The blog post explores the pervasive issue of data leakage in AI systems, particularly focusing on how AI-powered applications can inadvertently expose sensitive information such as personally identifiable information (PII), financial records, and proprietary business intelligence. It highlights the risks associated with application-level leakage through techniques like retrieval-augmented generation (RAG) and the challenges posed by agentic AI systems, which can autonomously access multiple databases and APIs, leading to potential data exposure. The post underscores the importance of a defense-in-depth approach, advocating for systematic data protection measures such as data minimization, sanitization, redaction, and stringent access controls. It also emphasizes the need for thorough threat modeling to map data flows and identify vulnerabilities, arguing that data protection should be a fundamental component of AI system design to maintain security and trust. By integrating these strategies, organizations can leverage AI's capabilities while safeguarding sensitive information, ensuring innovation is sustainable and secure.