EU Council Finalizes AI Act Approval: Striking a Balance Between Technological Advancement and Moral Integrity
The EU's Pioneering AI Act to Take Effect in June 2024
Get ready for the EU's historic Artificial Intelligence Act, set to become law in June 2024!
This groundbreaking legislation, considered the first of its kind worldwide, employs a risk-based approach, wherein the riskier an AI system is to society, the stricter the regulations. By 2026, this act will be in full effect, with some exceptions such as bans on social scoring, predictive policing, and untargeted scraping of facial images from the internet or CCTV footage taking effect earlier.
The AI Act establishes several bodies for enforcement:- An AI Office within the European Commission to enforce common rules across the EU- A scientific panel of independent experts to support enforcement activities- An AI Board with member-states' representatives to advise and assist the Commission and member-states on consistent and effective application of the AI Act- An advisory forum for stakeholders to provide technical expertise to the AI Board and the Commission
Penalties for non-compliance include fines, set as a percentage of the offending company's global annual turnover or a predetermined amount, whichever is higher. SMEs and start-ups are subject to proportional administrative fines.
The Act has garnered praise for its comprehensive approach and swift implementation. The Federation of European Publishers in Brussels has shown their support for the Act, stating, "The AI Act is a vital piece of legislation that will regulate the role of AI in Europe and help set a global standard for how we expect AI systems to operate." Europe has a unique opportunity to lead the global AI framework for the benefit of its citizens, creators, rights holders, industry, and economy.
Now, let's dive into some of the essential details and provisions of the EU AI Act:
- Risk-Based Classification: The Act categorizes AI applications into four risk levels – unacceptable, high, limited, and minimal. Each level has specific obligations and requirements.
- Prohibited AI Practices: The Act outright prohibits certain AI uses that pose unacceptable risks, such as manipulative or exploitative AI practices. Guidelines published by the European Commission clarify these prohibitions and how they relate to high-risk AI systems.
- Transparency Requirements: For AI systems that generate content, process biometric data, or classify individuals, users must be clearly informed they are interacting with AI. This transparency also applies to AI in automated document processing or data extraction workflows.
- Obligation for AI Developers and Deployers: The Act places legal responsibilities on those who develop, deploy, or use AI systems to ensure compliance with risk-based rules, including conducting risk assessments, ensuring data quality, providing documentation, and enabling human oversight.
- Implementation Timeline: While the Act becomes law in mid-2024, its provisions are being phased in gradually. Prohibitions on certain AI uses started in February 2025, with further rules on high-risk AI taking effect progressively.
- Voluntary Early Compliance Initiative: The European Commission launched the AI Pact to encourage voluntary early compliance with the Act’s requirements, engaging stakeholders across Europe and beyond.
The EU AI Act sets a precedent for AI regulation by combining risk-based classifications, prohibitions on harmful practices, transparency mandates, and developer obligations, all aiming to balance innovation with fundamental rights and safety protections.
Remember, this is just a snapshot of the EU AI Act – there's a lot more to explore, and the details matter. So, stay tuned for more updates, and get ready for a future where AI is regulated for the benefit of all.
Technology and artificial-intelligence are at the heart of the EU's AI Act, a landmark legislation that employs a risk-based approach to AI systems, with stricter regulations for those posing higher risks to society. By 2026, the Act will be fully enforced and will prohibit social scoring, predictive policing, and untargeted facial image scraping, while also placing obligations on AI developers and deployers to ensure compliance with risk-based rules and transparency mandates.
