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Welcome to our Artificial Intelligence CMS Insights section for Italy, which provides some hot topics from CMS about artificial intelligence.

11/03/2024
Looking ahead to the EU AI Act
Introduction The European Union is preparing for the imminent adoption of the world’s most significant legislation on Artificial Intelligence, solidifying its position as a pioneer among global legislators. This initiative aims to establish and reinforce the EU’s role as a premier hub for AI while ensuring that AI development remains focused on human-centered and trustworthy principles. To expedite the achievement of these goals, on 8 December 2023, after three days of debate, the European Parliament and the Council of the European Union finally reached a provisional agreement on the “Proposal for a Regulation laying down harmonised rules on artificial intelligence” (the so-called AI Act), which aims to ensure that AI systems placed on the European market are safe and respect the fundamental rights and values of the EU. Subsequent to this provisional agreement, technical refinement of the AI Act continued to finalise the regulation’s details and text. The final vote of the European Parliament on the AI Act will take place at 13 March 2024. Since the European Parliament's Committees on the Internal Market and Consumer Protection (IMCO) and on Civil Liberties, Justice and Home Affairs (LIBE) have endorsed overwhelmingly the proposed text, the approval of the European Parliament can be expected. After a long and complex journey that began in 2021 with the European Commission’s proposal of a draft AI Act, this new regulation is expected to be passed into law in spring 2024, once it has been approved by the European Parliament and the Council of the European Union . The AI Act aims to ensure that the marketing and use of AI systems and their outputs in the EU are consistent with fundamental rights under EU law, such as privacy, democracy, the rule of law and environmental sustainability. Adopting a dual approach, it outright prohibits AI systems deemed to pose unacceptable risks while imposing regulatory obligations on other AI systems and their outputs. The new regulation, which also aims to strike a fair balance between innovation and the protection of individuals, not only makes Europe a world leader in the regulation of this new technology, but also endeavours to create a legal framework that users of AI technologies will be able to comply with in order to make the most of this significant development opportunity. In this article we provide a first overview of the key points contained in the text of the AI Act1This article (including the relevant citations below) is based on the latest draft available on the Council’s website. The AI Act remains subject to possible further refinement, but not as regards content, and the text referred to for this article should be considered as the closest to the one that will be voted on by the EU Parliament. footnote that companies should be aware of in order to prepare for the implementing regulation.

AI opportunities and risks

AI is opening up transformational opportunities in all areas of human activity, but at the same time poses unique risks for companies, governments and society as a whole. These opportunities and legal risks present a wide range of ethical, legal and regulatory challenges. The scope, speed and nature of the response to these challenges, will have a significant impact on the success of AI in contributing to prosperity in a manner that balances human well-being and economic growth.

The AI Regulatory Scenario in Europe

As of today (February 2024), the European Union's Artificial Intelligence Act ("EU AI Act") has reached both political consensus and unanimous approval by the Council of EU Ministers, with its entry into force being imminent (even though the Act is expected to become binding in 2025 only). This Regulation is part and cornerstone of the broader European AI Strategy, which comprises of several other publications from the Commission such as the Coordinated Plan on Artificial Intelligence (COM – 2021 – 205 final) which is set to strengthen AI adoption, investment and innovation in AI in the EU, and the White Paper on Artificial Intelligence, in which the Commission undertook to promote the uptake of artificial intelligence and to address the risks associated with certain of its uses. At the same time, the Commission intends to make sure that persons harmed by artificial intelligence systems enjoy the same level of protection as persons harmed by other technologies and published a proposal for a directive on adapting non-contractual civil liability rules to artificial intelligence (the “AI liability directive”) in September 2022. This is still at the beginning of the legislative process.

The AI Regulatory Scenario in Italy

Pending the now imminent entry into force of the AI Act, Italy has already initiated a few other regulatory initiatives focusing on AI.

  • On October 2023 the Italian Data Protection Authority issued the “Decalogue for the implementation of national health services through Artificial Intelligence systems” outlining ten key principles for the responsible integration of artificial intelligence (AI) in healthcare. The Decalogue does not introduce substantial novelties as this initiative aims to ensure that the use of AI complies with the principles of the General Data Protection Regulation (GDPR), emphasizing transparency, nondiscrimination, and data security.
     
  • On November 2021 Italy adopted, with its transition in the Council of Ministers, the Strategic Plan for Artificial Intelligence in Italy 2022/2024, as decided at the community level, identifies and outlines twenty-four policies to be implemented by 2024. These policies are considered essential for our country to maintain technological competitiveness on the international stage and to translate research results into added value for the industry. This approach aims to address the technological and social challenges of the near future under conditions conducive to supporting and overcoming them.

In addition to these local initiatives Italy has also concurred alongside the other members of the G7 to the creation of the Code of Conduct for Organizations Developing Advanced AI Systems resulted from the 2023 Hiroshima Process. The principles adopted by the G7 provide guidance to organizations developing, deploying and using advanced artificial intelligence systems, such as basic models and generative AI tools, to promote the security and reliability of the technology.

CMS Italy - the first choice for all legal services related to AI and technology

At CMS we are keen to stimulate the AI legal debate and to help provide guidance to our clients. Our team bolsters a long history of advising companies large and small to leverage the benefits of new technology whilst limiting the possible legal risks. CMS as a future facing law firm is regarded by many companies as their first choice for all legal services related to AI and legal technology advice. To find out more about our expertise in Technology, Media & Telecommunications and how we can help please visit our dedicated section about TMT - Technology, Media & Telecommunications.

Authors

Portrait ofMariangela Selvaggiuolo
Mariangela Selvaggiuolo
Rome
Portrait ofVeronica Mazzaferro
Veronica Mazzaferro
Rome
Portrait ofAndrea Afferni
Andrea Afferni
Rome
Portrait ofPasquale Distefano
Pasquale Distefano
Milan
Portrait ofGabriele Cattaneo
Gabriele Cattaneo
Rome
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