A significant milestone in the legislative process of the AI Act has been reached with the vote of the European Parliament (EP) on June 14, 2023. The text now enters a new phase, during which all three EU institutions (the Council of the EU (Council), the EU Commission (EC), and the EP) will work towards an agreement on the final text.
The fast-moving developments and growth of AI have garnered significant political pressure, pushing the EU institutions to finalize the text. Spain, which will assume the presidency of the Council as of July 1, 2023, has stated that finishing the AI Act will be a top priority on its agenda. This alert summarizes the key changes proposed by the EP and what to expect next.
Background
The legislative process to pass the AI Act started more than two years ago when the EC published its proposal (the “draft AI Act”) in April 2021. The EC adopted a horizontal, cross-sector, and risk-based approach to regulating AI. On December 6, 2022, the Council finalized its proposed amendments to the draft AI Act and followed a more business-friendly approach to regulating AI than the EC’s proposal. In contrast, The EP has now taken a strict, if not overly cautious, approach, proposing a number of significant amendments and additional obligations.
More information on the Council position can be found here. For a summary of the EC proposal, please refer to our visual Fact Sheet on Draft EU AI Act.
5 Key Changes Proposed by the EP
Next Steps: An Agreement Before the End of the Year?
The three EU institutions aim at reaching an agreement by the end of 2023, ahead of the next European Parliament elections in June 2024. Discussions on the AI Act are scheduled for July 18, September 26, and October 26. It is unclear whether a political agreement will be reached by the end of the year, but in light of the current political pressure, all parties involved will make strong efforts to reach such an agreement.
Companies that use, develop, or implement AI solutions should consider reviewing the existing drafts to assess their potential impact on their operations.
For more information on the EU AI Act and other matters related to AI and machine learning, please contact Cédric Burton, Laura De Boel, Yann Padova, Maneesha Mithal, or any other attorney from Wilson Sonsini’s privacy and cybersecurity practice or AI and machine learning practice.
Sebastian Thess contributed to the preparation of this alert.
[1]Defined as such platforms that have been designated as very large online platforms by the European Commission within the meaning of Art. 33 of the Digital Services Act.