😵Will Tech Giants Beat EU's AI Act?

Tech giants make last-ditch effort to soften Europe's AI Act

Key Points 

• Tech giants are making a last effort to persuade the EU to adopt a more lenient approach to AI regulation. 

• The EU AI Act is officially in place as a comprehensive set of AI rules, but details on enforcement are still unclear until codes of practice are finalized.

• The upcoming AI code of practice will provide companies with a compliance checklist; the EU has invited businesses, academics, and others to assist in its drafting.

• Nearly 1,000 applications have been submitted to the EU, including from tech giants like OpenAI and Google. 

• Many in the industry worry that big tech companies are eager to help draft the code in order to push their agenda and secure favorable outcomes, such as weakening transparency requirements.

♨️News - The world's biggest tech companies are making a final push to persuade the European Union to adopt a lenient approach to AI regulation, hoping to avoid massive fines that could run into billions.

🤨But hasn’t the EU AI Act already entered into force? Yes, the EU AI Act is officially in place as the first comprehensive set of rules for AI, having been approved by lawmakers in May. However, until the codes of practice are finalized, it's still unclear how strictly the rules for "general purpose" AI systems, like OpenAI's ChatGPT, will be enforced or what kind of lawsuits and hefty fines companies might face. To get input on this, the EU has invited companies, academics, and others to help draft the code of practice.

🧐What is the purpose of the code of practice? The AI code of practice will provide companies with a checklist they can use to show they’re following the rules. While it won’t be legally binding when it's published early next year, tech companies will have until August 2025 to align their compliance efforts with it.

According to an anonymous source, the EU has received nearly 1,000 applications already, with big names like OpenAI and Google in the mix. Amazon has also expressed its interest, saying it wants to "contribute our expertise and ensure the code of practice succeeds." Additionally, non-profit organizations such as Access Now, the Future of Life Institute, and Mozilla have also applied to assist in drafting the code.

🤔What does an insider think? Maximilian Gahntz, the AI policy lead at the Mozilla Foundation, voiced his concerns about companies "going out of their way to avoid transparency." He emphasized that as the details of the AI Act’s obligations become clearer, it’s crucial to ensure that major AI players don’t undermine important transparency requirements.