Through article analysis of current literature and industry practices, this article provides strategic recommendations for implementing responsible AI personalization that respects user privacy, maintains transparency, and establishes trust-based relationships between organizations and their users in an increasingly AI-driven digital ecosystem.