GitHub's upcoming policy change requires users to actively opt out of their interaction data being used for AI model training. This applies to Copilot Free, Pro, and Pro+ users starting April 24, 2026. This shift significantly impacts regulated industries like finance, healthcare, defense, and the public sector, raising concerns about intellectual property and compliance. Source code often contains sensitive proprietary information, and its use in AI training necessitates careful consideration of vendor data practices. Financial institutions face scrutiny under regulations like SR 11-7 and DORA, requiring oversight of third-party providers. Similarly, public sector and healthcare organizations must adhere to strict data boundary and privacy laws like NIST 800-53, FISMA, and HIPAA. Uncontrolled variables introduced by vendor policy changes, like GitHub's, create compliance risks. Regulated organizations require contractual certainty, auditability, and separation from vendor incentives when adopting AI tools. GitLab offers a solution by contractually prohibiting the use of customer code for AI model training at any tier. Their AI Transparency Center provides auditable documentation on data handling, model usage, and subprocessors. This commitment ensures customer data remains separate from vendor incentives, mitigating intellectual property exposure. GitLab's cloud-neutral and model-neutral stance further reduces vendor concentration risk for regulated entities. Ultimately, regulated industries need AI vendors who can provide clear, documented, and auditable answers regarding data usage and security.