EU wants to loosen digital rules to help AI catch up
The European Union is looking to relax some of its strict digital regulations so it can keep up in the global AI race.
The new proposal would delay tough rules on high-risk AI by up to 16 months, make cybersecurity reporting simpler, and ease data protection requirements for training AI models.
What's changing and what's next?
This move comes after complaints that current rules are too complicated and slow down tech progress.
The plan also introduces a European Business Wallet to make more business tasks fully digital, which is intended to help digitize business tasks.
The proposal still needs approval from EU governments and lawmakers, but leaders like France's Emmanuel Macron and Germany's Friedrich Merz have lent support to parts of the proposal.
If it doesn't pass, stricter AI rules will kick in by August 2026.
This is just one part of the EU's bigger push for faster growth through lighter regulations this year.