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Europe’s rushed attempt to set the rules for AI

The EU says its pioneering legislation will protect humans from AI’s dangers. Critics say it is undercooked and will stifle innovation

Andreas Cleve has lots on his mind as chief executive of Danish healthcare start-up Corti — wooing new investors, convincing clinicians to use his company’s “AI co-pilot” and keeping up with the latest breakthroughs in generative artificial intelligence.

But he fears that efforts like these will be made harder by a new concern: the EU’s new Artificial Intelligence Act, a first-of-its-kind law aimed at ensuring ethical use of the technology. Many tech start-ups are concerned that the well-intentioned legislation might end up smothering the emerging industry in red tape.

The costs of compliance — which European officials admit could run into six-figure sums for a company with 50 employees — amount to an extra “tax” on the bloc’s small enterprises, Cleve says.

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