Through an AI Pact, over 100 tech companies, including major Indian IT players like Tata Consultancy Service (TCS), Infosys, and Wipro, as well as industry titans like Google, Microsoft, and Amazon, have committed to early compliance with the artificial intelligence (AI) regulations of the European Union (EU), which went into effect on August 1.

What Is AI Pact?

In essence, the AI Pact helps and encourages organizations to prepare ahead of time for the execution of AI Act requirements. Although many parts of the AI Act are already fully applicable, it should be noted that certain regulations pertaining to "high-risk" systems will become effective in the area in August 2027, following a transitional period.

Although many sections of the AI Act are already fully applicable, it should be noted that certain regulations pertaining to "high-risk" systems will be put into effect in the area in August 2027, marking the conclusion of a transitional period (the interval between the date of entrance into force and the date of application).

The European Commission is pushing the AI Pact; in November 2023, it asked businesses whether they would be interested in participating, and more than 550 organizations from all sizes, industries, and nations responded.

What is the purpose of this AI Pact?

The first signatories of the EU AI Pact, a voluntary set of commitments intended to promote responsible AI research, were recently honored by the European Commission, which brought together prominent industry participants in Brussels.

More than 100 businesses from a variety of industries, including IT, healthcare, and finance, have already signed on, including international enterprises and European SMEs.These businesses are encouraged by the AI Pact to move proactively to comply with the impending EU AI Act.

These actions include putting AI governance plans into practice, identifying high-risk AI systems, and encouraging staff members to be aware of AI. Businesses are also advised to customize additional pledges to their particular endeavors, such as guaranteeing human supervision of AI systems, reducing possible hazards, and openly labeling material produced by AI, such as deepfakes.

Apple and Facebook's parent company Meta are not included among the businesses that have ratified the AI Pact. Despite announcing last year that it may "cease operating" in the EU if it cannot comply with future regulations, ChatGPT developer OpenAI has now signed the promise