The Brussels Effect and Artificial Intelligence: How EU regulation will impact the global AI market

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THEBRUSSELSEFFECTANDARTIFICIALINTELLIGENCE?1 Charlotte Siegmann* and Markus Anderljung* |August 2022TheBrusselsEffect andArtificialIntelligence: How EU regulation will impact the global AI market THEBRUSSELSEFFECTANDARTIFICIALINTELLIGENCE?2 ABSTRACT The European Union is likely to introduce among the first, most stringent, and most comprehens- ive AI regulatory regimes of the world?s major jurisdictions. In this report, we ask whether the EU?s upcoming regulation for AI will diffuse globally, producing a so-called ?Brussels Effect?. Building on and extending Anu Bradford?s work, we outline the mechanisms by which such regulatory diffusion may occur. We consider both the possibility that the EU?s AI regulation will incentivise changes in products offered in non-EU countries (a de facto Brussels Effect) and the possibility it will influence regulation adopted by other jurisdictions (a de jure Brussels Effect). Focusing on the proposed EU AI Act, we tentatively conclude that b...

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• [1] https://arxiv.org/abs/2208.12645