The EU from today would have the power to enforce landmark artificial intelligence (AI) rules and hit any companies breaking the law with fines.
The EU has the world’s most comprehensive digital rulebook covering social media, online retailers and search engines, with plans for more rules this year.
In 2024, the EU adopted a sweeping AI law known as the “AI Act,” but its rules have been introduced in stages.
Photo: Reuters
The EU’s law takes a risk-based approach to the technology.
The higher the risk to Europeans’ rights or health, for example, the greater the obligations of firms to protect people from harm.
It also bans AI used for predictive policing, emotion recognition systems in workplaces or schools and those that manipulate human behavior.
AI-generated content such as deepfakes must be labeled, while firms must ensure that their AI systems, such as chatbots, make it clear to users they are AI.
Existing AI systems have until Dec. 2 to adapt to the new rules, and there are exemptions for “artistic, creative, satirical, fictional” work.
European regulators in the AI Office would have the power to enforce the bloc’s rules on the most advanced AI models.
The regulatory body attached to the EU executive would be made up of dozens of tech experts, lawyers and economists.
The AI Office would be able to test the most advanced general-purpose AI models such as chatbots to ensure that they comply with the law.
Companies must also give the EU access to their models, and in some cases, it could demand access before they are placed on the market, an EU official said.
The EU would also be able to restrict a model’s deployment if it has concerns that are not addressed by the provider.
The powers arrive at an opportune moment. The EU struggled this year to get access to US AI developer Anthropic’s Mythos model, but the rules kicking in today mean an issue like that should not happen again.
National authorities would be able to enforce the rules for smaller AI systems.
If the EU finds companies breaking the rules, it could force them to take action to remedy the breach and fine the firms if they fail to do so.
The stiffest fines are for businesses that allow their systems to conduct banned practices — up to seven percent of a company’s annual worldwide turnover or 35 million euros (US$40.34 million), whichever is higher.
For other contraventions, companies could be fined up to three percent of their global annual revenue or 15 million euros. They could also be fined if they hinder or fail to cooperate with EU probes.
More rules under the AI Act would be enforceable later this year and beyond.
From December, there would be a ban on AI systems generating sexualized deepfakes, introduced following the global outrage over non-consensual nudes produced by businessman Elon Musk’s chatbot Grok.
The EU is also delaying the implementation of some high-risk AI rules concerning models deemed as potentially dangerous to safety, health or citizens’ fundamental rights — to give companies more time to prepare.
The rules would apply for standalone high-risk AI systems from December next year and in August 2028 for AI tools embedded in other products.