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EU AI Act compliance requirements mastered

Artificial intelligence (AI) is rapidly changing the business landscape, and adhering to current and future AI regulations is vital for your organization. The European Union (EU) is leading the way, and here you’ll find a summary of the EU AI Act and what you need to do to comply.

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EU AI Act summary

The EU AI Act is a legislative proposal to regulate artificial intelligence technology within the European Union. It seeks to establish rules and standards for developing, deploying and using AI systems to ensure their safety, transparency and accountability. The Act aims to balance innovation with protecting fundamental rights and values.

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Why you need to comply with the EU AI Act

Ensuring your company’s operations align with the EU AI Act can yield significant benefits. How? 

  • Legal compliance: By adhering to the Act’s regulations, your company protects against potential legal repercussions, penalties and fines for non-compliance. 
  • Ethical responsibility: Aligning with the EU AI Act showcases your organization’s commitment to ethical AI development and deployment, fostering trust among employees, customers and stakeholders. 
  • Reputation management: Compliance with the Act safeguards your company’s reputation. Demonstrating a dedication to responsible AI practices enhances credibility, which is increasingly valued by consumers and investors alike. 
  • Market access and partnerships: Conforming to the EU AI Act can open international trade and partnership avenues. By meeting the regulatory standards set by the EU, your company is better positioned to access markets and collaborate with organizations that prioritize ethical and sustainable AI. 
  • Risk mitigation: Compliance with the Act helps you navigate various risks associated with legal issues, reputational damage and potential AI-related disruptions. By following regulatory guidelines, your company can proactively address and mitigate these risks, safeguarding its operations and reputation.
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Your EU AI Act questions, answered

  • What is the status and timeline of the EU AI Act?

    The EU AI Act was passed on March 13, 2024. It will become effective in Q2 2024, likely in May.

  • How is the EU AI Act enforced? 

    The Act is enforced by national authorities in each member state. High-risk AI systems require conformity assessments and external audits. Non-compliance can result in fines up to €35 million or 7% of a company’s global turnover

  • What are the EU AI Act risk categories (or risk levels?)

    The Act classifies AI systems into four risk levels: 

    • Unacceptable Risk (banned AI systems) 
    • High Risk (strict compliance required) 
    • Limited Risk (transparency obligations) 
    • Low Risk (few/no regulatory requirements)
  • What are high risk- systems under the EU AI Act?

    High-risk systems include those used in biometric identification, critical infrastructure, education, employment, public services, law enforcement, and justice

  • What is unacceptable risk?

    AI systems posing unacceptable risks are banned. Examples include AI used for subliminal manipulation, exploiting vulnerabilities, social scoring, and specific identification in public spaces

  • What is an impact assessment and how do I know if I need one?

    Fundamental Rights Impact Assessment (FRIA) is required for high-risk AI systems to evaluate their impact on rights like privacy and non-discrimination.

  • Where can I see the latest version of the EU AI Act and keep up with amendments?

    The latest version and updates can be found on the EUR-Lex website

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