Google, on Wednesday, announced its intentions to adhere to the European Union’s General-Purpose AI Code of Practice. The EU’s AI Code aims to create safety guidelines that are both flexible and strong, helping Europe make the most of AI technology.

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In a blog post, Kent Walker, Google’s president of global affairs, says, “We will join several other companies, including U.S. model providers, in signing the European Union’s General Purpose AI Code of Practice. We do so with the hope that this Code, as applied, will promote European citizens’ and businesses’ access to secure, first-rate AI tools as they become available. Prompt and widespread deployment is important. Europe stands to gain significantly, potentially boosting its economy by 8% (€1.4 trillion) annually by 2034.”

Following Google, the Redmond tech giant Microsoft has also signed the European Union’s General-Purpose AI Code of Practice.

“We are choosing this path to further build trust in Microsoft AI models, support the European AI ecosystem, and demonstrate our long-standing compliance with EU law, while recognising that the AI Act is a complex regulation that would benefit from simplification,” adds Nanna-Louise Linde, Vice President, European Government Affairs, Microsof, through a LinkedIn post.

Besides Google and Microsoft, Anthropic, France’s Mistral AI and ChatGPT-maker OpenAI have announced they will sign the Code.

Stop the clock

The announcement comes a week after Meta declined to sign the guidelines, arguing they impose legal ambiguities and excessive burdens on model developers.

In a LinkedIn post, Joel Kaplan, Meta’s Global Affairs Chief, says, “Europe is heading down the wrong path on AI. We have carefully reviewed the European Commission’s Code of Practice for general-purpose AI (GPAI) models, and Meta won’t be signing it. This Code introduces a number of legal uncertainties for model developers, as well as measures that go far beyond the scope of the AI Act.”

The AI Act has faced a slew of criticism in the past few months as many companies have called on the Commission to delay or even rework it.

Businesses and policymakers in Europe have raised concerns about a new regulation. Recently, over 40 major companies, including Airbus, Philips, and Mercedes‑Benz, signed a letter asking the Commission to pause its implementation.

They worry that this regulation could hinder the development and use of advanced AI models in Europe and harm local businesses trying to build on those technologies.

Up to 7% or fine for breaching

The EU AI Act imposes significant financial penalties for non-compliance.

Companies that violate the act can be fined up to 7% of their global annual revenue or €35M, whichever is higher, for breaches related to prohibited AI practices.

For violations concerning high-risk AI systems, the fines can reach up to 3% of global annual revenue or €15M. 

These penalties aim to ensure adherence to the AI Act’s regulations and promote responsible AI development and deployment.