Artificial Intelligence in Europe: Status and Regulation

The article highlights the state of artificial intelligence (AI) development in Europe and the approaches of the EU and the UK to its regulation. The key indicators of the AI market in leading European countries and their competitiveness in certain technology segments involved in the value chain is explored. It is emphasized that the research potential and market size of AI in Europe is lower than in the US and China. There is a large divide in the development and use of AI technologies among European countries themselves. The leaders are the UK, Germany, and France. In these circumstances, European governments see an opportunity to increase competitiveness in high-tech sectors of the economy by stimulating the implementation of AI in all sectors. The article analyzes the evolution of the regulatory process in the field of AI in Europe from the declaration of cooperation to the approval of the EU law on AI, based on the assessment of risks created by different AI systems: unacceptable, high, limited and minimal. The academic community assesses the EU law as the most restrictive AI regulatory and as a comprehensive regulatory framework designed to control the development of AI technologies. Gaps that may impact the effectiveness of the EU law include the relatively low level of control over high-risk AI systems and insufficient attention to the level of cybersecurity, which is essential for their use in legislative and governmental institutions. It is argued that the UK’s attitude towards AI regulation is aimed at promoting innovation and introducing AI into industrial production. It is concluded that, given the recent adoption of regulatory documents, it is premature to assess their effectiveness.

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Artificial Intelligence in Europe: Status and Regulation

Semantic Scholar · 2025

Abstract

The article highlights the state of artificial intelligence (AI) development in Europe and the approaches of the EU and the UK to its regulation. The key indicators of the AI market in leading European countries and their competitiveness in certain technology segments involved in the value chain is explored. It is emphasized that the research potential and market size of AI in Europe is lower than in the US and China. There is a large divide in the development and use of AI technologies among European countries themselves. The leaders are the UK, Germany, and France. In these circumstances, European governments see an opportunity to increase competitiveness in high-tech sectors of the economy by stimulating the implementation of AI in all sectors. The article analyzes the evolution of the regulatory process in the field of AI in Europe from the declaration of cooperation to the approval of the EU law on AI, based on the assessment of risks created by different AI systems: unacceptable, high, limited and minimal. The academic community assesses the EU law as the most restrictive AI regulatory and as a comprehensive regulatory framework designed to control the development of AI technologies. Gaps that may impact the effectiveness of the EU law include the relatively low level of control over high-risk AI systems and insufficient attention to the level of cybersecurity, which is essential for their use in legislative and governmental institutions. It is argued that the UK’s attitude towards AI regulation is aimed at promoting innovation and introducing AI into industrial production. It is concluded that, given the recent adoption of regulatory documents, it is premature to assess their effectiveness.

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