- Habeck suggests that the EU's AI law ensures protection for businesses.
According to Robert Habeck, the German Federal Minister of Economy and Climate Action (representing the Green Party), the fresh EU Artificial Intelligence (AI) law provides businesses with some level of security. At a gathering in Hamburg, Habeck mentioned that regulations could actually be beneficial in the market since they guarantee that everyone understands they have a safety net. This enables companies to ascertain that a new AI model won't be banned in the near future. However, Habeck also issued a word of caution, stating that regulations like this law could potentially squash creativity and economic prospects.
Habeck made these remarks during a visit to the Otto Group, a retail company. Here, he heard from the company's CEO, Alexander Birken, that while there's plenty of chatter about regulating AI, there's not enough focus on its potential. Birken emphasized the necessity for a mindset shift. AI generally refers to applications relying on machine learning, wherein software analyzes extensive data to draw conclusions.
The EU's AI Act went into effect this month. This regulation groups AI applications into risk categories. High-risk systems, such as those used for credit scoring, are subject to stringent standards. Certain applications are even banned outright. Member states have two years to integrate these provisions into their domestic laws. The European AI Board will monitor this implementation.
Prior to the law's enactment, Habeck warned against excessive regulation. In January, it was revealed that the German government had agreed to support this initiative. "In enforcing the rules, we will prioritize innovation-friendly policies, legal certainty for businesses, and streamlined, bureaucracy-free structures – to establish a robust AI hub in Europe," Habeck said in February.
BMWK Overview
The Otto group, being a part of the German business landscape, was visited by Robert Habeck to discuss the impact of the EU AI law. Habeck's visit to the Otto group further highlighted the importance of striking a balance between regulations and fostering innovation in the AI sector.
