**Legal and Regulatory Shifts in AI: A 2023 Review and Outlook for 2024**
*February 8, 2024*
The landscape around artificial intelligence (AI) saw significant changes in 2023, with a mix of public discussion, AI deployment in various sectors, and major legal milestones, many of which predate the explosion of generative AI technology.
In Europe, the EU’s push for AI regulation nearly stumbled due to the rise of foundation models, yet the AI Act is on the brink of becoming the first of its kind, regulating AI systems by risk level and setting a global precedent.
The U.S. maintains a sectoral, self-regulatory approach, highlighted by a comprehensive White House executive order, promises from the private sector on AI advancements, and numerous agency statements and actions underpinning the National Institute of Standards and Technology (NIST) AI Risk Management Framework. Despite the absence of a federal AI framework, there’s a growing focus on improper data use in AI development.
Expect 2024 to see further efforts by governments worldwide to refine AI regulation aiming at political, societal, and geopolitical goals, amidst significant global elections. This includes ongoing scrutiny by competition authorities and new comprehensive AI laws.
Our review details these developments, particularly the EU’s progress on the AI Act and AI Liability Directive, the U.S.’s executive order, voluntary AI commitments, and notable U.S. legislative attempts that fell short of passage. Additionally, we discuss the concerted focus on AI’s impact across sectors including intellectual property, privacy, employment, insurance, and health, as well as anticipated legislative and regulatory directions.
*Contents*
1. EU Policy & Regulatory Developments
2. U.S. Legislative, Regulatory & Policy Developments
3. U.S. Sector-Specific Developments
4. Select Additional International Developments
**EU Policy & Regulatory Developments**
The EU’s AI Act, making significant strides toward comprehensive AI regulation, is nearing enactment. It aims to manage AI risks and has global implications. The AI Liability Directive and Product Liability Directive also progress, focusing on damages caused by AI and extending liability to digital products.
**U.S. Legislative, Regulatory & Policy Developments**
The U.S. outlined its AI strategy through the White House AI Executive Order, emphasizing AI safety, innovation, and standards. Despite a lack of comprehensive federal AI legislation, efforts continued to govern AI’s development and use, particularly concerning AI in critical decision-making sectors.
**U.S. Sector-Specific Developments**
2023 spotlighted intellectual property challenges, privacy regulations, employment law intersections with AI, and the role of AI in insurance and healthcare, reflecting an evolving legal landscape amid AI advancements.
**Select Additional International Developments**
Globally, countries, including the UK and Canada, are grappling with AI regulation, proposing “pro-innovation” frameworks and discussing AI safety summits, demonstrating the international effort to harness AI’s potential responsibly.
This roundup underscores the dynamic and multifaceted development of AI regulation and policy, promising continued evolution and attention in 2024.
