Nearly 50 leading European companies have called on the European Commission to halt the implementation of the Artificial Intelligence (AI) Act, expressing concerns that the legislation could hamper the continent’s competitiveness in the global AI landscape.
In an open letter addressed to European Commission President Ursula von der Leyen, CEOs from 44 major companies—including industry giants like Airbus, ASML, and Mercedes-Benz—urged a two-year pause on the act. They emphasized the need for a more “innovation-friendly” regulatory approach that allows European businesses to thrive in the rapidly evolving AI sector.
The letter, organized by the EU AI Champions Initiative—a coalition representing 110 companies across Europe’s industries—warned that the current regulatory framework poses risks to Europe’s AI ambitions. “The EU’s complex rules put Europe’s AI ambitions at risk, as it jeopardizes not only the development of European champions but also the ability of all industries to deploy AI at the scale required by global competition,” the letter stated.
The AI Act, which came into force in August last year, is the world’s first comprehensive regulation on AI. While it aims to set standards for ethical and responsible AI use, critics argue that its stringent requirements could stifle innovation and put European companies at a disadvantage compared to their global counterparts.
As the global race for AI supremacy intensifies, European companies are urging policymakers to consider the balance between regulation and innovation. The open letter highlights the urgent need for policies that support technological advancement without imposing unnecessary burdens on industry leaders.
The European Commission has yet to respond to the letter, but the growing call from the business community signals a pivotal moment in Europe’s approach to AI regulation. The debate continues on how to ensure responsible AI development while fostering a competitive environment for European enterprises.
