The EU’s proposed AI Regulation

Governance and penalties

The AI Regulation proposes the establishment of a new European Artificial Intelligence Board composed of representatives from the Member States and the Commission to assist with implementation. Its intended role seems to be similar to that of the European Data Protection Board (EDPB), as regards GDPR.

The AI Regulation provides for a significant set of tiered fines:

30m EUR or 6% of total worldwide annual turnover for non-compliance with the prohibition on unacceptable-risk AI systems or the data governance requirements.
20m EUR or up to 4% of total worldwide annual turnover for supply of incorrect, incomplete or misleading information to notified bodies or national competent authorities, in reply to a request.
20m EUR or up to 4% of total worldwide annual turnover for supply of incorrect, incomplete or misleading information to notified bodies/national competent authorities, in reply to a request.