A Strategic Guide to Prepare for the EU AI Act
The impending EU AI Act is poised to significantly influence the landscape of artificial intelligence in Europe and beyond. Our strategy guide provides organisations with steps to assist them in navigating this law, ensuring that they not only comply but also use it to boost their competitive position in the rapidly rising field of AI.
Understanding the Scope and Requirements
The first step in preparation is to thoroughly understand the scope and requirements of the AI Act. Organisations must identify which of their AI systems fall under the Act, including those placed on the EU market or used there, irrespective of the organisation's location. It is crucial to familiarise oneself with the categorisation of AI systems by risk levels and ensure all team members, from management to operational staff, are aware of the implications.
Risk Assessment and Classification
Conduct a comprehensive risk assessment of all AI systems to classify them according to the defined categories: unacceptable risk, high-risk, limited risk, and minimal risk. Prioritise compliance efforts for high-risk and unacceptable risk AI systems, as these categories require stringent compliance measures.
| Risk Level | Description | Examples | Key Obligations |
|---|---|---|---|
| Unacceptable | Prohibited AI systems pose threats to safety and rights. | - Social scoring systems - Dangerous voice-assisted toys - Subliminal manipulation - Some real-time biometric ID systems | Banned outright |
| High | AI systems pose risks to health, safety, or rights. | - Safety-related AI - AI in critical sectors (e.g., law enforcement, education) - Emotion and biometric systems | - Conformity assessments - Human oversight - Transparency - Traceability logging - Detailed documentation - EU database registration |
| Limited | AI systems require user awareness of AI interactions. | - Chatbots - Emotion recognition systems - Deep fake generators | Must inform users of AI interaction |
| Minimal or no | AI systems with minimal or no risk. | - AI-enabled video games - Spam filters | No specific obligations |
Technical and Operational Adjustments
Make necessary technical adjustments to AI systems to comply with the Act's requirements, especially for those identified as high-risk. This includes ensuring data quality, transparency, and establishing mechanisms for human oversight. Implement monitoring systems to continuously check compliance and the performance of AI systems.
Legal and Regulatory Compliance
Conduct legal reviews of AI activities to ensure alignment with the AI Act's provisions. Prepare for incident reporting and maintain documentation for compliance verification as required under the Act. It is also vital to stay informed of any updates or changes to the AI Act and related regulatory guidance.
Training and Awareness
Develop robust internal governance frameworks that include training for developers, deployers, and management. It's essential to keep all employees informed and trained on the latest developments and interpretations of the AI Act.
Plan for Deadlines
Organisations must be aware of the compliance deadlines specified in the AI Act and should develop a detailed timeline that aligns internal milestones with these deadlines to ensure all preparations are completed well in advance. Continuous monitoring and adaptation are crucial as the regulatory landscape may evolve.
Consequences of Non-Preparing
Failing to prepare for the EU AI Act can lead to severe consequences. These include substantial penalties, such as fines potentially amounting to millions of euros or a significant percentage of global turnover, depending on the severity of the infringement. Non-compliance could also damage the organisation's reputation and erode trust with stakeholders.
Conclusion: Lead with Ethical AI Compliance
As the EU AI Act sets new benchmarks in AI regulation, adhering to its guidelines does more than meet legal requirements -it positions businesses at the forefront of ethical AI practices. By embracing these regulations, your organisation can lead in innovation, enhance its reputation, and gain a competitive advantage in an increasingly globalised tech landscape. This proactive approach not only prepares your business for the upcoming compliance deadlines but also aligns it with international standards that may shape future regulations worldwide.