EU tech coalition warns of over-regulating AI prior to EU AI Act finalization

cointelegraph.com:

A group of businesses and tech companies have issued a joint letter to European Union regulators warning against over-policing powerful artificial intelligence (AI) systems at the sacrifice of innovation. 

The letter was sent on Nov. 23 and undersigned by 33 companies working in the EU, stressing that too-stringent regulations for foundation models, like Chat GPT, and general AI (GPAI) could drive necessary innovation from the region.

It pointed out data that shows only 8% of companies in Europe use AI, which doesn’t come close to the EU Commission’s 2030 goal of 75%. Additionally, only 3% of the world’s AI unicorns come from the EU.

The companies stressed that for Europe to develop into a “global digital powerhouse,” it needs companies leading in AI via foundation models and GPAI -  two AI technologies under close scrutiny in the forthcoming EU legislation. 

Related: Greece establishes AI advisory committee to create national strategy

In addition to stressing the importance of not over-regulating the technologies, the companies also suggested solutions for EU leaders.

This included reducing compliance costs for companies, focusing on regulating high-risk use cases and not specific technologies and clarifying where there are already overlaps in existing legislation.

This development comes as the EU is working on finalizing its landmark EU AI Act, which was initially passed back in June and is currently undergoing reviews and revisions from member states. 

Shortly after the initial act was passed, another letter was signed by 160 executives in the tech industry urging EU officials on the implications of too-strict AI regulations.

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