AI Act: new regulation of artificial intelligence

The EU’s artificial intelligence regulation, known as the AI Act, is currently undergoing a key stage in the legislative procedure. The European Parliament has adopted a draft of the regulation. Now it remains to wait for the EU Council to adopt it. With this regulation, the development and use of artificial intelligence in the European Union will take place in an environment that ensures the protection of the rights of all stakeholders.

The AI Act aims to protect the fundamental rights, security, and trust of EU citizens in the context of the use of artificial intelligence. While the technology has many benefits, there are also many risks associated with its use.

Check out this article to see what changes will come into effect as a result of the AI Act.

Key elements of the AI Act

The AI Act entails categorizing systems using AI, according to the level of risk, as:

• minimal,
• low,
• high,
• unacceptable.

The responsibilities for the development, implementation, and use of such a system, will depend on the level of risk achieved by the system in question.

The AI Act aims to regulate various areas related to artificial intelligence, such as liability for damages, transparency of algorithms and protection of personal data. The AI Act’s provisions will include regulations for the supervision, testing, and certification of AI systems to ensure their compliance with EU security and data protection standards.

It is also worth mentioning that specific requirements will be introduced for selected industries. An example is the financial sector, which we wrote about with this here.

What will be the next steps?

Once approved by the EU Council, the AI Act will be directly applicable in all EU member states. This means that it will not be necessary to introduce national regulations implementing the adopted solutions. However, in order to ensure the full effectiveness of the solutions adopted in the AI Act on the ground of local legal orders, Member States will implement the regulations in their legal systems.

The entry into force of the AI Act will force an adjustment of the national legal order in Poland as well. Work on this issue is already underway. A detailed account in this regard can be found on the government website.

What are the consequences for entrepreneurs?

The new regulation may have significant consequences for companies operating in the field of artificial intelligence. This does not only apply to manufacturers of such solutions, but also to entities that will implement ready-made tools using AI in their organizations, products, or services.

Companies operating in the field of artificial intelligence should prepare for new regulatory, security and data protection requirements. Existing technology solutions and business processes may need to be adapted to the new standards set by the AI Act.

Prepare today for the upcoming changes due to the AI Act

The AI Act represents a landmark step in the regulation of artificial intelligence in the European Union. The new legal and technical structure aims to strike a balance between AI innovation and the protection of the rights of individuals. The upcoming next steps in the legislative procedure will be crucial in determining the impact of the regulation on the development of the artificial intelligence industry in Europe.

Developing compliance policies, compliance audits, and managing the legal risks associated with the AI Act can be key to ensuring the legality of AI business operations.

If you need support in understanding and adapting to the new requirements under the AI Act, contact our specialists. We offer professional advice and assistance with compliance audits, compliance policy development and legal risk management.

Don’t let the complexity of regulations affect your business – ensure that your company is fully prepared for the upcoming changes.

Take advantage of our support today, write to: [email protected].