Teramind launches AI governance to tackle shadow AI

Teramind has launched an AI governance platform designed to monitor the use of AI tools and autonomous agents across workplaces and apply policy controls to reduce data and security risks.

Called Teramind AI Governance, the product covers mainstream services such as Microsoft Copilot and Google Gemini, as well as lesser-known tools used without approval (often described as shadow AI). It also tracks autonomous agents that can carry out tasks on behalf of users.

AI use in the workplace has grown quickly, while formal controls have often lagged. Internal Teramind research found that more than 80% of workers use unapproved AI tools at work. It also found that one-third of employees have shared proprietary data with unsanctioned platforms, and 49% actively hide their AI use from IT teams.

Teramind also points to external research showing rising adoption. Deloitte data it cited said worker access to AI rose 50% in 2025. McKinsey research it referenced said 23% of organisations are deploying autonomous agentic systems.

The launch comes as businesses try to balance productivity gains from AI with concerns about confidentiality, regulatory compliance and insider risk. The mix of approved applications and shadow AI has also created challenges for security teams that rely on traditional discovery tools and network controls.

How It Works

Teramind AI Governance captures and records interactions with AI systems. It logs prompts and responses from services including ChatGPT, Microsoft Copilot, Google Gemini and Claude Code, and records autonomous actions taken by agentic tools to produce activity transcripts.

The platform uses screen recording and optical character recognition to provide visual evidence of on-device activity. It can also detect shadow AI by execution patterns rather than relying only on signatures, according to Teramind. Existing security policies can be applied to AI agents and their interactions, including blocking activity or enforcing controls based on rules already in place.

Teramind says the product does not require new infrastructure and provides visibility immediately after deployment. The claim reflects a broader shift among governance vendors, which are under pressure to integrate into existing security stacks rather than require new tooling.

Security And Cost

Teramind's Insider Risk Management Team estimates AI-associated breaches cost organisations more than USD $650,000 per incident. Teramind attributes the rising exposure to wider adoption of AI coding tools and the growing use of agentic systems that can run large numbers of commands quickly.

Developer workflows have been a particular focus for governance teams. Teramind says 50% of developers use AI coding tools daily, and that agentic systems can execute hundreds of commands in 30 seconds, reducing the time available for detection and response.

Risk teams have raised concerns that AI tools can move sensitive information outside approved systems, whether through copy-and-paste into consumer services or automated agents operating across applications. Beyond data leakage, the risks can include unauthorised actions, audit failures and difficulties proving oversight after an incident.

Compliance Focus

Teramind AI Governance generates continuous audit trails aligned with compliance frameworks and standards. Teramind lists SOX, HIPAA, CMMC, FedRAMP, SOC 2, ISO 27001 and the EU AI Act among the regimes it supports.

The EU AI Act has increased attention on governance documentation and accountability in AI deployments, including for firms outside the bloc that serve European customers. Many organisations are also reviewing internal policies for acceptable use of generative AI tools and revisiting controls over training data, prompts and model outputs.

Teramind positions the product as a response to a governance gap rather than a lack of AI functionality.

"This isn't a technology gap - it's a governance gap," said Isaac Kohen, Chief Product Officer at Teramind. "The answer isn't less AI. It's governed AI. Teramind gives organizations the confidence to say yes."

Teramind is known for workforce intelligence, data loss prevention and insider risk management tools, and says more than 10,000 organisations worldwide use its products. It is now extending that monitoring and policy approach to the growing number of AI assistants and autonomous agents used across business functions.

Companies are expected to invest more in AI governance as agentic systems move beyond pilots and into routine operations. Procurement and security teams are likely to push for standardised oversight across approved tools and shadow AI in the months ahead.