The Machiavellian Risk Framework: Assessing Strategic, IP, and Operational Risk in Centralized AI Infrastructures
ABSTRACT The adoption of Large Language Models (LLMs) has outpaced governance, exposing organizations to structural risks obscured by vendor marketing. This whitepaper introduces a Machiavellian risk framework – verità effettuale (effective truth) – to evaluate AI procurement not by stated intent, but by the inherent incentives of vendor business models. We identify three critical risk