AI Act protects against high-risk AI systems
CXO GeschäftsprozesseThe AI Act comes into force: seize opportunities, minimize risks.
As of February 2, 2025, AI systems that pose an unacceptable risk under European law will be banned in the European Union . Such applications must be shut down immediately and may not continue to operate.
The prohibited systems include, for example, those that are intended to influence or manipulate people subconsciously . This also includes so-called social scoring , i.e. the AI-supported evaluation of user behavior by companies or public bodies. This use of artificial intelligence, as used in China, for example, contradicts basic European values and is therefore classified as highly dangerous and inadmissible.
Why is the AI Act important?
Starting tomorrow, the AI Act will come into force in the European Union, prohibiting the use of AI applications classified as highly dangerous . This regulation particularly affects applications that pose a high risk to people's security or fundamental rights. For medium-sized companies that rely on digital processes, it is crucial to understand the impact of this regulation .
What does "highly dangerous AI application" mean?
According to the AI Act, highly dangerous AI applications are those systems that pose significant risks to the safety, health or fundamental rights of people . Examples include AI systems for biometric surveillance, the automatic assessment of creditworthiness or applications used in critical infrastructures.
The definition also includes systems whose potential malfunctions can lead to serious consequences , such as discrimination or the loss of sensitive data. Companies that use such applications must be particularly careful to check whether they comply with the new requirements.
These dangers exist in the absence of guidelines for the use of AI
Without clear guidelines on the use of AI systems, there is a risk that sensitive company data will be exposed unprotected to external platforms such as ChatGPT or similar services. This can not only lead to data breaches but also a loss of competitive advantage. If sensitive information is processed uncontrolled or stored in unsafe environments, companies risk serious financial and legal consequences .
Compliance with the AI Act and the development of secure, local AI solutions are therefore crucial steps to minimize such risks. We have pursued the focus on secure local artificial intelligence from the beginning and, with CLUE as an on-premise AI platform , we offer a clean, data protection-compliant solution for medium-sized companies .
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What does the AI Act mean for companies?
The AI Act aims to make the use of artificial intelligence safer and more transparent. For medium-sized companies, it means that AI applications that are considered high-risk can no longer be used . At the same time, the regulation opens up the possibility of implementing trustworthy AI solutions that meet the new standards. CXO Partners are also happy to help with the transition to secure AI systems.
How can companies respond to this?
It is the ideal time to review existing digital processes and ensure that they comply with the new regulations. By optimizing and digitizing your processes, you can not only ensure compliance but also achieve efficiency gains.
Implementing secure, local AI solutions can help improve your processes while meeting regulatory requirements.
Let's look at an example
A mid-sized company uses a public AI-based application in the cloud like ChatGPT to automatically analyze real customer data to create personalized marketing campaigns. With the AI Act coming into force, this application is classified as high-risk and is therefore no longer permitted.
The company wants to continue to pursue efficient marketing strategies, but in compliance with the new regulations. The goal is to find a compliant solution that preserves data privacy while increasing marketing efficiency.
By working with a specialized partner like CXO, the company can make its processes more secure and deploy a privacy-compliant local AI solution that complies with the new EU regulations. By implementing these solutions, the company can continue to run personalized marketing campaigns without violating the AI Act.
Our conclusion on the EU AI Act
The new regulations of the AI Act offer the opportunity to rethink existing processes and replace them with secure, compliant AI solutions . As a medium-sized company, you can not only meet the legal requirements, but also increase your efficiency and secure competitive advantages.
We are happy to provide individual support and secure AI solutions . Let's get started - when is it convenient for you?
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