Sometimes it feels like the EU is a very strict place. The region has implemented a variety of laws over the years in a bid to regulate tech giants. Now, with AI playing a central focus in the tech scene, interestingly enough, the EU has decided to scrap its plans for rules that would govern AI liability.
Withdrawing proposed regulations
On the 12th of February, the European Commission withdrew proposed regulations for the tech industry. This included technology patents, AI liability, and online privacy. The Commission stated that it withdrew these proposals primarily because there is a slim chance that EU lawmakers and member states will approve them.
Unsurprisingly, when the draft was initially proposed, it faced significant opposition from various industries and major tech companies. One of those proposals included the AI Liability Directive, which was introduced in 2022. Had this become law, it would have allowed consumers to sue for compensation. The proposal would clearly define rules for damages and assign responsibility when AI systems cause harm.
Despite this, the EU will actively ensure that AI companies and technologies do not operate unchecked. According to Rod Freeman, head of law firm Cooley’s global products practice, “We should not assume this move signals a change in policy direction for the Commission when it comes to the regulation of AI. We have ground-breaking new laws on the books now in Europe governing AI, the impact of which we are still yet to see.”
Other scrapped proposals
In addition to scrapping plans for establishing AI liability in the EU, the Commission has also dropped plans for its other tech-related proposals. The list includes plans to regulate standard essential patents used for telecom equipment, mobile phones, computers, connected cars, and smart devices.
The goal is to put an end to expensive and drawn-out litigation over royalties. Companies like Nokia, Ericsson, and Qualcomm own these types of patents. In fact, some tech giants such as Apple and Google have run into legal issues as a result of this.
The Commission has also scrapped its ePrivacy Regulation plan. This plan would make messenger platforms like WhatsApp and Skype follow the same privacy rules as telecoms. It would have forced these platforms to follow a similar standard on the collection and handling of user data. The Commission acknowledged that it wouldn’t expect an agreement from co-legislators. It also admitted that since its initial proposal in 2017, it is now “outdated in view of some recent legislation.”
