, Columnist
Europe Has US Tech in Its Sights. It Might Miss.
New AI rules risk entrenching the transatlantic tech divide rather than narrowing it.
Rules rules rules.
Source: Bloomberg
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The European Union’s $15 billion hammer against Big Tech is nearing completion, with regulation on artificial intelligence coming into force just as AI winners like Microsoft Corp. and Nvidia Corp. are testing financial markets’ patience after big investments. New rules aim to heighten transparency and manage risks posed by the likes of deepfakes, while also promoting investment and innovation in a region lacking tech champions. Breaches mean fines of as much as 7% of annual revenue.
But there is a risk these new rules only end up entrenching the transatlantic tech divide.