EU Artificial Intelligence Act

Aditi Pangotra and Neeraj Soni

Policy Wing, CyberPeace

PUBLISHED ON

Jul 26, 2024

‍Brief Overview of the EU AI Act

The EU AI Act, Regulation (EU) 2024/1689, was officially published in the EU Official Journal on 12 July 2024. This landmark legislation on Artificial Intelligence (AI) will come into force just 20 days after publication, setting harmonized rules across the EU. It amends key regulations and directives to ensure a robust framework for AI technologies. The AI Act, a set of EU rules governing AI, has been in development for two years and now, the EU AI Act enters into force across all 27 EU Member States on 1 August 2024, with certain future deadlines tied up and the enforcement of the majority of its provisions will commence on 2 August 2026. The law prohibits certain uses of AI tools, including those that threaten citizens' rights, such as biometric categorization, untargeted scraping of faces, and systems that try to read emotions are banned in the workplace and schools, as are social scoring systems. It also prohibits the use of predictive policing tools in some instances. The law takes a phased approach to implementing the EU's AI rulebook, meaning there are various deadlines between now and then as different legal provisions will start to apply.

The framework puts different obligations on AI developers, depending on use cases and perceived risk. The bulk of AI uses will not be regulated as they are considered low-risk, but a small number of potential AI use cases are banned under the law. High-risk use cases, such as biometric uses of AI or AI used in law enforcement, employment, education, and critical infrastructure, are allowed under the law but developers of such apps face obligations in areas like data quality and anti-bias considerations. A third risk tier also applies some lighter transparency requirements for makers of tools like AI chatbots.

In case of failure to comply with the Act, the companies in the EU providing, distributing, importing, and using AI systems and GPAI models, are subject to fines of up to EUR 35 million or seven per cent of the total worldwide annual turnover, whichever is higher.

Key highlights of EU AI Act Provisions

The AI Act classifies AI according to its risk. It prohibits Unacceptable risks such as social scoring systems and manipulative AI. The regulation mostly addresses high-risk AI systems.
Limited-risk AI systems are subject to lighter transparency obligations and according to the act, the developers and deployers must ensure that the end-users are aware that the interaction they are having is with AI such as Chatbots and Deepfakes. The AI Act allows the free use of minimal-risk AI. This includes the majority of AI applications currently available in the EU single market like AI-enabled video games, and spam filters, but with the advancement of Gen AI changes with regards to this might be done. The majority of obligations fall on providers (developers) of high-risk AI systems that intend to place on the market or put into service high-risk AI systems in the EU, regardless of whether they are based in the EU or a third country. And also, a third-country provider where the high-risk AI system’s output is used in the EU.
Users are natural or legal persons who deploy an AI system in a professional capacity, not affected end-users. Users (deployers) of high-risk AI systems have some obligations, though less than providers (developers). This applies to users located in the EU, and third-country users where the AI system’s output is used in the EU.
General purpose AI or GPAI model providers must provide technical documentation, and instructions for use, comply with the Copyright Directive, and publish a summary of the content used for training. Free and open license GPAI model providers only need to comply with copyright and publish the training data summary, unless they present a systemic risk. All providers of GPAI models that present a systemic risk – open or closed – must also conduct model evaluations, and adversarial testing, and track and report serious incidents and ensure cybersecurity protections.
The Codes of Practice will account for international approaches. It will cover but not necessarily be limited to the obligations, particularly the relevant information to include in technical documentation for authorities and downstream providers, identification of the type and nature of systemic risks and their sources, and the modalities of risk management accounting for specific challenges in addressing risks due to the way they may emerge and materialize throughout the value chain. The AI Office may invite GPAI model providers, and relevant national competent authorities to participate in drawing up the codes, while civil society, industry, academia, downstream providers and independent experts may support the process.

Application & Timeline of Act

The EU AI Act will be fully applicable 24 months after entry into force, but some parts will be applicable sooner, for instance the ban on AI systems posing unacceptable risks will apply six months after the entry into force. The Codes of Practice will apply nine months after entry into force. Rules on general-purpose AI systems that need to comply with transparency requirements will apply 12 months after the entry into force. High-risk systems will have more time to comply with the requirements as the obligations concerning them will become applicable 36 months after the entry into force. The expected timeline for the same is:

August 1st, 2024: The AI Act will enter into force.
February 2025: Prohibition of certain AI systems - Chapters I (general provisions) & II (prohibited AI systems) will apply; Prohibition of certain AI systems.
August 2025: Chapter III Section 4 (notifying authorities), Chapter V (general purpose AI models), Chapter VII (governance), Chapter XII (confidentiality and penalties), and Article 78 (confidentiality) will apply, except for Article 101 (fines for General Purpose AI providers); Requirements for new GPAI models.
August 2026: The whole AI Act applies, except for Article 6(1) & corresponding obligations (one of the categories of high-risk AI systems);
August 2027: Article 6(1) & corresponding obligations apply.

The AI Act sets out clear definitions for the different actors involved in AI, such as the providers, deployers, importers, distributors, and product manufacturers. This means all parties involved in the development, usage, import, distribution, or manufacturing of AI systems will be held accountable. Along with this, the AI Act also applies to providers and deployers of AI systems located outside of the EU, e.g., in Switzerland, if output produced by the system is intended to be used in the EU. The Act applies to any AI system within the EU that is on the market, in service, or in use, covering both AI providers (the companies selling AI systems) and AI deployers (the organizations using those systems).

In short, the AI Act will apply to different companies across the AI distribution chain, including providers, deployers, importers, and distributors (collectively referred to as “Operators”). The EU AI Act also has extraterritorial application and can also apply to companies not established in the EU, or providers outside the EU if they -make an AI system or GPAI model available on the EU market. Even if only the output generated by the AI system is used in the EU, the Act still applies to such providers and deployers.

CyberPeace Outlook

The EU AI Act, approved by EU lawmakers in 2024, is a landmark legislation designed to protect citizens' health, safety, and fundamental rights from potential harm caused by AI systems. The AI Act will apply to AI systems and GPAI models. The Act creates a tiered risk categorization system with various regulations and stiff penalties for noncompliance. The Act adopts a risk-based approach to AI governance, categorizing potential risks into four tiers: unacceptable, high, limited, and low. Violations of banned systems carry the highest fine: €35 million, or 7 percent of global annual revenue. It establishes transparency requirements for general-purpose AI systems. The regulation also provides specific rules for general-purpose AI (GPAI) models and lays down more stringent requirements for GPAI models with 'high-impact capabilities' that could pose a systemic risk and have a significant impact on the internal market. For high-risk AI systems, the AI Act addresses the issues of fundamental rights impact assessment and data protection impact assessment.

The EU AI Act aims to enhance trust in AI technologies by establishing clear regulatory standards governing AI. We encourage regulatory frameworks that strive to balance the desire to foster innovation with the critical need to prevent unethical practices that may cause user harm. The legislation can be seen as strengthening the EU's position as a global leader in AI innovation and developing regulatory frameworks for emerging technologies. It sets a global benchmark for regulating AI. The companies to which the act applies will need to make sure their practices align with the same. The act may inspire other nations to develop their own legislation contributing to global AI governance. The world of AI is complex and challenging, the implementation of regulatory checks, and compliance by the concerned companies, all pose a conundrum. However, in the end, balancing innovation with ethical considerations is paramount.

At the same hand, the tech sector welcomes regulatory progress but warns that overly-rigid regulations could stifle innovation. Hence flexibility and adaptability are key to effective AI governance. The journey towards robust AI regulation has begun in major countries, and it is important that we find the right balance between safety and innovation and also take into consideration the industry reactions.

References:

‍

PUBLISHED ON

Jul 26, 2024

Related Blogs

The Symbiotic Relationship Between AI and Internet Governance in India

December 16, 2023

Introduction

There is a rising desire for artificial intelligence (AI) laws that limit threats to public safety and protect human rights while allowing for a flexible and inventive setting. Most AI policies prioritize the use of AI for the public good. The most compelling reason for AI innovation as a valid goal of public policy is its promise to enhance people's lives by assisting in the resolution of some of the world's most difficult difficulties and inefficiencies and to emerge as a transformational technology, similar to mobile computing. This blog explores the complex interplay between AI and internet governance from an Indian standpoint, examining the challenges, opportunities, and the necessity for a well-balanced approach.

Understanding Internet Governance

Before delving into an examination of their connection, let's establish a comprehensive grasp of Internet Governance. This entails the regulations, guidelines, and criteria that influence the global operation and management of the Internet. With the internet being a shared resource, governance becomes crucial to ensure its accessibility, security, and equitable distribution of benefits.

The Indian Digital Revolution

India has witnessed an unprecedented digital revolution, with a massive surge in internet users and a burgeoning tech ecosystem. The government's Digital India initiative has played a crucial role in fostering a technology-driven environment, making technology accessible to even the remotest corners of the country. As AI applications become increasingly integrated into various sectors, the need for a comprehensive framework to govern these technologies becomes apparent.

AI and Internet Governance Nexus

The intersection of AI and Internet governance raises several critical questions. How should data, the lifeblood of AI, be governed? What role does privacy play in the era of AI-driven applications? How can India strike a balance between fostering innovation and safeguarding against potential risks associated with AI?

AI's Role in Internet Governance:

Artificial Intelligence has emerged as a powerful force shaping the dynamics of the internet. From content moderation and cybersecurity to data analysis and personalized user experiences, AI plays a pivotal role in enhancing the efficiency and effectiveness of Internet governance mechanisms. Automated systems powered by AI algorithms are deployed to detect and respond to emerging threats, ensuring a safer online environment.

A comprehensive strategy for managing the interaction between AI and the internet is required to stimulate innovation while limiting hazards. Multistakeholder models including input from governments, industry, academia, and civil society are gaining appeal as viable tools for developing comprehensive and extensive governance frameworks.

The usefulness of multistakeholder governance stems from its adaptability and flexibility in requiring collaboration from players with a possible stake in an issue. Though flawed, this approach allows for flaws that may be remedied using knowledge-building pieces. As AI advances, this trait will become increasingly important in ensuring that all conceivable aspects are covered.

The Need for Adaptive Regulations

While AI's potential for good is essentially endless, so is its potential for damage - whether intentional or unintentional. The technology's highly disruptive nature needs a strong, human-led governance framework and rules that ensure it may be used in a positive and responsible manner. The fast emergence of GenAI, in particular, emphasizes the critical need for strong frameworks. Concerns about the usage of GenAI may enhance efforts to solve issues around digital governance and hasten the formation of risk management measures.

Several AI governance frameworks have been published throughout the world in recent years, with the goal of offering high-level guidelines for safe and trustworthy AI development. The OECD's "Principles on Artificial Intelligence" (OECD, 2019), the EU's "Ethics Guidelines for Trustworthy AI" (EU, 2019), and UNESCO's "Recommendations on the Ethics of Artificial Intelligence" (UNESCO, 2021) are among the multinational organizations that have released their own principles. However, the advancement of GenAI has resulted in additional recommendations, such as the OECD's newly released "G7 Hiroshima Process on Generative Artificial Intelligence" (OECD, 2023).

Several guidance documents and voluntary frameworks have emerged at the national level in recent years, including the "AI Risk Management Framework" from the United States National Institute of Standards and Technology (NIST), a voluntary guidance published in January 2023, and the White House's "Blueprint for an AI Bill of Rights," a set of high-level principles published in October 2022 (The White House, 2022). These voluntary policies and frameworks are frequently used as guidelines by regulators and policymakers all around the world. More than 60 nations in the Americas, Africa, Asia, and Europe had issued national AI strategies as of 2023 (Stanford University).

Conclusion

Monitoring AI will be one of the most daunting tasks confronting the international community in the next centuries. As vital as the need to govern AI is the need to regulate it appropriately. Current AI policy debates too often fall into a false dichotomy of progress versus doom (or geopolitical and economic benefits versus risk mitigation). Instead of thinking creatively, solutions all too often resemble paradigms for yesterday's problems. It is imperative that we foster a relationship that prioritizes innovation, ethical considerations, and inclusivity. Striking the right balance will empower us to harness the full potential of AI within the boundaries of responsible and transparent Internet Governance, ensuring a digital future that is secure, equitable, and beneficial for all.

References

Importance of technology for lawyers in the future times

"Unlocking Legal Potential with Technology: From education to courtrooms, explore how tech enhances efficiency and access to justice in the legal industry."

December 16, 2022

Introduction:

Technology has become a vital part of everyone’s life nowadays, it occupies essential activities of a person’s life whether we are working or playing and studying. I would say from education to corporate, technology makes everything easier and simpler to achieve the goals for a particular thing. Corporate companies are using technology for their day-to-day work and there are many law-based foundations that are publishing blogs and papers for legal awareness, many lawyers use internet technology for promoting themselves which amounts to growth in their work. Some legal work can now be done by machines, which was previously unthinkable. Large disputes frequently have many documents to review. Armies of young lawyers and paralegals are typically assigned to review these documents. This work can be done by a properly trained machine. Machine drafting of documents is also gaining popularity. We’ve also seen systems that can forecast the outcome of a dispute. We are starting to see machines take on many tasks that we once thought was solely the domain of lawyers.

How to expand law firms and the corporate world with the help of technology?

If we talk about how lawyers’ lives will be impacted by technology then I would explain about law students first. Students are the one who is utilizing the technology at its best for their work, tech could be helpful in students’ lives. as law students use SCC online and manupatra, which are used for case laws. And during their law internships, they use it to help their seniors to find appropriate cases for them. and use it as well for their college research work. SCC and manupatra are very big platforms by which we can say if students use technology for their careers, it will impact their law career in the best ways.

A lawyer running a law firm is not a small task, and there are plenty of obstacles to that, such as a lack of tech solutions, failure to fulfil demands, and inability to innovate, these obstacles prevent the growth of some firms. The right legal tech can grow an organization or a law firm and there will be fewer obstacles.

Technology can be proven as a good mechanism to grow the law firm, as everything depends on tech, from court work to corporate. If we talk about covid during 2020, everything shifted towards the virtual world, court hearings switched to online mode due to covid which proved as a bone to the legal system as the case hearings were speedy and there was no physical contact due to that.

Legal automation is also helping law firms to grow in a competitive world. And it has other benefits also like shifting tedious tasks from humans to machines, allowing the lawyer to work on more valuable work. I would say that small firms should also need to embrace automation for competition in the corporate sector. Today, artificial intelligence offers a solution to solve or at least make the access-to-justice issue better and completely transform our traditional legal system.

There was a world-cited author, Richard Susskind, OBE, who talked about the future of law and lawyers and he wrote a book, Online Courts and the Future of Justice. Richard argues that technology is going to bring about a fascinating decade of change in the legal sector and transform our court system. Although automating our old ways of working plays a part in this, even more, critical is that artificial intelligence and technology will help give more individuals access to justice.

The rise of big data has also resulted in rapid identification systems, which allow police officers to quickly see an individual’s criminal history through a simple search.The FBI’s Next Generation Identification (NGI) system matches individuals with their criminal history information using biometrics such as fingerprints, palm prints, iris recognition, and facial recognition. The NGI’s current technologies are constantly being updated, and new ones are being added, to make the NGI the most comprehensive way to gather up-to-date information on the person being examined

During covid, there were e-courts services in courts, and lawyers and judges were taking cases online. After the covid, the use of technology increased in the law field also from litigation to corporate. As technology can also safeguard confidential information between parties and lawyers. There was ODR, (online dispute resolution) happening meetings that were taking place online mode.

File sharing is inevitable in the practice of law. Yet sometimes the most common ways of sharing (think email) are not always the most secure. With the remote office, the boom has come an increased need for alternate file-sharing solutions. There is data encryption to protect data as it is a reliable method to protect confidential data and information.

Conclusion-

Technology has been playing a vital role in the legal industry and has increased the efficiency of legal offices and the productivity of clerical workers. With the advent of legal tech, there is greater transparency between legal firms and clients. Clients know how many fees they must pay and can keep track of the day-to-day progress of the lawyer on their case. Also, there is no doubt that technology, if used correctly, is fast and efficient – more than any human individual. This can prove to be of great assistance to any law firm. Lawyers of the future will be the ones who create the systems that will solve their client’s problems. These legal professionals will include legal knowledge engineers, legal risk managers, system developers, design thinking experts, and others. These people will use technology to create new ways of solving legal problems. In many ways, the legal sector is experiencing the same digitization that other industries have, and because it is so document-intensive, it is actually an industry that stands to benefit greatly from what technology has to offer.

ROBODOGS: Artificial Intelligence gets Paw-some

March 27, 2024

Introduction

Robotic or Robo dogs are created to resemble dogs in conduct and appearance, usually comprising canine features including barking and wagging tails. Some examples include Rhex (hexapod robot), Littledog and BigDog (created by Boston Dynamics robot). Robodogs, on the whole, can even respond to commands and look at a person with large LED-lit puppy eyes.

A four-legged robotic solution was recently concluded through its foremost successful radiation protection test inside the most extensive experimental area at the European Organization for Nuclear Research known as CERN. Each robot created at CERN is carefully crafted to fulfil exceptional challenges and complement each other. Unlike the previous wheeled, tracked or monorail robots, the robodogs will be capable of penetrating unexplored dimensions of the caverns, expanding the spectrum of surroundings that CERN robots can act as a guide. Also, Incorporating the robodog with the existing monorail robots in the Large Hadron Collider (LHC) tunnel will expand the range of places available for monitoring and supervision, improving the security and efficiency of the operation of CERN. Lenovo too has designed a six-legged robot called the "Daystar Bot GS" to be launched this year, which promises "comprehensive data collection."

Use of Robodogs in diverse domains

Due to the enhancement of Artificial Intelligence (AI), robodogs can be a boon for those with exceptional requirements. The advantage of AI is the dependability of its features, which can be programmed to answer certain commands detailed to the user.

In the context of health and well-being, they can be useful if they are programmed to take care of a person with distinct or special requirements (elderly person or visually impaired person). For this reason, they are considered more advantageous than the real dogs. Recently, New Stanford has designed robodogs that can perform several physical activities, including dancing and may also one day assist in putting pediatric patients in comfort during their hospital stays. Similarly, the robodog, "Pupper", is a revamped version of another robotic dog designed at Stanford called "Doggo", an open-source bot with 3D printed elements that one could create on a fairly small budget. They were also created to interact with humans. Furthermore, Robots as friends are a more comfortable hop for the Japanese. The oldest and most successful social robot in Japan is called "Paro", resembling an ordinary plush toy that can help in treating depression, stress, anxiety and also mood swings in a person. Following 1998, several Paro robots were exported overseas and put into service globally, reducing stress among children in ICUs, treating American veterans suffering from Post Traumatic Stress Disorder (PTSD), and assisting dementia patients.

Post-pandemic, the Japanese experiencing loneliness and isolation have been clinging to social robots for mind healing and comfort. Likewise, at a cafe in Japan, proud owners of the AI-driven robot dog "Aibo" have pawed its course into the minds and hearts of the people. Presently, robots are replacing the conventional class guinea pig or bunny at Moriyama Kindergarten in the central Japanese city of Nagoya. According to the teachers here, the bots apparently reduce stress and teach kids to be more humane.

In the security and defence domain, the unique skills of robodogs allow them to be used in hazardous and challenging circumstances. They can even navigate through rugged topography with reassurance to save stranded individuals from natural catastrophes. They could correspondingly help with search and rescue procedures, surveillance, and other circumstances that could be dangerous for humans. Researchers or experts are still fine-tuning the algorithm to develop them by devising the technology and employing affordable off-shelf robots that are already functional. Robodogs are further used for providing surveillance in hostage crises, defusing bombs, besides killing people to stop them from attacking other individuals. Similarly, a breakthrough in AI is being tested by the Australian military that reportedly allows soldiers to control robodogs solely with their minds. Cities like Florida and St. Petersburg also seem bound to keep police robodogs. The U.S. Department of Homeland Security is further seeking plans to deploy robot dogs at the borderlands. Also, the New York City Police Department (NYPD) intends to once again deploy four-legged 'Robodogs' to deal with high-risk circumstances like hostage negotiations. The NYPD has previously employed alike robodogs for high-octane duties in examining unsafe environments where human officers should not be exposed. The U.S. Marine Corps is additionally experimenting with a new breed of robotic canine that can be helpful in the battleground, enhance the safety and mobility of soldiers, and aid in other tasks. The Unitree Go1 robot dog (Nicknamed GOAT-Grounded Open-Air Transport) by the Marines is a four-legged machine that has a built-in AI system, which can be equipped to carry an infantry anti-armour rocket launcher on its back. The GOAT robot dog is designed to help the Marines move hefty loads, analyse topography, and deliver fire support in distant and dangerous places.

However, on the contrary, robodogs may pose ethical and moral predicaments regarding who is accountable for their actions and how to ensure their adherence to the laws of warfare. This may further increase security and privacy situations on how to safeguard the data of the robotic dogs and contain hacking or sabotage.

Conclusion

Teaching robots to traverse the world conventionally has been an extravagant challenge. Though the world has been seeing an increase in their manufacturing, it is simply a machine and can never replace the feeling of owning a real dog. Designers state that intelligent social robots will never replace humans, though robots provide the assurance of social harmony without social contact. Also, they may not be capable of managing complicated or unforeseen circumstances that need instinct or human decision-making. Nevertheless, owning robodogs in the coming decades is expected to become even more common and cost-effective as they evolve or advance with new algorithms being tested and implemented.

References:

‍

EU Artificial Intelligence Act

‍Brief Overview of the EU AI Act

Key highlights of EU AI Act Provisions

Application & Timeline of Act

CyberPeace Outlook

References:

Related Blogs

Introduction

Understanding Internet Governance

The Indian Digital Revolution

AI and Internet Governance Nexus

The Need for Adaptive Regulations

Conclusion

References

Introduction:

How to expand law firms and the corporate world with the help of technology?

Conclusion-

Introduction

Use of Robodogs in diverse domains

Conclusion

References:

Become a part of our vision to make the digital world safe for all!

Awareness

Engagement

Play your part for CyberPeace