European regulators are facing a crucial decision on how to regulate and harness the power of artificial intelligence (AI) in commercial and non-commercial applications. The European Union’s largest consumer group, the BEUC, has now called for urgent investigations into the risks posed by generative AI. The organization has expressed concerns about the potential for these systems, such as ChatGPT, to deceive, manipulate, and harm individuals, as well as spread disinformation and perpetuate biases.
The BEUC, representing consumer organizations across 13 EU countries, issued this call in conjunction with a report from its member Forbrukerrådet in Norway. The Norwegian report highlights the consumer harms associated with generative AI and raises various problematic issues. It points out the lack of external scrutiny of certain AI systems, the generation of incorrect information alongside accurate results, AI designed to mislead or manipulate users, biases stemming from data fed into AI models, and the potential for AI to be weaponized for fraudulent activities or security breaches.
While OpenAI’s ChatGPT has brought AI to the forefront of public consciousness, the EU’s focus on AI’s impact is not new. The EU began discussing risks associated with AI in 2020 to build trust in the technology. By 2021, the conversation shifted to high-risk AI applications, and a collective of 300 organizations called for the prohibition of certain AI forms.
The EU’s competition chief recently highlighted the risks of bias in AI applications in critical areas like financial services. The EU has now approved its official AI Law, which categorizes AI applications based on risk levels. The law seeks to establish legal guidelines for AI use commercially and non-commercially, making it the world’s first attempt at regulating AI comprehensively. The EU will engage with member countries to finalize the law, determining what falls within each category. The goal is to complete this process by the end of the year.
The BEUC emphasizes the importance of a robust AI law to protect consumers. It calls for public scrutiny and control over all AI systems, including generative AI, to ensure safety, fairness, and transparency for consumers.
As a significant voice in critical moments, the BEUC’s stance can influence the direction taken by regulators. However, the debate surrounding AI and its impacts, as well as the role of regulation, is expected to continue for a considerable time.