Preparing for the EU AI Act: Part 2 Monday,

1. Introductory highlights from the negotiations kai zenner<br>

2. Introductory REMARKS ON EU AI ACT FINAL TEXT LAUREN CUYVERS (SIDLEY, lcuyvers@sidley.com)<br>

SIDLEY AUSTIN LLP EU AI Act – Recap 6<br>

SIDLEY AUSTIN LLP Unacceptable Risk AI system = prohibited Examples: Real-time remote biometric identification in public spaces by law enforcement except for when investigating serious crimes, social scoring, emotion recognition in the workplace and education institutions (exc.), untargeted scraping of internet or CCTV for facial images to build databases High Risk AI system = regulated
Examples: AI used in relation to certain products under certain conditions e.g. machinery, radio equipment, medical devices, civil aviation (security), automotive and deployment of AI in the context of certain use cases e.g. HR/recruitment tools, education, critical infrastructure, creditworthiness evaluation
Most obligations imposed on providers, e.g.:
Conformity assessment & CE marking
Quality management system
Data governance & cybersecurity
Transparency and human oversight;
Also obligations imposed on users/deployers, e.g.: human oversight, data governance, transparency, incident reporting and, for certain high-risk systems, a fundamental rights impact assessment (FRIA), implement measures to ensure compliance with AI Act and instructions of use Limited Risk Minimal Risk AI system = not regulated
All other types of AI systems not falling in one of the categories above – e.g. e-mail spam filter AI system = regulated
Mainly transparency obligations – e.g. chatbots, deep fakes EU AI Act – Risk-Based Regulation 7 GPAI AI system = regulated
Obligations mimic those imposed on high-risk AI
Providers of high-impact / systemic risk GPAI (>10^25 FLOP) are subject to more onerous requirements<br>

Governance and Enforcement Key Agreements Reached in Final Text Fundamental Rights Impact Assessment SIDLEY AUSTIN LLP Use of AI for real-time remote biometric identification by law enforcement in public spaces

Individual predictive policing

Untargeted scraping of facial images to create or expand facial recognition database Specific Exemptions General-Purpose AI Models (GPAI) Specific exemptions / carve-outs included e.g. scientific research exemption and AI used to perform “narrow procedural task” or to improve results of previously completed human activity FRIA obligations were toned down and now only apply to specific (and not all) deployers of AI

Alignment with data protection impact assessment (DPIA) process New requirements for GPAI

More onerous requirements for GPAI with “systemic risk” (>10^25 FLOPs)

Compliance through codes of practice and inclusion of copyright related obligations More centralised enforcement model for GPAI models through AI Office

Scientific panel of independent experts & advisory forum with stakeholder input

EU MS authorities enforce AI Act for non-GPAI<br>

Overview – Key AI Deployer or “User” Obligations SIDLEY AUSTIN LLP<br>

3. PANEL DISCUSSIONMonika Tomczak-Gorlikowska johan Wisenborn Pagona Tsormpatzoudi jean-marc leclercMODERATED BY WILLIAM RM LONG (SIDLEY, wlong@sidley.com)<br>

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