Organizations that use GenAI should foster a deep understanding of the European Union Artificial Intelligence Act (EU AI Act), which aims to address risks, promote ethical use, and establish standards for AI applications.
This is why Prompt Security has published a comprehensive guide that outlines the contents and ramifications of the EU AI Act. It is our hope that by better understanding the Act, organizations can better position themselves to deploy GenAI systems and capabilities in a safe, legal and effective manner.
Our report dedicates significant attention to an especially complex aspect of the Act: its risk-based approach to categorizing and imposing requirements on AI systems, and how general-purpose GenAI (GPAI) systems fit into this risk-based approach. The report provides details on elements such as:
- The transparency requirements that accompany limited-risk systems.
- Defining high-risk AI systems and delineating the extensive requirements to which such systems are subject.
- The conditions under which systems may become exempt from high-risk categorization.
- The uses that render systems prohibited entirely.
- The phased timeline associated with the various risk tiers.
In fact, we are publishing this report now because the Act’s phased timeline is coming into effect. As of February 2025, the European Union has officially banned AI systems determined to pose “unacceptable risk.”
The report also addresses common misconceptions surrounding the Act in the context of its data governance requirements. It cautions organizations against adopting a lax attitude towards the Act’s applicability (with regard to systems’ delivery models or infrastructure), its jurisdiction (within and outside the European Union), and its credibility (as an influential global standard).
Other focuses of the report include an overview of penalties for violating the Act’s provisions, an examination of the Act’s enforcement mechanisms, and recommended steps organizations can take to better prepare for compliance, such as cataloging AI-enabled use cases, assessing their own AI-enabled use cases’ risk levels, and engaging supply chain partners to assess third-party product designs.
Finally, the report outlines capabilities that Prompt Security provides so that organizations can become better positioned to meet the Act’s requirements and maintain compliance. We are confident that this report covers what organizations need to know about the EU AI Act as of February 2025.
We invite you to read it and hope it serves as a valuable resource.
