AI adoption brings numerous potential risks and challenges. Some of the major risks and challenges include ethical considerations, job displacement, data privacy and security, bias and lack of transparency in AI algorithms, technical limitations, and regulatory compliance. Ethical considerations involve the responsible use of AI, as it can be misused for harmful purposes. Job displacement is a concern as AI technology may automate certain tasks and lead to the loss of human jobs. Data privacy and security become critical due to the vast amount of data AI systems require. Bias and lack of transparency are challenges as AI algorithms may reproduce and amplify human biases. Technical limitations encompass issues like accuracy, reliability, and performance. Regulatory compliance refers to the necessity of adhering to laws and regulations governing AI usage.