The European Union Parliament has achieved a significant milestone this week with the official approval of the groundbreaking Artificial Intelligence (AI) Act. After three years of development and negotiations, the EU has become a global leader in regulating AI, surpassing the efforts of the US, the UK, and China, who are also in the process of developing their own AI rules.
The passing of this new law has led to a multitude of reactions from industry experts. During an interview, Forrester’s principal analyst, Enza Iannopollo, emphasized the significance of the EU AI regulations and the need for other regions to catch up. She praised the EU AI Act as the world’s first set of binding requirements to mitigate AI risks, stating that its adoption marks the beginning of a new AI era. Forrester’s Iannopollo highlighted that the EU has established itself as the standard-bearer for trustworthy and responsible AI, leaving other regions with no choice but to catch up.
Iannopollo also shed light on the impact of this legislation on UK firms. She noted that British companies wishing to conduct business internationally must comply with the EU AI Act, alongside their American and Asian counterparts. While the UK aims to become the center of AI regulation, it has made little progress in effectively addressing AI risks. Consequently, UK firms will have to navigate two distinct regulatory environments. Nevertheless, Iannopollo affirms that UK companies will likely incorporate compliance with the EU AI Act into their overall AI governance strategy, irrespective of UK-specific requirements.
Organizations must now prepare for the implementation of the new EU AI law, as it will have an extraterritorial effect and impose significant fines for non-compliance. Iannopollo emphasized the urgency of assembling an “AI compliance team” to meet the Act’s requirements effectively. This requires collaboration among various teams, including IT, data science, legal, risk management, and C-suite executives. Time is of the essence, and organizations must act swiftly.
In addition to the industry’s reaction, concerns surrounding Shadow AI were also addressed. Mark Jow, EMEA technical evangelist at Gigamon, highlighted the threat of illicit or unreported use of AI technologies within businesses. This form of Shadow AI introduces new security risks and unauthorized access points, potentially compromising data protection. Jow stressed the importance of having visibility and control over AI use and recommended solutions that provide deep observability of network traffic.
As the EU AI Act gains traction, businesses must take the necessary steps to ensure compliance. Keith Fenner, SVP and GM EMEA at Diligent, emphasized the potential for hefty fines for breaches of the Act. Businesses need to prioritize governance, risk, and compliance (GRC), implementing robust frameworks and processes to remain in line with the new regulations.
FAQs
Q: What is the significance of the EU AI Act?
The EU AI Act is the world’s first set of binding requirements to mitigate AI risks. It marks the beginning of a new era for AI regulations and establishes the EU as the global standard-bearer for trustworthy and responsible AI.
Q: How does the EU AI Act impact UK firms?
UK companies wishing to conduct business internationally must comply with the EU AI Act, just like their American and Asian counterparts. The UK has produced limited regulations to address AI risks, creating the need for UK firms to navigate two distinct regulatory environments.
Q: How should organizations prepare for the implementation of the EU AI law?
Organizations should assemble an “AI compliance team” consisting of IT, data science, legal, risk management, and C-suite executives. Strong collaboration among these teams is crucial to meeting the Act’s requirements effectively.
Q: What are the risks associated with Shadow AI?
Shadow AI poses security risks, including unauthorized access and potential data protection concerns. It can introduce new back doors, footholds, and data storage sites without the knowledge of security leaders.
Sources:
– Forrester: [www.forrester.com](http://www.forrester.com)
– Gigamon: [www.gigamon.com](http://www.gigamon.com)
– Diligent: [www.diligent.com](http://www.diligent.com)
FAQs:
Q: What is the significance of the EU AI Act?
The EU AI Act is the world’s first set of binding requirements to mitigate AI risks. It marks the beginning of a new era for AI regulations and establishes the EU as the global standard-bearer for trustworthy and responsible AI.
Q: How does the EU AI Act impact UK firms?
UK companies wishing to conduct business internationally must comply with the EU AI Act, just like their American and Asian counterparts. The UK has produced limited regulations to address AI risks, creating the need for UK firms to navigate two distinct regulatory environments.
Q: How should organizations prepare for the implementation of the EU AI law?
Organizations should assemble an “AI compliance team” consisting of IT, data science, legal, risk management, and C-suite executives. Strong collaboration among these teams is crucial to meeting the Act’s requirements effectively.
Q: What are the risks associated with Shadow AI?
Shadow AI poses security risks, including unauthorized access and potential data protection concerns. It can introduce new back doors, footholds, and data storage sites without the knowledge of security leaders.
Sources:
– Forrester: www.forrester.com
– Gigamon: www.gigamon.com
– Diligent: www.diligent.com
The source of the article is from the blog qhubo.com.ni