Artificial intelligence (AI) has the potential to transform the healthcare industry, but it comes with a unique set of challenges. Leaders must be aware of the risks and work to mitigate these challenges to harness the power of AI. The five most important of these challenges are data bias, data accuracy and reliability, data sharing, transparency and explainability, and liability. By working to address each of these challenges, healthcare organizations will be able to improve care delivery and efficiency while ensuring ethical deployment of AI models.