Reconciling the AI Value Chain with the EU’s Artificial Intelligence Act – CEPS

The EU Artificial Intelligence Act (AI Act), proposed by the European Commission in April 2021, is an ambitious and welcome attempt to develop rules for artificial intelligence, and to mitigate its risks. The current text, however, is based on a linear view of the AI value chain, in which one entity places a given AI system on the market and is made accountable for complying with the regulation whenever the system is considered high risk. In reality, the AI value chain can present itself in a wide variety of configurations. In this paper, in view of the many limitations of the Act, we propose a typology of the AI value chain featuring seven distinct scenarios, and discuss the possible treatment of each one under the AI Act. Moreover, we consider the specific case of general-purpose AI (GPAI) models and their possible inclusion in the scope of the AI Act, and offer six policy recommendations.

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Reconciling the AI Value Chain with the EU's Artificial Intelligence Act - CEPS

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