EU AI Act: What It Means For US Businesses

The European Union (EU)'s Artificial Intelligence Act¹ ("EU AI Act" or "Act") is a flagship initiative in the artificial intelligence (AI) sector, and is currently the world's only comprehensive regulatory framework addressing AI. The Act has been compared to the EU's trailblazing data protection law, General Data Protection Regulation (GDPR), and its influence shaping similar laws across the globe. The EU AI Act entered into effect across all 27 EU Member States on August 1, 2024, following its July 12^th publication in the EU Official Journal; and most of its provisions will commence on August 2, 2026.

Background

The protection of fundamental human rights, as enshrined by the EU Charter of Fundamental Rights, is at the core of the Act, which "seeks to ensure the safety and trustworthiness of high-risk AI systems developed and used in the EU without hindering the development and financing of this burgeoning sector."