The future of AI regulation in the EU

Minimize the burden of preparing for the EU AI Act with our audit solution, allowing you to focus on your core business operations

What is the EU AI Act?

The EU AI Act is the EU’s attempt to lead the world’s AI regulation and set a global standard. The Act aims to prioritize human rights in the development and deployment of AI, categorizing systems based on the impact they can have on people’s lives, requiring high-risk AI systems to comply with certain requirements and be assessed before putting them on the market as well as during their lifecycle, and imposing heavy fines for non-compliance.

Why partner with Holistic AI?

Our governance platform is an all-in-one solution, providing you with the tools you need to align your AI usage to the complex obligations under the EU AI Act with ease

Minimize cost

Reduced the risk of financial penalties and reputational impact of damage to your brand

Maximize AI investment

Have oversight of your AI usage and enact policies to improve development and deployment efficiency

Build trust

Demonstrate a commitment to responsible AI, reinforcing customer and stakeholder trust

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Navigate the EU AI Act with confidence

Catalog AI systems

Build an AI inventory to gain visibility of your AI ecosystem at all life-cycle stages and map their capabilities

Identify risks

Map risks across 5 key verticals and classify each system’s inherent risk as low, medium, or high

Mitigation strategies

Implement customized mitigation strategies based on the individual system’s risk profile, technology, and use case to reduce residual risk

Ongoing guidance

Receive ongoing support from our world leading team of experts

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Who needs to comply with the EU AI Act?

The EU AI Act applies to providers, importers, distributors, and users of AI systems placed on the market or put into service in the EU. Some AI systems and use cases, such as military AI systems or the use of AI systems for purely personal purposes are exempt.

When will the EU AI Act be adopted?

The political deal on the EU AI Act between the European co-legislators, the European Parliament and the Council of the EU, was reached on 8 December. The formal adoption of the Act is expected to take place in early 2024, although there will then be a 2-year general implementation period and 6-month and 12-month implementation periods for prohibited AI systems and the rules on general-purpose AI systems, respectively, before the provisions of the Act become effective.

Are there any penalties for non-compliance?

Fines up to €35M or 7% of global annual turnover for breaches, subject to changes depending on the nature of the non-compliance and the size of the respective entity, have been outlined in the latest political agreement although these amounts are not yet finalized.

Why has the EU AI Act been proposed?

AI brings benefits but also new challenges. Scandals have revealed that such as bias can have a real-world impact, and the question of whether there is a need to interfere to balance innovation and protection of fundamental rights has been raised. The European Commission, in order to strike that balance and prevent the emergence of divergence national regulations that may disrupt the efficiency in the EU single market, initiated the legislative procedure to adopt the EU AI Act.

How should enterprises prepare for the EU AI Act?

Enterprises should proactively establish AI risk management frameworks to mitigate legal, reputational, and financial damage from non-compliance. The rules and principles embodied in the Act as well as standards prepared according to it are likely to emerge as the industry standard. Hence, enterprises aiming at getting ahead and having competitive advantage should consider following the developmentssurrounding the EU AI Act and get involved with the voluntary commitment schemes to be introduced during the implementation period of the Act.

Key Resources & Insights

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