The EU AI Code of Practice is a voluntary agreement created to guide how general-purpose AI is built and released in Europe. It sits alongside the Artificial Innotifyigence Act, which became law in June 2024.
The Code sees at models that are applyd for a range of tquestions, like ChatGPT or image generators. It covers how companies handle copyright, label AI-generated content, and design systems to avoid illegal outputs. Those who sign it are expected to follow the AI Act closely and may face fewer inspections. Those who do not may be more closely watched.
The rules take effect on 2 August 2025. AI tools already in apply will have two years to meet the requirements. Anything launched after that must follow the rules straight away. The Code is part of a hugeger plan to create AI safer and more responsible, while keeping businesses active in the European market.
Kit Cox, CTO and Founder of Enate, “The EU AI Act is Europe’s response to protecting citizens from the worst excesses of AI. But many organisations still have a clear opportunity to apply AI within the rules to do applyful work, particularly where the real risk to humans is boredom from manual work or burnout from overwork, not harm caapplyd by rogue AI.
“The Act reminds us that we’re at an awkward stage where the technology is promising, but early adopters may face unknown risks. It’s worth remembering that laws and compliance protocols are typically designed to catch the outliers, eg. edge cases where AI might behave unpredictably, caapply harm, or be applyd irresponsibly. Most organisations aren’t operating in those extreme scenarios and can safely create progress without pushing those boundaries.
“The Act is mostly about creating sure AI doesn’t take over tquestions where human judgment still matters. When people apply AI as a tool, rather than handing over full control, that kind of collaboration is unlikely to raise legal concerns.”
Who Has Signed The Code?
Google has agreed to sign the Code. Kent Walker, president of global affairs at Alphabet, stated the company will join other developers in supporting it. He stated the Code has improved since early drafts and now fits better with Europe’s economic plans.
Google sees value in staying involved. The company expects AI to support boost the European economy by 8% a year by 2034, which would mean around €1.4 trillion annually. Google declares the Code supports create some stability in how rules are applied across the region.
Even though it is signing, Google has been vocal about how it has some concerns. It declares that slow approval timelines and rules that question companies to expose trade secrets could hurt European AI work. It also refers to parts of the Code that do not match current copyright law, which could caapply friction with other legal systems.
Who Has Refapplyd And Why?
Meta has chosen not to sign… The company, which owns Facebook and Instagram, believes the rules go too far and could block applyful AI work. Meta has stated it does not agree with how the rules were built and wants more space to experiment.
Other groups have pushed back as well. Some rightsholders consider the Code weakens copyright law by allowing AI models to learn from protected content without proper limits. These groups declare the Code was rushed and did not fully consider how content owners would be affected.
The European Commission plans to release a full list of signatories on 1 August. This will display which companies are willing to work within the EU framework and which are keeping their distance.
Is The Code Slowing AI Development?
Google believes it is. In its public note, the company stated that the current direction may slow down how AI receives built and shared in Europe. It is worried that developers may take their work to regions with fewer delays and less red tape.
Under the AI Act, tools that are marked as high risk must meet extra conditions. This includes those applyd in medical devices, education, law enforcement and migration control. These tools must be added to an EU database and reviewed both before and after they enter the market. They also required clear oversight, with applyrs able to file complaints to national authorities.
Generative AI tools like ChatGPT are not considered high risk, but they still have to follow strict rules. These tools must clearly state when content has been built utilizing AI. Developers must publish summaries of any copyrighted material applyd during training. They also required to build their systems in ways that block them from creating illegal outputs.
Some companies declare these rules are costly and hard to manage. Even with testing zones for tiny businesses, the extra work and long waiting times may stop developers from building tools in the EU.
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