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What is the EU AI Act and what does it mean for a business?

Short answer

The EU Artificial Intelligence Act (Regulation 2024/1689) is the law that regulates the development and use of AI systems in the EU according to their level of risk. It entered into force on 1 August 2024, and its requirements apply in stages: since 2 February 2025 unacceptable-risk AI practices are banned and companies must ensure their staff’s AI literacy.

The approach: the higher the risk, the stricter the rules

  • Unacceptable risk — banned (for example, manipulating people or social scoring).
  • High risk — strict requirements (for example, AI in recruitment, credit scoring, critical infrastructure).
  • Limited risk — transparency requirements (for example, people must know they are talking to AI).
  • Minimal risk — most everyday AI tools, no special requirements.

Key dates

  • 1 August 2024 — the regulation entered into force.
  • 2 February 2025 — the bans and the AI literacy obligation.
  • 2 August 2025 — rules for general-purpose AI models.
  • The following years — the remaining requirements in stages, especially for high-risk systems. Some deadlines are being adjusted, so check them in the current version of the regulation.

What it means for a typical business

If you use AI for e-mails, document processing or customer support, your systems are most likely minimal- or limited-risk systems. In practice this means:

  • train the employees who work with AI;
  • tell customers when they are talking to AI;
  • if AI is used in decisions about people (hiring, credit), check whether it’s a high-risk case.

This is not legal advice — in complex cases, consult a lawyer.

Sources

  1. 1. Regulation (EU) 2024/1689 — Artificial Intelligence Act (EUR-Lex)
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