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Policy and Regulatory Frameworks


The EU AI Act

  • First comprehensive AI regulation in the world
  • Adopted by European Parliament in March 2024
  • Risk-based approach to AI regulation
  • Focuses on transparency, safety, and fundamental rights
  • “Brussels Effect”: Influence on other jurisdictions, including Colorado

EU AI Act: Risk Categories

The Act classifies AI systems based on risk level:

  • Unacceptable Risk: Banned outright (e.g., social scoring, manipulative AI)
  • High Risk: Strict requirements (e.g., critical infrastructure, education, hiring)
  • Limited Risk: Transparency obligations (e.g., chatbots, emotion recognition)
  • Minimal Risk: Minimal regulation (most AI applications)

EU AI Act: High-Risk Use Cases

The following AI applications are considered high-risk and subject to strict requirements:

  • Biometrics: Remote identification systems, categorization systems, emotion recognition
  • Critical Infrastructure: Safety components for traffic, utilities, digital infrastructure
  • Education: Systems determining access to education, evaluating outcomes, monitoring tests
  • Employment: Recruitment tools, task allocation, performance monitoring, promotion/termination

EU AI Act: High-Risk Use Cases

  • Essential Services: Eligibility assessment for benefits, credit scoring, insurance pricing
  • Law Enforcement: Crime risk assessment, evidence reliability evaluation, profiling
  • Migration & Border Control: Risk assessments, application examination, identification
  • Justice & Democracy: Legal interpretation, dispute resolution, election influence

EU AI Act: What must you do if you’re ‘high-risk’?

  • Establish a risk management system throughout the lifecycle
  • Implement data governance - test for representativeness in datasets; “to the best extent possible”, free of errors
  • Create detailed technical documentation for others to determine compliance and risk
  • Design systems for automatic record-keeping of risk-relevant events
  • Provide clear instructions for use to downstream deployers
  • Enable human oversight in system design
  • Ensure appropriate accuracy, robustness, and cybersecurity
  • Establish a quality management system for compliance

EU AI Act: Foundation Model Requirements

Special provisions for general-purpose AI models (GPAIs):

  • Technical documentation and risk assessments
  • Copyright compliance for training data
  • Energy efficiency reporting
  • Stricter rules for “systemic risk” models (“when the cumulative amount of compute used for its training is greater than $10^25$ floating point operations”)

“Free and open licence GPAI model providers only need to comply with copyright and publish the training data summary, unless they present a systemic risk.”


Discussion

  • What are the potential positive impacts of the legislation as implemented in the EU AI Act?
  • What are the potential concerns the EU AI Act?
  • Who benefits? Who is harmed?

Lab: AI Policy Framework

Lab Details


References