GDPR and AI Act:
In today’s digital age, two major regulations are shaping the landscape of data management and artificial intelligence in Europe: the General Data Protection Regulation (GDPR) and the AI Act. These regulatory frameworks have a profound impact on the way businesses operate and innovate.
ACT No. 2018-493 on the protection of personal data
The GDPR, which came into force on May 25, 2018, represents a revolution in the protection of personal data within the European Union. Its main objective is to strengthen the rights of individuals while making companies that process personal data accountable.
The GDPR applies to any company, whether based in the EU or not, that processes personal data of European residents.
It introduces fundamental principles such as data minimisation, purpose limitation and transparency of processing. Companies must now be able to demonstrate their compliance at all times, a concept known as accountability. This involves putting in place robust internal procedures and maintaining detailed documentation on data processing practices.
These rights include the right of access, the right to erasure (or "right to be forgotten"), the right to data portability and the right to object. These enhanced rights require companies to be more transparent and responsive in their management of personal data.
The concept of "privacy by design" and "by default" requires that data protection is integrated into the design of products and services. Companies must also keep a detailed record of their data processing activities. For processing operations that are likely to generate high risks, a Data Protection Impact Assessment (DPIA) is now mandatory. This analysis helps identify and minimise the risks associated with the processing of personal data. Data breach notification is another important obligation introduced by the GDPR. Companies must inform the competent authorities and data subjects in the event of a personal data breach, thereby increasing transparency and user trust.
Penalties for non-compliance with the GDPR can be severe, up to €20 million or 4% of global annual turnover. However, GDPR compliance should not be seen solely as a means of avoiding penalties. It offers many benefits, such as increasing customer trust, optimising data management and stimulating innovation.
The AI Act, although not yet in force, represents the next major step in digital regulation in Europe. This regulation aims to regulate the development and use of artificial intelligence, by adopting a risk-based approach.
This approach allows for regulatory requirements to be adapted according to the potential risk level of each AI system. Systems considered to present an unacceptable risk, such as social scoring systems or systems exploiting people's vulnerabilities, are prohibited. For high-risk systems, strict requirements are imposed, in particular in terms of risk management, data quality and human oversight.
It includes measures to support innovation, such as the creation of "regulatory sandboxes" to test innovative AI systems in a controlled environment. By imposing transparency obligations for certain AI systems, including those that interact with humans or generate content, the AI Act aims to strengthen user trust in AI technologies.
The AI Act will have significant impacts across many sectors, from healthcare to finance to transportation and education. Businesses must prepare for this new regulation by adopting a proactive approach to the development and use of AI. Preparing for the AI Act offers several benefits, including better management of AI risks, the development of ethical and reliable AI, and an advantageous positioning on the European market.
The GDPR and the AI Act represent much more than just regulatory constraints. They offer companies an opportunity to rethink their practices, innovate responsibly and gain the trust of their customers and partners. By adopting a proactive approach to complying with these regulations, companies can not only avoid legal and reputation risks, but also position themselves advantageously in the digital economy of tomorrow. The protection of personal data and the development of ethical and reliable AI are now strategic issues for any company wishing to prosper in the digital age.