The announcement follows the recent launch of Meta AI features in Europe and aims to enhance the capabilities and cultural relevance of its AI systems for the region’s diverse population.   

In a statement, Meta wrote: “Today, we’re announcing our plans to train AI at Meta using public content – like public posts and comments – shared by adults on our products in the EU.

“People’s interactions with Meta AI – like questions and queries – will also be used to train and improve our models.”

Starting this week, users of Meta’s platforms (including Facebook, Instagram, WhatsApp, and Messenger) within the EU will receive notifications explaining the data usage. These notifications, delivered both in-app and via email, will detail the types of public data involved and link to an objection form.

“We have made this objection form easy to find, read, and use, and we’ll honor all objection forms we have already received, as well as newly submitted ones,” Meta explained.

Meta explicitly clarified that certain data types remain off-limits for AI training purposes.

The company says it will not “use people’s private messages with friends and family” to train its generative AI models. Furthermore, public data associated with accounts belonging to users under the age of 18 in the EU will not be included in the training datasets.

Meta wants to build AI tools designed for EU users

Meta positions this initiative as a necessary step towards creating AI tools designed for EU users. Meta launched its AI chatbot functionality across its messaging apps in Europe last month, framing this data usage as the next phase in improving the service.

“We believe we have a responsibility to build AI that’s not just available to Europeans, but is actually built for them,” the company explained. 

“That means everything from dialects and colloquialisms, to hyper-local knowledge and the distinct ways different countries use humor and sarcasm on our products.”

This becomes increasingly pertinent as AI models evolve with multi-modal capabilities spanning text, voice, video, and imagery.   

Meta also situated its actions in the EU within the broader industry landscape, pointing out that training AI on user data is common practice.

“It’s important to note that the kind of AI training we’re doing is not unique to Meta, nor will it be unique to Europe,” the statement reads. 

“We’re following the example set by others including Google and OpenAI, both of which have already used data from European users to train their AI models.”

Meta further claimed its approach surpasses others in openness, stating, “We’re proud that our approach is more transparent than many of our industry counterparts.”   

Regarding regulatory compliance, Meta referenced prior engagement with regulators, including a delay initiated last year while awaiting clarification on legal requirements. The company also cited a favourable opinion from the European Data Protection Board (EDPB) in December 2024.

“We welcome the opinion provided by the EDPB in December, which affirmed that our original approach met our legal obligations,” wrote Meta.

Broader concerns over AI training data

While Meta presents its approach in the EU as transparent and compliant, the practice of using vast swathes of public user data from social media platforms to train large language models (LLMs) and generative AI continues to raise significant concerns among privacy advocates.

Firstly, the definition of “public” data can be contentious. Content shared publicly on platforms like Facebook or Instagram may not have been posted with the expectation that it would become raw material for training commercial AI systems capable of generating entirely new content or insights. Users might share personal anecdotes, opinions, or creative works publicly within their perceived community, without envisaging its large-scale, automated analysis and repurposing by the platform owner.

Secondly, the effectiveness and fairness of an “opt-out” system versus an “opt-in” system remain debatable. Placing the onus on users to actively object, often after receiving notifications buried amongst countless others, raises questions about informed consent. Many users may not see, understand, or act upon the notification, potentially leading to their data being used by default rather than explicit permission.

Thirdly, the issue of inherent bias looms large. Social media platforms reflect and sometimes amplify societal biases, including racism, sexism, and misinformation. AI models trained on this data risk learning, replicating, and even scaling these biases. While companies employ filtering and fine-tuning techniques, eradicating bias absorbed from billions of data points is an immense challenge. An AI trained on European public data needs careful curation to avoid perpetuating stereotypes or harmful generalisations about the very cultures it aims to understand.   

Furthermore, questions surrounding copyright and intellectual property persist. Public posts often contain original text, images, and videos created by users. Using this content to train commercial AI models, which may then generate competing content or derive value from it, enters murky legal territory regarding ownership and fair compensation—issues currently being contested in courts worldwide involving various AI developers.

Finally, while Meta highlights its transparency relative to competitors, the actual mechanisms of data selection, filtering, and its specific impact on model behaviour often remain opaque. Truly meaningful transparency would involve deeper insights into how specific data influences AI outputs and the safeguards in place to prevent misuse or unintended consequences.

The approach taken by Meta in the EU underscores the immense value technology giants place on user-generated content as fuel for the burgeoning AI economy. As these practices become more widespread, the debate surrounding data privacy, informed consent, algorithmic bias, and the ethical responsibilities of AI developers will undoubtedly intensify across Europe and beyond.

(Photo by Julio Lopez)

See also: Apple AI stresses privacy with synthetic and anonymised data

Want to learn more about AI and big data from industry leaders? Check out AI & Big Data Expo taking place in Amsterdam, California, and London. The comprehensive event is co-located with other leading events including Intelligent Automation Conference, BlockX, Digital Transformation Week, and Cyber Security & Cloud Expo.

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While the US and China are often seen as frontrunners, von der Leyen emphasised that the AI race “is far from over” and that Europe has distinct strengths to carve a leading role for itself.

“This is the third summit on AI safety in just over one year,” von der Leyen remarked. “In the same period, three new generations of ever more powerful AI models have been released. Some expect models that will approach human reasoning within a year’s time.”

The European Commission President set the tone of the event by contrasting the groundwork laid in previous summits with the urgency of this one.

“Past summits focused on laying the groundwork for AI safety. Together, we built a shared consensus that AI will be safe, that it will promote our values and benefit humanity. But this Summit is focused on action. And that is exactly what we need right now.”

As the world witnesses AI’s disruptive power, von der Leyen urged Europe to “formulate a vision of where we want AI to take us, as society and as humanity.” Growing adoption, “in the key sectors of our economy, and for the key challenges of our times,” provides a golden opportunity for the continent to lead, she argued.

The case for a European approach to the AI race 

Von der Leyen rejected notions that Europe has fallen behind its global competitors.

“Too often, I hear that Europe is late to the race – while the US and China have already got ahead. I disagree,” she stated. “The frontier is constantly moving. And global leadership is still up for grabs.”

Instead of replicating what other regions are doing, she called for doubling down on Europe’s unique strengths to define the continent’s distinct approach to AI.

“Too often, I have heard that we should replicate what others are doing and run after their strengths,” she said. “I think that instead, we should invest in what we can do best and build on our strengths here in Europe, which are our science and technology mastery that we have given to the world.”

Von der Leyen defined three pillars of the so-called “European brand of AI” that sets it apart: 1) focusing on high-complexity, industry-specific applications, 2) taking a cooperative, collaborative approach to innovation, and 3) embracing open-source principles.

“This summit shows there is a distinct European brand of AI,” she asserted. “It is already driving innovation and adoption. And it is picking up speed.”

Accelerating innovation: AI factories and gigafactories  

To maintain its competitive edge, Europe must supercharge its AI innovation, von der Leyen stressed.

A key component of this strategy lies in its computational infrastructure. Europe already boasts some of the world’s fastest supercomputers, which are now being leveraged through the creation of “AI factories.”

“In just a few months, we have set up a record of 12 AI factories,” von der Leyen revealed. “And we are investing €10 billion in them. This is not a promise—it is happening right now, and it is the largest public investment for AI in the world, which will unlock over ten times more private investment.”

Beyond these initial steps, von der Leyen unveiled an even more ambitious initiative. AI gigafactories, built on the scale of CERN’s Large Hadron Collider, will provide the infrastructure needed for training AI systems at unprecedented scales. They aim to foster collaboration between researchers, entrepreneurs, and industry leaders.

“We provide the infrastructure for large computational power,” von der Leyen explained. “Talents of the world are welcome. Industries will be able to collaborate and federate their data.”

The cooperative ethos underpinning AI gigafactories is part of a broader European push to balance competition with collaboration.

“AI needs competition but also collaboration,” she emphasised, highlighting that the initiative will serve as a “safe space” for these cooperative efforts.

Building trust with the AI Act

Crucially, von der Leyen reiterated Europe’s commitment to making AI safe and trustworthy. She pointed to the EU AI Act as the cornerstone of this strategy, framing it as a harmonised framework to replace fragmented national regulations across member states.

“The AI Act [will] provide one single set of safety rules across the European Union – 450 million people – instead of 27 different national regulations,” she said, before acknowledging businesses’ concerns about regulatory complexities.

“At the same time, I know, we have to make it easier, we have to cut red tape. And we will.”

€200 billion to remain in the AI race

Financing such ambitious plans naturally requires significant resources. Von der Leyen praised the recently launched EU AI Champions Initiative, which has already pledged €150 billion from providers, investors, and industry.

During her speech at the summit, von der Leyen announced the Commission’s complementary InvestAI initiative that will bring in an additional €50 billion. Altogether, the result is mobilising a massive €200 billion in public-private AI investments.

“We will have a focus on industrial and mission-critical applications,” she said. “It will be the largest public-private partnership in the world for the development of trustworthy AI.”

Ethical AI is a global responsibility

Von der Leyen closed her address by framing Europe’s AI ambitions within a broader, humanitarian perspective, arguing that ethical AI is a global responsibility.

“Cooperative AI can be attractive well beyond Europe, including for our partners in the Global South,” she proclaimed, extending a message of inclusivity.

Von der Leyen expressed full support for the AI Foundation launched at the summit, highlighting its mission to ensure widespread access to AI’s benefits.

“AI can be a gift to humanity. But we must make sure that benefits are widespread and accessible to all,” she remarked.

“We want AI to be a force for good. We want an AI where everyone collaborates and everyone benefits. That is our path – our European way.”

See also: AI Action Summit: Leaders call for unity and equitable development

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While the full compliance requirements won’t come into force until mid-2025, the initial phase of the EU AI Act begins February 2nd and includes significant prohibitions on specific AI applications. Businesses across the globe that operate in the EU must now navigate a regulatory landscape with strict rules and high stakes.

The new regulations prohibit the deployment or use of several high-risk AI systems. These include applications such as social scoring, emotion recognition, real-time remote biometric identification in public spaces, and other scenarios deemed unacceptable under the Act.

Companies found in violation of the rules could face penalties of up to 7% of their global annual turnover, making it imperative for organisations to understand and comply with the restrictions.  

Early compliance challenges  

“It’s finally here,” says Levent Ergin, Chief Strategist for Climate, Sustainability, and AI at Informatica. “While we’re still in a phased approach, businesses’ hard-earned preparations for the EU AI Act will now face the ultimate test.”

Ergin highlights that even though most compliance requirements will not take effect until mid-2025, the early prohibitions set a decisive tone.

“For businesses, the pressure in 2025 is twofold. They must demonstrate tangible ROI from AI investments while navigating challenges around data quality and regulatory uncertainty. It’s already the perfect storm, with 89% of large businesses in the EU reporting conflicting expectations for their generative AI initiatives. At the same time, 48% say technology limitations are a major barrier to moving AI pilots into production,” he remarks.

Ergin believes the key to compliance and success lies in data governance.

“Without robust data foundations, organisations risk stagnation, limiting their ability to unlock AI’s full potential. After all, isn’t ensuring strong data governance a core principle that the EU AI Act is built upon?”

To adapt, companies must prioritise strengthening their approach to data quality.

“Strengthening data quality and governance is no longer optional, it’s critical. To ensure both compliance and prove the value of AI, businesses must invest in making sure data is accurate, holistic, integrated, up-to-date and well-governed,” says Ergin.

“This isn’t just about meeting regulatory demands; it’s about enabling AI to deliver real business outcomes. As 82% of EU companies plan to increase their GenAI investments in 2025, ensuring their data is AI-ready will be the difference between those who succeed and those who remain in the starting blocks.”

EU AI Act has no borders

The extraterritorial scope of the EU AI Act means non-EU organisations are assuredly not off the hook. As Marcus Evans, a partner at Norton Rose Fulbright, explains, the Act applies far beyond the EU’s borders.

“The AI Act will have a truly global application,” says Evans. “That’s because it applies not only to organisations in the EU using AI or those providing, importing, or distributing AI to the EU market, but also AI provision and use where the output is used in the EU. So, for instance, a company using AI for recruitment in the EU – even if it is based elsewhere – would still be captured by these new rules.”  

Evans advises businesses to start by auditing their AI use. “At this stage, businesses must first understand where AI is being used in their organisation so that they can then assess whether any use cases may trigger the prohibitions. Building on that initial inventory, a wider governance process can then be introduced to ensure AI use is assessed, remains outside the prohibitions, and complies with the AI Act.”  

While organisations work to align their AI practices with the new regulations, additional challenges remain. Compliance requires addressing other legal complexities such as data protection, intellectual property (IP), and discrimination risks.  

Evans emphasises that raising AI literacy within organisations is also a critical step.

“Any organisations in scope must also take measures to ensure their staff – and anyone else dealing with the operation and use of their AI systems on their behalf – have a sufficient level of AI literacy,” he states.

“AI literacy will play a vital role in AI Act compliance, as those involved in governing and using AI must understand the risks they are managing.”

Encouraging responsible innovation  

The EU AI Act is being hailed as a milestone for responsible AI development. By prohibiting harmful practices and requiring transparency and accountability, the regulation seeks to balance innovation with ethical considerations.

“This framework is a pivotal step towards building a more responsible and sustainable future for artificial intelligence,” says Beatriz Sanz Sáiz, AI Sector Leader at EY Global.

Sanz Sáiz believes the legislation fosters trust while providing a foundation for transformative technological progress.

“It has the potential to foster further trust, accountability, and innovation in AI development, as well as strengthen the foundations upon which the technology continues to be built,” Sanz Sáiz asserts.

“It is critical that we focus on eliminating bias and prioritising fundamental rights like fairness, equity, and privacy. Responsible AI development is a crucial step in the quest to further accelerate innovation.”

What’s prohibited under the EU AI Act?  

To ensure compliance, businesses need to be crystal-clear on which activities fall under the EU AI Act’s strict prohibitions. The current list of prohibited activities includes:  

• Harmful subliminal, manipulative, and deceptive techniques  
• Harmful exploitation of vulnerabilities  
• Unacceptable social scoring  
• Individual crime risk assessment and prediction (with some exceptions)  
• Untargeted scraping of internet or CCTV material to develop or expand facial recognition databases  
• Emotion recognition in areas such as the workplace and education (with some exceptions)  
• Biometric categorisation to infer sensitive categories (with some exceptions)  
• Real-time remote biometric identification (RBI) in publicly accessible spaces for law enforcement purposes (with some exceptions)  

The Commission’s forthcoming guidance on which “AI systems” fall under these categories will be critical for businesses seeking to ensure compliance and reduce legal risks. Additionally, companies should anticipate further clarification and resources at the national and EU levels, such as the upcoming webinar hosted by the AI Office.

A new landscape for AI regulations

The early implementation of the EU AI Act represents just the beginning of what is a remarkably complex and ambitious regulatory endeavour. As AI continues to play an increasingly pivotal role in business strategy, organisations must learn to navigate new rules and continuously adapt to future changes.  

For now, businesses should focus on understanding the scope of their AI use, enhancing data governance, educating staff to build AI literacy, and adopting a proactive approach to compliance. By doing so, they can position themselves as leaders in a fast-evolving AI landscape and unlock the technology’s full potential while upholding ethical and legal standards.

(Photo by Guillaume Périgois)

See also: ChatGPT Gov aims to modernise US government agencies

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The development of this draft has been a collaborative effort, involving input from diverse sectors including industry, academia, and civil society. The initiative was led by four specialised Working Groups, each addressing specific aspects of AI governance and risk mitigation:

• Working Group 1: Transparency and copyright-related rules
• Working Group 2: Risk identification and assessment for systemic risk
• Working Group 3: Technical risk mitigation for systemic risk
• Working Group 4: Governance risk mitigation for systemic risk

The draft is aligned with existing laws such as the Charter of Fundamental Rights of the European Union. It takes into account international approaches, striving for proportionality to risks, and aims to be future-proof by contemplating rapid technological changes.

Key objectives outlined in the draft include:

• Clarifying compliance methods for providers of general-purpose AI models
• Facilitating understanding across the AI value chain, ensuring seamless integration of AI models into downstream products
• Ensuring compliance with Union law on copyrights, especially concerning the use of copyrighted material for model training
• Continuously assessing and mitigating systemic risks associated with AI models

Recognising and mitigating systemic risks

A core feature of the draft is its taxonomy of systemic risks, which includes types, natures, and sources of such risks. The document outlines various threats such as cyber offences, biological risks, loss of control over autonomous AI models, and large-scale disinformation. By acknowledging the continuously evolving nature of AI technology, the draft recognises that this taxonomy will need updates to remain relevant.

As AI models with systemic risks become more common, the draft emphasises the need for robust safety and security frameworks (SSFs). It proposes a hierarchy of measures, sub-measures, and key performance indicators (KPIs) to ensure appropriate risk identification, analysis, and mitigation throughout a model’s lifecycle.

The draft suggests that providers establish processes to identify and report serious incidents associated with their AI models, offering detailed assessments and corrections as needed. It also encourages collaboration with independent experts for risk assessment, especially for models posing significant systemic risks.

Taking a proactive stance to AI regulatory guidance

The EU AI Act, which came into force on 1 August 2024, mandates that the final version of this Code be ready by 1 May 2025. This initiative underscores the EU’s proactive stance towards AI regulation, emphasising the need for AI safety, transparency, and accountability.

As the draft continues to evolve, the working groups invite stakeholders to participate actively in refining the document. Their collaborative input will shape a regulatory framework aimed at safeguarding innovation while protecting society from the potential pitfalls of AI technology.

While still in draft form, the EU’s Code of Practice for general-purpose AI models could set a benchmark for responsible AI development and deployment globally. By addressing key issues such as transparency, risk management, and copyright compliance, the Code aims to create a regulatory environment that fosters innovation, upholds fundamental rights, and ensures a high level of consumer protection.

This draft is open for written feedback until 28 November 2024. 

See also: Anthropic urges AI regulation to avoid catastrophes

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The legislation establishes a first-of-its-kind regulatory framework for AI systems, employing a risk-based approach that categorises AI applications based on their potential impact on safety, human rights, and societal wellbeing.

“Some systems are banned entirely, while systems deemed ‘high-risk’ are subject to stricter requirements and assessments before deployment,” explains the DPO Centre, a data protection consultancy.

Similar to GDPR, the Act’s extra-territorial reach means it applies to any organisation marketing, deploying, or using AI systems within the EU, regardless of where the system is developed. Businesses will be classified primarily as either ‘Providers’ or ‘Deployers,’ with additional categories for ‘Distributors,’ ‘Importers,’ ‘Product Manufacturers,’ and ‘Authorised Representatives.’

For organisations developing or deploying AI systems, particularly those classified as high-risk, compliance preparation promises to be complex. However, experts suggest viewing this as an opportunity rather than a burden.

“By embracing compliance as a catalyst for more transparent AI usage, businesses can turn regulatory demands into a competitive advantage,” notes the DPO Centre.

Key preparation strategies include comprehensive staff training, establishing robust corporate governance, and implementing strong cybersecurity measures. The legislation’s requirements often overlap with existing GDPR frameworks, particularly regarding transparency and accountability.

Organisations must also adhere to ethical AI principles and maintain clear documentation of their systems’ functionality, limitations, and intended use. The EU is currently developing specific codes of practice and templates to assist with compliance obligations.

For businesses uncertain about their obligations, experts recommend seeking professional guidance early. Tools like the EU AI Act Compliance Checker can help organisations verify their systems’ alignment with regulatory requirements.

Rather than viewing compliance as merely a regulatory burden, forward-thinking organisations should view the EU’s AI Act as an opportunity to demonstrate commitment to responsible AI development and build greater trust with their customers.

See also: AI governance gap: 95% of firms haven’t implemented frameworks

Want to learn more about AI and big data from industry leaders? Check out AI & Big Data Expo taking place in Amsterdam, California, and London. The comprehensive event is co-located with other leading events including Intelligent Automation Conference, BlockX, Digital Transformation Week, and Cyber Security & Cloud Expo.

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The collective voice of these industry leaders highlights a pressing issue: Europe’s bureaucratic approach to AI regulation may be stifling innovation and causing the region to lag behind its global counterparts.

“Europe has become less competitive and less innovative compared to other regions and it now risks falling further behind in the AI era due to inconsistent regulatory decision making,” the letter states, painting a stark picture of the continent’s current position in the AI race.

The signatories emphasise two key areas of concern. Firstly, they point to the development of ‘open’ models, which are freely available for use, modification, and further development. These models are lauded for their potential to “multiply the benefits and spread social and economic opportunity” while simultaneously bolstering sovereignty and control.

Secondly, the letter underscores the importance of ‘multimodal’ models, which integrate text, images, and speech capabilities. The signatories argue that the leap from text-only to multimodal models is akin to “the difference between having only one sense and having all five of them”. They assert that these advanced models could significantly boost productivity, drive scientific research, and inject hundreds of billions of euros into the European economy.

However, the crux of the matter lies in the regulatory landscape. The letter expresses frustration with the uncertainty surrounding data usage for AI model training, stemming from interventions by European Data Protection Authorities. This ambiguity, they argue, could result in Large Language Models (LLMs) lacking crucial Europe-specific training data.

To address these challenges, the signatories call for “harmonised, consistent, quick and clear decisions under EU data regulations that enable European data to be used in AI training for the benefit of Europeans”. They stress the need for “decisive action” to unlock Europe’s potential for creativity, ingenuity, and entrepreneurship, which they believe is essential for the region’s prosperity and technological leadership.

A copy of the letter can be found below:

While the letter acknowledges the importance of consumer protection, it also highlights the delicate balance regulators must strike to avoid hindering commercial progress. The European Commission’s approach to regulation has often been criticised for its perceived heavy-handedness, and this latest appeal from industry leaders adds weight to growing concerns about the region’s global competitiveness in the AI sector.

The pressure is rapidly mounting on European policymakers to create a regulatory environment that fosters innovation while maintaining appropriate safeguards. The coming months will likely see intensified dialogue between industry stakeholders and regulators as they grapple with these complex issues that will shape the future of AI development in Europe.

(Photo by Sara Kurfeß)

See also: SolarWinds: IT professionals want stronger AI regulation

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Curtis Wilson, Staff Data Engineer at Synopsys’ Software Integrity Group, believes the new regulation could be a crucial step in addressing the AI industry’s most pressing challenge: building trust.

“The greatest problem facing AI developers is not regulation, but a lack of trust in AI,” Wilson stated. “For an AI system to reach its full potential, it needs to be trusted by the people who use it.”

This sentiment is echoed by Paul Cardno, Global Digital Automation & Innovation Senior Manager at 3M, who noted, “With nearly 80% of UK adults now believing AI needs to be heavily regulated, the introduction of the EU’s AI Act is something that businesses have been long-waiting for.”

Both experts emphasise the Act’s potential to foster confidence in AI technologies. Wilson explained that while his company has implemented internal measures to build trust, external regulation is equally important.

“I see regulatory frameworks like the EU AI Act as an essential component to building trust in AI,” Wilson said. “The strict rules and punishing fines will deter careless developers and help customers feel more confident in trusting and using AI systems.”

Cardno added, “We know that AI is shaping the future, but companies will only be able to reap the rewards if they have the confidence to rethink existing processes and break away from entrenched structures.”

The EU AI Act primarily focuses on high-risk systems and foundational models. Wilson noted that many of its requirements align with existing best practices in data science, such as risk management, testing procedures, and comprehensive documentation.

For UK businesses, the impact of the EU AI Act extends beyond those directly selling to EU markets. 

Wilson pointed out that certain aspects of the Act may apply to Northern Ireland due to the Windsor Framework. Additionally, the UK government is developing its own AI regulations, with a recent whitepaper emphasising interoperability with EU and US regulations.

“While the EU Act isn’t perfect, and needs to be assessed in relation to other global regulations, having a clear framework and guidance on AI from one of the world’s major economies will help encourage those who remain on the fence to tap into the AI revolution,” Cardno explained.

While acknowledging that the new regulations may create some friction, particularly around registration and certification, Wilson emphasised that many of the Act’s obligations are already standard practice for responsible companies. However, he recognised that small companies and startups might face greater challenges.

“Small companies and start-ups will experience issues more strongly,” Wilson said. “The regulation acknowledges this and has included provisions for sandboxes to foster AI innovation for these smaller businesses.”

However, Wilson notes that these sandboxes will be established at the national level by individual EU member states, potentially limiting access for UK businesses.

As the AI landscape continues to evolve, the EU AI Act represents a significant step towards establishing a framework for responsible AI development and deployment.

“Having a clear framework and guidance on AI from one of the world’s major economies will help encourage those who remain on the fence to tap into the AI revolution, ensuring it has a safe, positive ongoing influence for all organisations operating across the EU, which can only be a promising step forwards for the industry,” concludes Cardno.

(Photo by Guillaume Périgois)

See also: UAE blocks US congressional meetings with G42 amid AI transfer concerns

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This decision from Meta comes on the heels of Apple’s similar move to exclude the EU from its Apple Intelligence rollout, signalling a growing trend of tech giants hesitating to introduce advanced AI technologies in the region.

Meta’s latest multimodal AI model – capable of handling video, audio, images, and text – was set to be released under an open license. However, Meta’s decision will prevent European companies from utilising this technology, potentially putting them at a disadvantage in the global AI race.

“We will release a multimodal Llama model over the coming months, but not in the EU due to the unpredictable nature of the European regulatory environment,” a Meta spokesperson stated.

A text-only version of Meta’s Llama 3 model is still expected to launch in the EU.

Meta’s announcement comes just days after the EU finalised compliance deadlines for its new AI Act. Tech companies operating in the EU will have until August 2026 to comply with rules surrounding copyright, transparency, and specific AI applications like predictive policing.

The withholding of these advanced AI models from the EU market creates a challenging situation for companies outside the region. Those hoping to provide products and services utilising these models will be unable to offer them in one of the world’s largest economic markets.

Meta plans to integrate its multimodal AI models into products like the Meta Ray-Ban smart glasses. The company’s EU exclusion will extend to future multimodal AI model releases as well.

As more tech giants potentially follow suit, the EU may face challenges in maintaining its position as a leader in technological innovation while balancing concerns about AI’s societal impacts.

(Photo by engin akyurt)

See also: AI could unleash £119 billion in UK productivity

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According to a Bloomberg report on July 10, citing an anonymous source familiar with the matter, Microsoft has officially communicated its withdrawal from the OpenAI board. This move comes approximately a year after the Redmond-based company made a substantial $13 billion investment in OpenAI in April 2023.

In a memo addressed to OpenAI, Microsoft stated: “Over the past eight months we have witnessed significant progress from the newly formed board and are confident in the company’s direction.” The tech giant added, “We no longer believe our limited role as an observer is necessary.”

Contrary to recent reports suggesting that Apple would secure an observer role on OpenAI’s board as part of a landmark agreement announced in June, it appears that OpenAI will now have no board observers following Microsoft’s departure.

Responding to these developments, OpenAI expressed gratitude towards Microsoft, stating, “We’re grateful to Microsoft for voicing confidence in the board and the direction of the company, and we look forward to continuing our successful partnership.”

This retreat from board involvement by major tech players occurs against a backdrop of mounting regulatory pressure. Concerns about the potential impact of big tech on AI development and industry dominance have prompted increased scrutiny from regulatory bodies worldwide.

In June, European Union regulators announced that OpenAI could face an EU antitrust investigation over its partnership with Microsoft. EU competition chief Margrethe Vestager also revealed plans for local regulators to seek additional third-party views and survey firms such as Microsoft, Google, Meta, and ByteDance’s TikTok regarding their AI partnerships.

The decision by Microsoft and Apple to step back from board positions at OpenAI could be interpreted as a strategic move to mitigate potential regulatory challenges. By maintaining a more arm’s length relationship with the AI firm, these tech giants may be attempting to avoid accusations of undue influence or control over AI development.

Alex Haffner, a competition partner at Fladgate, said:

“It is hard not to conclude that Microsoft’s decision has been heavily influenced by the ongoing competition/antitrust scrutiny of its (and other major tech players) influence over emerging AI players such as Open AI.

Microsoft scored a ‘win’ in this regard at the end of June when the EU Commission announced it was dropping its merger control probe of Microsoft and Open AI, an investigation originally announced when Open AI re-shaped its board structure at the time of Sam Altman’s on-off departure from the company.

However, the Commission confirmed it was still looking at the competitive impact of the broader arrangements between the parties and it is clear that regulators are very much focussed on the complex web of interrelationships that big tech has created with AI providers, hence the need for Microsoft and others to carefully consider how they structure these arrangements going forward.”

As AI continues to play an increasingly critical role in technological advancement and societal change, the balance between innovation, competition, and regulation remains a complex challenge for both industry players and policymakers.

The coming months will likely see continued scrutiny of AI partnerships and investments, as regulators worldwide grapple with the task of ensuring fair competition and responsible AI development.

(Photo by Andrew Neel)

See also: Nvidia: World’s most valuable company under French antitrust fire

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The primary goal of this office is to promote the “future development, deployment and use” of AI technologies, aiming to harness their societal and economic benefits while mitigating associated risks. By focusing on innovation and safety, the office seeks to position the EU as a global leader in AI regulation and development.

According to Margerthe Vertager, the EU competition chief, the new office will play a “key role” in implementing the AI Act, particularly with regard to general-purpose AI models. She stated, “Together with developers and a scientific community, the office will evaluate and test general-purpose AI to ensure that AI serves us as humans and upholds our European values.”

Sridhar Iyengar, Managing Director for Zoho Europe, welcomed the establishment of the AI office, noting, “The establishment of the AI office in the European Commission to play a key role with the implementation of the EU AI Act is a welcome sign of progress, and it is encouraging to see the EU positioning itself as a global leader in AI regulation. We hope to continue to see collaboration between governments, businesses, academics and industry experts to guide on safe use of AI to boost business growth.”

Iyengar highlighted the dual nature of AI’s impact on businesses, pointing out both its benefits and concerns. He emphasised the importance of adhering to best practice guidance and legislative guardrails to ensure safe and ethical AI adoption.

“AI can drive innovation in business tools, helping to improve fraud detection, forecasting, and customer data analysis to name a few. These benefits not only have the potential to elevate customer experience but can increase efficiency, present insights, and suggest actions to drive further success,” Iyengar said.

The office will be staffed by more than 140 individuals, including technology specialists, administrative assistants, lawyers, policy specialists, and economists. It will consist of various units focusing on regulation and compliance, as well as safety and innovation, reflecting the multifaceted approach needed to govern AI effectively.

Rachael Hays, Transformation Director for Definia, part of The IN Group, commented: “The establishment of a dedicated AI Office within the European Commission underscores the EU’s commitment to both innovation and regulation which is undoubtedly crucial in this rapidly evolving AI landscape.”

Hays also pointed out the potential for workforce upskilling that this initiative provides. She referenced findings from their Tech and the Boardroom research, which revealed that over half of boardroom leaders view AI as the biggest direct threat to their organisations.

“This initiative directly addresses these fears as employees across various sectors are given the opportunity to adapt and thrive in an AI-driven world. The AI Office offers promising hope and guidance in developing economic benefits while mitigating risks associated with AI technology, something we should all get on board with,” she added.

As the EU takes these steps towards comprehensive AI governance, the office’s work will be pivotal in driving forward both innovation and safety in the field.

(Photo by Sara Kurfeß)

See also: Elon Musk’s xAI secures $6B to challenge OpenAI in AI race

Want to learn more about AI and big data from industry leaders? Check out AI & Big Data Expo taking place in Amsterdam, California, and London. The comprehensive event is co-located with other leading events including Intelligent Automation Conference, BlockX, Digital Transformation Week, and Cyber Security & Cloud Expo.

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“Making up false information is quite problematic in itself. But when it comes to false information about individuals, there can be serious consequences,” said Maartje de Graaf, Data Protection Lawyer at noyb. 

“It’s clear that companies are currently unable to make chatbots like ChatGPT comply with EU law when processing data about individuals. If a system cannot produce accurate and transparent results, it cannot be used to generate data about individuals. The technology has to follow the legal requirements, not the other way around.”

The GDPR requires that personal data be accurate, and individuals have the right to rectification if data is inaccurate, as well as the right to access information about the data processed and its sources. However, OpenAI has openly admitted that it cannot correct incorrect information generated by ChatGPT or disclose the sources of the data used to train the model.

“Factual accuracy in large language models remains an area of active research,” OpenAI has argued.

The advocacy group highlights a New York Times report that found chatbots like ChatGPT “invent information at least 3 percent of the time – and as high as 27 percent.” In the complaint against OpenAI, noyb cites an example where ChatGPT repeatedly provided an incorrect date of birth for the complainant, a public figure, despite requests for rectification.

“Despite the fact that the complainant’s date of birth provided by ChatGPT is incorrect, OpenAI refused his request to rectify or erase the data, arguing that it wasn’t possible to correct data,” noyb stated.

OpenAI claimed it could filter or block data on certain prompts, such as the complainant’s name, but not without preventing ChatGPT from filtering all information about the individual. The company also failed to adequately respond to the complainant’s access request, which the GDPR requires companies to fulfil.

“The obligation to comply with access requests applies to all companies. It is clearly possible to keep records of training data that was used to at least have an idea about the sources of information,” said de Graaf. “It seems that with each ‘innovation,’ another group of companies thinks that its products don’t have to comply with the law.”

European privacy watchdogs have already scrutinised ChatGPT’s inaccuracies, with the Italian Data Protection Authority imposing a temporary restriction on OpenAI’s data processing in March 2023 and the European Data Protection Board establishing a task force on ChatGPT.

In its complaint, noyb is asking the Austrian Data Protection Authority to investigate OpenAI’s data processing and measures to ensure the accuracy of personal data processed by its large language models. The advocacy group also requests that the authority order OpenAI to comply with the complainant’s access request, bring its processing in line with the GDPR, and impose a fine to ensure future compliance.

You can read the full complaint here (PDF)

(Photo by Eleonora Francesca Grotto)

See also: Igor Jablokov, Pryon: Building a responsible AI future

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The post OpenAI faces complaint over fictional outputs appeared first on AI News.

Mistral AI stated that Mistral Large outscored most major LLMs except for OpenAI’s recently launched GPT-4 in tests of language understanding. It also performed strongly in maths and coding assessments.

Co-founder and Chief Scientist Guillaume Lample said Mistral Large represents a major advance over earlier Mistral models. The company also launched a chatbot interface named Le Chat to allow users to interact with the system, similar to ChatGPT.  

The proprietary model boasts fluency in English, French, Spanish, German, and Italian, with a vocabulary exceeding 20,000 words. While Mistral’s first model was open-source, Mistral Large’s code remains closed like systems from OpenAI and other firms.  

Mistral AI received nearly $500 million in funding late last year from backers such as Nvidia and Andreessen Horowitz. It also recently partnered with Microsoft to provide access to Mistral Large through Azure cloud services.  

Microsoft’s investment of €15 million into Mistral AI is set to face scrutiny from European Union regulators who are already analysing the tech giant’s ties to OpenAI, maker of market-leading models like GPT-3 and GPT-4. The European Commission said Tuesday it will review Microsoft’s deal with Mistral, which could lead to a formal probe jeopardising the partnership.

Microsoft has focused most of its AI efforts on OpenAI, having invested around $13 billion into the California company. Those links are now also under review in both the EU and UK for potential anti-competitive concerns. 

Pricing for the Mistral Large model starts at $8 per million tokens of input and $24 per million output tokens. The system will leverage Azure’s computing infrastructure for training and deployment needs as Mistral AI and Microsoft partner on AI research as well.

While third-party rankings have yet to fully assess Mistral Large, the firm’s earlier Mistral Medium ranked 6th out of over 60 language models. With the latest release, Mistral AI appears positioned to challenge dominant players in the increasingly crowded AI space.

(Photo by Joshua Golde on Unsplash)

See also: Stability AI previews Stable Diffusion 3 text-to-image model

Want to learn more about AI and big data from industry leaders? Check out AI & Big Data Expo taking place in Amsterdam, California, and London. The comprehensive event is co-located with other leading events including BlockX, Digital Transformation Week, and Cyber Security & Cloud Expo.

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