Big tech companies emboldened by support from the Trump administration are intensifying their efforts to challenge EU regulations, including the Artificial Intelligence Act (AI Act) and Digital Markets Act (DMA). A recent trip to Europe by US Vice-President JD Vance has done nothing to quell their enthusiasm after Vance openly criticised the EU's "onerous international" rules and advocated for AI regulation that does "not strangle" innovation.
Meanwhile, Executive Vice-president of the European Commission for Technological Sovereignty, Security and Democracy Henna Virkkunen reiterated Europe's commitment to enforcing its rules, despite the Commission recently withdrawing its planned AI Liability Directive over a desire to encourage AI investment. However, the move has been interpreted by some commentators as a potential concession to US tech companies.
The upcoming GPAI Code of Practice is a key battleground, with Meta already declaring its refusal to sign up, arguing that it imposes "unworkable" requirements. Meta, having felt unsupported by the Biden administration, now believes the current US administration shares its views and can exert greater pressure on the EU. An open letter signed by Meta and 50 other organisations in September 2024 argued that Europe's regulatory framework stifles AI innovation and competitiveness compared to other regions.
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