The European Commission is exploring ways to ease the compliance burden for AI startups struggling with the European Union’s stringent regulatory framework, according to an internal document.
The initiative is part of a broader effort to streamline EU regulations amid growing criticism from businesses about excessive bureaucracy stifling innovation.
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Revisiting The AI Act
“There is an opportunity to minimize the compliance burden of the AI Act, particularly for smaller innovators,” states the document, titled AI Continent Action Plan. The Commission aims to leverage insights from the initial implementation phase to identify further measures that could simplify compliance.
EU tech chief Henna Virkkunen is set to unveil the proposal on Wednesday.
The 27-nation bloc approved the AI Act last year, positioning it as the world’s most comprehensive AI regulatory framework—a stark contrast to the U.S.’s voluntary compliance model and China’s state-controlled approach focused on social stability.
Under the AI Act, high-risk AI systems face strict transparency obligations, while general-purpose AI models are subject to lighter requirements. The latest move signals the EU’s willingness to balance oversight with innovation, particularly for startups navigating the complex regulatory landscape.
