European Parliament Passes Sweeping AI Regulation With Global Reach
The European Parliament approves the landmark EU AI Act, establishing strict rules for artificial intelligence providers and users. The legislation applies to companies worldwide if their AI systems operate within European borders.
The European Parliament officially approves the landmark EU Artificial Intelligence Act with an overwhelming majority of 523 votes in favor. This highly anticipated legislation establishes a comprehensive framework to safeguard the use of AI systems within the EU while outright prohibiting certain unacceptable AI applications. The approved text reflects the political agreement reached between the Parliament and the Council of the European Union in December 2023.
The new law features broad extra-territorial reach that impacts global technology markets. It applies to providers placing AI systems on the EU market regardless of their physical location, meaning companies based outside Europe must comply if their AI outputs are used within the EU. The regulation also covers deployers, importers, distributors, product manufacturers, authorized representatives, and affected citizens located within EU borders.
Before the law takes effect, it undergoes a final linguistic check by lawyers in April 2024 to ensure legal accuracy across all language translations. Following this validation and formal endorsement by the European Council, the AI Act is expected to be fully adopted before the end of the parliamentary legislature in June 2024. Once finalized, the regulation enters into force exactly 20 days after its adoption in the Official Journal.