Amazon, Google, Microsoft Sign EU AI Code Ahead of Historic EU AI Act Enforcement

Relevance: GS Paper 2 – International Relations & Governance

Tech giants like Amazon, Google, Microsoft, IBM, and others have voluntarily signed the EU Commission’s AI Code of Practice on General Purpose AI (GPAI), a historic step that signals increased corporate accountability in AI governance. The EU AI Act’s binding regulations, which are expected to take effect in two years, are preceded by this voluntary framework, which is centered on transparency, safety, copyright compliance, and the ethical deployment of AI. The way Big Tech companies align with ethical AI standards, algorithmic transparency, and responsible AI practices in Europe’s digital ecosystem has changed significantly as the European Union tightens its regulatory grip on emerging technologies.

About  EU Al Act

The EU Al Act is the first comprehensive Al law in history. It applies various regulations to Al based on the risk they cause, adopting a risk-based approach to regulation.

• With a direct effect on companies utilizing generative Al through their value chains and third-party risk management, it guarantees more transparent accountability for Al suppliers.
• The EU Al Act, which aims to guarantee Al’s beneficial rather than detrimental effects on people globally, is expected to become a global standard, much like the General Data Protection Regulation (GDPR).

India’s Al regulations

There is no law in India that particularly regulates Al.

• Rather, it has directed its resources toward a government initiative intended to facilitate Al’s growth and uptake.
• Fostering an inventive, competent, secure, and reliable Al ecosystem is the goal of the IndiaAl mission.

Important issues brought forward by businesses

The code goes beyond the parameters of the upcoming Al Act and creates legal ambiguities for model developers. Europe’s competitiveness may be impacted by administrative hurdles and complex regulations.

Mains: 

Question: With increasing reliance on AI technologies, private corporations are being urged to take voluntary steps toward responsible AI development. Evaluate the effectiveness of voluntary codes such as the EU AI Code of Practice in ensuring ethical AI practices. Should India adopt a similar voluntary compliance model?

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MCQs:

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Question: With reference to the EU AI Code of Practice on General Purpose AI (GPAI), consider the following statements:

1. It is a legally binding code applicable to all AI systems used in the EU.
2. The code includes provisions related to transparency, copyright, and safety & security.
3. Companies signing the code may benefit from smoother compliance with the forthcoming EU AI Act.

Which of the statements given above is/are correct?

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. 1, 2 and 3

Answer: B

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