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European Union Adopts Historic Legislation to Regulate Artificial Intelligence

European Union Adopts Historic Legislation to Regulate Artificial Intelligence

European Union lawmakers reached a groundbreaking agreement on Friday, finalizing one of the world’s pioneering and comprehensive artificial intelligence laws. Titled the AI Act, this landmark legislation establishes a regulatory framework aimed at fostering AI development while addressing the potential risks associated with this rapidly evolving technology. The law explicitly prohibits harmful AI practices that pose a clear threat to people’s safety, livelihoods, and rights.

The regulatory framework, initially proposed in 2021, classifies AI uses by risk levels, imposing increased regulation on higher-risk applications. The law outright bans the riskiest AI practices, including systems exploiting specific vulnerable groups, biometric identification systems for law enforcement, and AI utilizing manipulative “subliminal techniques.” Moderate-risk systems, such as chatbots like OpenAI’s ChatGPT, face new transparency obligations, ensuring responsible AI usage.

“The #AIAct is much more than a rulebook – it’s a launchpad for EU startups and researchers to lead the global AI race,” expressed Thierry Breton, the EU Commissioner for Internal Market, highlighting the legislation’s potential to set global standards.

Artificial intelligence gained widespread attention with the introduction of OpenAI’s ChatGPT in November 2022, triggering a surge in generative AI’s popularity and sparking an AI arms race. Beyond big tech, this disruptive technology impacted educators, artists, musicians, and the media industry, leading to various challenges and controversies.

While the AIAct signifies a significant step towards responsible AI use, its implementation may face challenges such as integration with existing systems, security, compliance issues, and the need for employee training and change management. The future of supply chain automation holds promises with advancements in AI and machine learning, integration with IoT devices, and a focus on continuous improvement and scalability.

European Commissioner for Internal Market, Thierry Breton, celebrated the achievement on social media, with a post, “Deal!”

Thierry Breton also posted, “The EU becomes the very first continent to set clear rules for the use of AI.”

The proposed law encompasses a ban on applications employing cognitive behavioral manipulations and systems utilizing facial images for recognition databases, ensuring protection against privacy infringements.

In addition to prohibiting certain AI practices, the legislation places limitations on biometric identification systems employed by law enforcement. The provisions, subject to approval, empower consumers with the right to launch complaints, while violators may face fines ranging from 8.1 million to 37.7 million euros.

The regulatory framework reflects the European Union’s commitment to establishing clear guidelines for the ethical and responsible use of artificial intelligence. As generative AI systems, exemplified by OpenAI’s ChatGPT, continue to captivate the world with their capabilities, the need for robust governance becomes increasingly apparent. The AI Act is positioned as a pivotal step in safeguarding rights, freedoms, and the ethical development of AI technology in the digital era.

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