New AI Rules Come into Effect in the EU, Covering Chatbots and Deepfakes

As of today, fundamental provisions of the EU Artificial Intelligence Act begin to apply in European Union countries. The new rules primarily introduce transparency obligations, such as the requirement to inform users that they are communicating with a chatbot or other AI system, and to clearly label deepfakes and other artificially generated content.

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AI-generated content must be labeled

The rules apply not only to images, audio recordings and videos, but also to text generated or edited by artificial intelligence, if published for the purpose of informing the public about matters of public interest. The Czech Telecommunications Office recommends using clear and distinguishable labels, such as “AI generated” for fully created content or “AI modified” for content edited using AI.

The transparency obligation also applies to chatbots, virtual and voice assistants, and AI agents that independently book services, order goods or handle correspondence. According to European Commission guidelines, they must inform users not only that they are an artificial intelligence system, but also on whose behalf they are acting.

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High fines threatened for rule violations

National supervisory authorities and the European Commission are also gaining powers to impose sanctions for violations of provisions already in effect. Companies may face fines of up to 15 million euros or three percent of their global annual turnover for failing to comply with transparency rules.

The aim of the measures is to limit deception and manipulation and help people make more informed decisions. Deepfakes can also include advertising visuals, product photographs created using AI, or virtual influencers, if they may distort the actual appearance or properties of a product.

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