Over the past few years, governments around the world have introduced regulations on AI-generated and AI-modified content. On 13 June 2024, the EU signed the EU AI Act (Regulation 2024/1689) into law, which in Article 50(2) requires providers of AI systems that generate synthetic audio, image, video, or text to ensure their outputs are "marked in a machine-readable format and detectable as artificially generated or manipulated." The technical solutions must be "effective, interoperable, robust and reliable."
Fines up to €15,000,000 or 3% of worldwide turnover
Digitally-signed metadata (1.1.1)
Imperceptible watermarking (1.1.2)
The penalty for non-compliance, per Article 99, is up to the higher of €15,000,000 or 3% of worldwide annual turnover (the lower of the two for SMEs and start-ups). For any company that uses AI in the content production workflow, this is a massive regulatory risk.
All AI providers must comply: every company that offers a generative AI system in the EU under its own name, including products built on a third-party model or API, wherever the company is based.
