On 1 August 2024, the regulation laying down harmonised rules on Artificial Intelligence (Artificial Intelligence Act) enters into force, 20 days following its publication in the Official Journal, with a grace period on its implementation. The Act includes conformity assessment and business registration requirements for "high-risk AI systems", contingent upon meeting a set of requirements and obligations for entry into the EU market. The Act includes obligations related to data quality and technical documentation with the aim of ensuring that small and medium-sized enterprises are able to demonstrate compliance with the requirements for their high-risk AI systems. Furthermore, the Act empowers individuals by allowing them to file complaints with relevant market surveillance authorities regarding non-compliance with the AI Act. In terms of enforcement, the AI Act introduces fines for violations, calculated as a percentage of the offending company's global annual turnover. The fines are tiered, EUR 35 million or 7% for prohibited AI applications, EUR 15 million or 3% for violations of the Act's obligations, and EUR 7.5 million or 1.5% for supplying incorrect information. The Act is generally implemented on 2 August 2026 after the lapse of the grace period, though some sections are subject to variable implementation periods. For high-risk AI systems as defined by Article 6(1), the Act only applies from 2 August 2027.
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