1527837 Tech lobby group urges EU leaders to pause AI Act

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Tech lobby group urges EU leaders to pause AI Act

 



A prominent tech lobby group, the Computer and Communications Industry Association (CCIA) Europe, which represents major tech companies including Alphabet (Google), Meta, and Apple, has recently urged European Union leaders to temporarily pause key aspects of the EU AI Act.

Their plea comes amid growing concerns that the accelerated implementation of rules governing general-purpose AI (GPAI) models could unintentionally stifle innovation and put European businesses at a disadvantage compared to competitors in the United States and China.

Here's a summary of their concerns:

 * Rushed Implementation: The AI Act, considered the world's most comprehensive framework for regulating artificial intelligence, came into force in June 2024, with critical provisions for general-purpose AI models set to take effect from August 2, 2025. The CCIA argues that the EU is rushing this implementation, with key details and guidelines still missing just weeks before the rules kick in.

 * Uncertainty for Businesses: Daniel Friedlaender, CCIA Europe's senior vice president, warned that "without a pause, we risk stalling innovation altogether." He cited a survey by AWS indicating that two-thirds of European firms are uncertain about their compliance obligations. This lack of clarity is making it difficult for businesses to prepare and invest in AI development.

 * Hindering Innovation: The lobby group fears that a hasty rollout will harm Europe's technological ambitions and jeopardize the economic potential of AI in Europe, which the European Commission estimates could boost the EU economy by €3.4 trillion by 2030. They argue that "Europe cannot lead on AI with one foot on the brake."

 * Competitive Disadvantage: There's a concern that stringent and rapidly implemented regulations without a finalized framework could place European businesses at a disadvantage compared to counterparts in the US and China, which have different regulatory approaches to AI.

 * Need for a Finalized Framework: The CCIA urges Member States to acknowledge the risks of implementing the AI Act without the entire legal framework being in place and fully understood. They advocate for a delay to allow time to finalize the regulatory framework and give companies sufficient time to comply.

Despite these calls for a pause, EU tech officials, including Commissioner Henna Virkkunen, have affirmed their commitment to an "innovation-friendly" enforcement of the act, though they acknowledge the need for careful calibration. This situation highlights the ongoing tension between fostering innovation and ensuring responsible AI development within the EU.


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