Since February 2, 2025, the European Union (EU) has begun enforcing the first provisions of the AI Act, an innovative regulation that classifies artificial intelligence systems based on their level of risk. This law aims to establish a legal framework ensuring that AI is developed and used in compliance with fundamental rights, security, and ethical considerations.

What is Banned in Europe?

The EU AI Act strictly prohibits certain applications deemed too risky or unethical. These include:

1. AI Exploiting Human Vulnerabilities

AI systems must not manipulate individuals by exploiting their emotions, disabilities, or socio-economic status.

2. Social Scoring & Mass Biometric Surveillance

The EU prohibits social scoring systems, similar to those used in China, which assign scores to individuals based on their behavior or social interactions. This ban aims to protect privacy and prevent automated discrimination.

Excessive biometric surveillance, such as facial recognition in public spaces without legal justification, is also banned.

3. Emotion Recognition in Workplaces and Education

AI-based emotion evaluation in hiring processes or education is now prohibited to prevent bias and manipulation.

These bans are designed to protect fundamental rights and ensure AI remains a tool for innovation rather than control.

New Obligations for Businesses

For companies operating in the EU, compliance with the AI Act involves several key responsibilities:

1. Transparency Requirements

• Any AI interacting with the public must clearly disclose that it is AI and not a human.
• AI-generated content must be identifiable to prevent misinformation.

2. Documentation & Audits for High-Risk AI

• Small and medium-sized enterprises (SMEs) using high-risk AI must demonstrate compliance with European standards.
• Regular audits and detailed documentation of AI systems will be required to ensure accountability.

3. Mandatory AI Training

• Employees using AI must receive adequate training to understand its capabilities, limitations, and ethical implications.
• Companies must invest in AI education to ensure compliance and responsible use.

The Rising Cost of AI Tools

As AI evolves, businesses are increasingly relying on AI-powered tools for tasks such as image generation, LinkedIn post automation, wireframing, audio editing, and avatar creation. However, the cost of these tools is becoming a major issue, with some companies spending hundreds of euros per tool.

AI as an Investment

• AI tools save time and can be seen as a profitable investment.
• Companies should assess whether AI can replace manual tasks and optimize workflows.
• Choosing multifunctional AI tools helps reduce software costs while maintaining efficiency.

Why Did We Create Vitamin AI?

At Iterates, we developed Vitamin AI to address businesses’ growing AI needs while keeping costs under control. Instead of accumulating multiple expensive tools for tasks like content generation, marketing automation, or data analysis, Vitamin AI consolidates these features into a single intuitive and powerful application. With this solution, companies can optimize their processes, improve productivity, and leverage the latest AI advancements, without exceeding their budget.

What’s Next?

As AI regulations evolve, businesses must stay informed and adapt. The AI Act is just the beginning of a global movement towards more ethical AI usage.

Want to learn more about AI trends and compliance? Check out our article on essential AI tools for UI/UX design.

Need help navigating AI regulations? Contact us today to ensure your company remains compliant!