The European legal approach to artificial intelligence: what will it mean for businesses?

The European Union (hereinafter "The EU") often leads the way in establishing comprehensive legal frameworks regarding novel issues. As a reminder, it was a pioneer in the area of data protection through its adoption of the EU Data Protection Directive as early as 1995, and more recently through its enactment of the General Data Protection Regulation (GDPR) in 2016, the most severe international law in the field of data protection. Similarly, the EU is currently pushing for the adoption of a detailed regulation for artificial intelligence (hereinafter "AI") systems, the Regulation of the European Parliament and of the Council Laying Down Harmonised Rules on Artificial Intelligence (Artificial Intelligence Act) and Amending Certain Union Legislative Acts (hereinafter "the EU AI Act draft"). First presented in April 2021 by the European Commission, this law is a breakthrough endeavor which will surely have many repercussions, on the EU's level, but also internationally. Currently, in the sector of AI, the EU AI Act is a flagship initiative, which seeks to ensure the safety and trustworthiness of high-risk AI systems developed and used in the EU. It is the first law to solely address AI, and it is expected to become a "GDPR for AI".