- New EU AI law comes into force - What's changing?
The EU's Artificial Intelligence Act comes into force on Thursday. Member states then have two years to implement its provisions into national law. The act will regulate AI more sharply and uniformly across the European Union, better protecting fundamental rights, democracy, and the rule of law in the face of this technology. Here's what the act means:
What is Artificial Intelligence (AI), anyway?
AI typically refers to applications based on machine learning, where software sifts through large datasets to find patterns and draw conclusions. This allows machines to mimic human abilities like logical thinking, learning, planning, and creativity, enabling them to perceive and react to their environment.
AI is already used in many areas. For instance, such programs can analyze computed tomography scans faster and more accurately than humans. Self-driving cars try to predict the behavior of other road users. And chatbots or automatic playlists from streaming services also work with AI.
Why does the EU need such a law?
The law aims to make the use of AI in the European Union safer. It ensures that AI systems are as transparent, traceable, non-discriminatory, and environmentally friendly as possible. A key aspect is that AI systems are supervised by humans, not just other technologies.
What rules does the law include?
The regulations categorize AI applications into different risk groups. Systems deemed particularly high-risk, such as those used in critical infrastructures or health and education, must meet strict requirements. Applications with lower risk face fewer obligations.
AI applications that violate EU values are outright banned. This includes social scoring, where citizens are categorized based on their behavior, as seen in China.
What does this mean for consumers?
Consumers will be better protected from risky AI applications. Face recognition in public spaces, for example, will generally not be allowed. Neither will emotion recognition at workplaces and educational institutions.
AI applications must also be more transparently labeled, making it easier for consumers to identify when AI is being used. Private individuals who discover violations can file complaints with national authorities.
What changes from August 1st?
Not much, initially. The AI Act will be phased in gradually. Some provisions, like the ban on AI systems posing "unacceptable risks," must be implemented promptly by member states. These are systems deemed a threat to humans, and their ban takes effect after six months.
A code of conduct for providers of AI models is to be finalized by April next year, according to the EU Commission.
After two years, most provisions must be fully implemented. High-risk systems will have more time to meet the requirements, with their obligations coming into effect after three years.
What happens if someone doesn't follow the rules?
The act outlines penalties and enforcement mechanisms for non-compliance, but these details are yet to be specified.
Penalties for violations can be severe: For instance, the use of prohibited technology can result in fines of up to €35 million, or up to seven percent of a company's global annual turnover from the previous fiscal year. However, the exact penalty amount must be determined within this range by individual countries, as announced by the commission.
For other legal violations, fines can reach up to €15 million, or up to three percent of a company's global annual turnover from the previous fiscal year.
Criticism of the law?
Experts have repeatedly debated whether the law will boost AI development or even hinder it. This also depends on how the regulations are ultimately implemented by individual countries.
Moreover, many requirements may soon become outdated due to the rapid technological advancements in AI applications and the gradual implementation of the regulations. The commission has stated that it will conduct an annual review to determine if the list of "high-risk" applications needs to be revised or expanded.
The EU's Artificial Intelligence Act applies to all member states, ensuring a uniform regulation of AI across the European Union. After the act comes into force, member states have two years to implement its provisions into national law.
With the implementation of the EU's Artificial Intelligence Act, certain AI applications that violate EU values, such as social scoring, will be outright banned within the European Union.
