EU AI Act Comes Into Force: What Businesses Need To Know

The EU AI Act came into force today and businesses worldwide should be familiarise themselves with the requirements to ensure compliance.

The EU AI ACT is the first such regulation of its kind and has sweeping provisions with potentially extensive extraterritorial impacts.

The clock is certainly ticking – the prohibitions will apply from February 2 next year, with fines of up to 7% of worldwide turnover for breaches. Broad obligations around ensuring sufficient levels of AI literacy of staff will also apply to all in-scope organisations from next February.

The geographic scope of the AI Act is very broad, so organisations with any connections to the EU in their business or customer base will need an AI governance programme in place to identify and comply with their obligations.