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Digital Europe Warns EU Against Overregulation in AI Bill, Citing Concerns on Compliance Costs and Innovation Impact

AI/MLDigital Europe Warns EU Against Overregulation in AI Bill, Citing Concerns on Compliance Costs and Innovation Impact

Digital Europe, a digital technology trade association, has cautioned the European Union (EU) against overregulation in its forthcoming AI bill. In a letter, the association expressed concerns about the treatment of foundation models and general-purpose artificial intelligence (GPAI), advocating for limited regulation to avoid stifling innovation by European AI startups. The letter emphasized the potential compliance costs for SMEs, estimating over €300,000 for startups. Digital Europe urged a risk-based approach, maintaining the focus on high-risk uses rather than specific technologies, and highlighted potential clashes with existing sectoral regulations. Signatories included representatives from various European digital industry organizations.

By FCCT Editorial Team

Disclaimer: The views expressed in this article are independent views solely of the author(s) expressed in their private capacity.

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