The CEO of Siemens has threatened to relocate investments worth billions of euros from Europe if the European Union does not revise its proposed AI regulations. Roland Busch stated in an interview that the current framework would stifle innovation and make the continent less competitive. The warning comes as the EU finalizes its Artificial Intelligence Act, which aims to set strict rules for high-risk AI systems.
Busch emphasized that the regulations would impose excessive compliance costs on industries using AI, particularly in manufacturing and automation. Siemens, a global leader in industrial technology, relies heavily on AI-driven solutions to improve efficiency and productivity. The company employs over 320,000 people worldwide, with significant operations in Europe.
The proposed rules require companies to conduct extensive risk assessments and implement costly safeguards for AI applications deemed high-risk. Busch argued that these measures would disproportionately burden European businesses compared to global competitors. He suggested that without changes, Siemens might redirect future investments to regions with more flexible regulatory environments.
The EU’s AI Act is expected to take effect in 2025, following a phased implementation. Critics, including industry groups and tech companies, have raised concerns about the law’s potential to slow down technological progress. The European Commission has defended the regulations as necessary to ensure safety and ethical standards in AI development.
Siemens has not specified the exact amount of funds at risk but indicated that the financial impact could be substantial. The company’s stance reflects broader industry anxiety over the EU’s approach to regulating emerging technologies.
Source: digi.no