EU AI Act Enforcement Powers Officially Take Effect, Anthropic, OpenAI and Other US AI Giants Face Regulatory Pressure

According to CNBC, the European Commission officially gained the power to investigate, restrict, and fine AI models this Sunday, marking the latest progress in the phased implementation of the 2024 EU AI Act. Under the new rules, the European Commission can require AI companies to submit assessments before publicly releasing models in Europe and has the authority to restrict their EU market access. Violating companies face fines of up to €15 million or 3% of annual turnover (whichever is higher). The new rules apply to all companies providing general-purpose AI models within the EU, regardless of their headquarters' location, and non-EU companies must designate an authorized representative within the EU. Anthropic, OpenAI, and Google are all covered by the new rules. Currently, the EU has been seeking access to Anthropic's Mythos model for several months and has entered into negotiations with OpenAI and Anthropic regarding cyber attack issues triggered by their AI models.