The European Union (EU) has successfully negotiated a comprehensive regulation on artificial intelligence (AI), marking a significant development in the western world. Thierry Breton, the EU’s internal market chief, highlighted that the agreement aims to find a delicate equilibrium between promoting innovation and safeguarding the rights of individuals and businesses.
In a statement on Saturday, Thierry Breton emphasized the considerable time spent on striking the right balance, ensuring that AI’s potential to support law enforcement is maximized while concurrently protecting the fundamental rights of European citizens. Thierry Breton explicitly stated the EU’s stance against mass surveillance, reinforcing the commitment to maintaining a balance between leveraging AI advancements and preserving privacy.
Following more than 37 hours of negotiations this week, Thierry Breton, representatives from the European Commission, the European Parliament, and 27 member countries have reached a consensus on regulations governing generative AI tools, including prominent systems like OpenAI Inc’s ChatGPT and Google’s Bard—tools capable of generating content on demand.
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3 Key Talking Points
What Is in the Proposed Legislation by Thierry Breton?
The negotiated agreement by Thierry Breton permits some live scanning of faces, albeit with specified safeguards and exemptions, as explained by Thierry Breton. Notably, the deal expressly prohibits biometric scanning that classifies individuals based on sensitive characteristics, such as political or religious beliefs, sexual orientation, or race. This particular aspect was highlighted as one of the most challenging and sensitive issues in the negotiation process.
The proposed legislation by Thierry Breton introduces financial penalties for companies found in violation of the established rules, with fines reaching up to €35 million, or 7% of global turnover. The severity of the penalty is contingent on the nature of the infringement and the size of the company involved.
While the draft legislation by Thierry Breton awaits formal approval from EU member states and the Parliament, this recent agreement signifies a crucial advancement toward establishing landmark AI policies. In the absence of substantial action by the US Congress, these regulations by Thierry Breton are poised to set the precedent for governing the rapidly evolving field of technology. The EU’s ambition is to implement the initial robust guidelines for AI outside of Asia.
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Policymakers Have Been Pushing for the AI Act
Policymakers have dedicated months to refining the language within the AI Act and pushing for its approval, with the aim of completing the process before the upcoming European elections in June. The impending elections could introduce a new commission and Parliament, potentially prompting further revisions and impeding the current efforts.
The decision emerged from an intensive session on Friday, following an almost 24-hour marathon spanning from Wednesday to Thursday. This extended negotiation period saw some participants grappling with fatigue, with reports of negotiators dozing off in the meeting hall. Despite the challenges, the negotiators ultimately reached an agreement, particularly addressing the sensitive issue of restricting live facial scanning technology in public spaces.
The challenging discussions highlight the contentious nature of the debate surrounding AI regulation, a topic that has divided world leaders and tech executives. This division persists as generative AI tools, such as those developed by companies like France’s Mistral AI and Germany’s Aleph Alpha, gain widespread popularity. The EU, along with other governments like the US and UK, is grappling with the delicate task of striking a balance between protecting its own AI startups and mitigating potential societal risks associated with these technologies.
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Slight Hiccups Were Faced Along the Way
Negotiations faced a significant hurdle as countries like France and Germany opposed rules that they deemed would unfairly disadvantage local companies. Finding a middle ground between safeguarding national interests and addressing broader societal concerns emerged as a key sticking point in the discussions.
While some details still require refinement by civil servants in the coming weeks, negotiators have generally reached an agreement to implement regulations on generative AI. These regulations will include basic transparency requirements for developers of large language models. Developers whose creations pose a systemic risk will be required to voluntarily commit to a code of conduct, collaborating with the commission to address and mitigate potential risks. This approach mirrors the EU’s existing content moderation rules, as outlined in the Digital Services Act.
The central point of contention revolved around the extent of restrictions on live biometric identification tools. While the Parliament had initially advocated for a complete ban in the previous spring, EU countries pressed for exemptions in the context of national security and law enforcement. Ultimately, a compromise was reached, leading to an agreement that limits the use of this technology in public spaces, subject to additional safeguards.
Sport Illustrated was recently in hot water for using AI to generate content for their website. Read more about this right here.
Concerns Over the Proposed Act Remains
The approval of the agreement requires the endorsement of both the Parliament and the Council, representing the EU’s 27 member states. Notably, France and Germany have expressed concerns that the proposed Act might overly regulate general-purpose AI systems, potentially disadvantaging domestic competitors like Mistral and Aleph Alpha.
Carme Artigas, Spain’s secretary of state, indicated that the deal aligns with the preferences of EU nations, expressing optimism that they will confirm the agreement. She also mentioned that, at least for the time being, Mistral may not be subject to the general-purpose AI controls, given its current focus on research and development.
“We will carefully analyse the compromise found today and ensure in the coming weeks that the text preserves Europe’s capacity to develop its own AI technologies, and preserves its strategic autonomy,” France’s Digital Minister Jean-Noel Barrot said in a statement.
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