The European Union has begun enforcing key provisions of its landmark AI Act, giving regulators sweeping new powers to investigate foundation AI models developed by companies including OpenAI, Anthropic, and other leading artificial intelligence providers.
Under the new enforcement framework, the European Commission can require companies to provide technical documentation, inspect AI models, request additional testing, and, in certain cases, restrict products from the European market. Companies that fail to comply may face fines of up to €15 million or 3% of global annual turnover, depending on the nature of the violation.
New Powers for EU Regulators
The latest phase of the AI Act significantly expands the European Commission’s authority over providers of advanced AI systems.
Regulators can now request information about how foundation models are developed, trained, tested, and deployed. Companies may also be required to demonstrate that their models comply with transparency, cybersecurity, and risk management obligations established under the legislation.
The rules primarily target providers of general-purpose AI models whose systems could have widespread economic or societal impacts.
Focus on Foundation Models
OpenAI and Anthropic are among the companies expected to receive the greatest regulatory attention because their large language models are widely used across enterprise software, consumer applications, and AI development platforms.
Developers of advanced foundation models may need to document training data, evaluate systemic risks, disclose technical capabilities, and implement safeguards designed to reduce harmful outcomes before offering their products within the European Union.
The new framework represents one of the world’s most comprehensive regulatory approaches to artificial intelligence.
Global AI Regulation Continues to Expand
The EU AI Act is widely viewed as a blueprint that could influence AI regulation in other jurisdictions.
As governments around the world seek to balance innovation with safety, large AI developers are increasingly facing multiple regulatory frameworks covering transparency, security, copyright, competition, and consumer protection.
For companies such as OpenAI and Anthropic, compliance is becoming an increasingly important part of product development as regulators gain broader authority over the deployment of advanced AI systems.
