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EU AI Act and AI Regulation

The European Union's law regulating AI by risk level: some uses are banned, high-risk systems face strict requirements, and general-purpose AI models have transparency duties.

Also AI Act · Regulation (EU) 2024/1689 · AI regulation · high-risk AI · general-purpose AI

Role · kind
Core ideasConcept
Level
Beginner

European Union, Regulation (EU) 2024/1689

Like safety rules for cars and toys, but for AI. The riskier the use, the stricter the rules, and a few uses are simply not allowed in the EU.

Where it fits

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How it works

The EU AI Act is the first broad law of a major economy dedicated to artificial intelligence. It entered into force on 1 August 2024 and applies in stages. It covers anyone placing AI systems on the EU market or using them in the EU.

Its core idea is risk-based regulation:

  • Unacceptable risk (banned): for example social scoring by public authorities, manipulative systems that exploit vulnerabilities, emotion recognition at work and in schools, and, with narrow exceptions, real-time remote biometric identification in public spaces for law enforcement (see face recognition). These bans apply since 2 February 2025.
  • High risk: AI used in areas like hiring, credit scoring, education, critical infrastructure, law enforcement and medical devices. Providers need risk management, data quality controls (bias and fairness), technical documentation, logging, human oversight and accuracy and robustness testing.
  • Limited risk (transparency): chatbots must disclose that they are AI; deepfakes and generated content must be labeled.
  • Minimal risk: most AI, such as spam filters or game AI, has no new obligations.

General-purpose AI models, such as the LLMs behind chat assistants, have their own rules since 2 August 2025: technical documentation, copyright policies and a summary of training content. The most capable models, deemed to carry systemic risk, must also run evaluations including adversarial testing (red teaming), report serious incidents and ensure cybersecurity.

Deadlines for the high-risk rules have been subject to later amendment proposals, so check the official sources for the current timeline. Other jurisdictions are taking different approaches, from sector-specific rules to voluntary frameworks.

Everyday use cases

  • Case 01

    Hiring software

    AI that screens job applicants counts as high-risk and needs documentation, human oversight and bias controls.

  • Case 02

    Chatbots and deepfakes

    People must be told when they are talking to an AI, and synthetic media must be labeled.

Strengths, weaknesses and when to use it

Strengths

  • The first comprehensive AI law of a major economy; risk-based, so most AI uses face few rules.

Weaknesses

  • Complex and still being clarified through guidelines, standards and amendments; compliance can be costly for smaller firms.

When to use itWhen building or deploying AI that affects people in the EU, regardless of where the company is based.

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Check yourself

  1. Q01

    Which category faces the strictest requirements without being banned?

    Show answer

    A: High-risk AI systems

  2. Q02

    What must a company typically do when deploying a customer-service chatbot under the Act?

    Show answer

    A: Tell users they are interacting with an AI

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