target audience: TECH SUPPLIER  Publication date: Jun 2022 - Document type: Market Perspective - Doc  Document number: # EUR149102722

Forecasting the Impact of the EU's Proposed AI Regulation: Why Regulation Won't Kill AI Innovation in the EU


  • Jack Vernon Loading
  • Ewa Zborowska Loading
  • Neil Ward-Dutton Loading


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This IDC Market Perspective presents our forecast of the potential impact of the EU's proposed AI regulations on the AI software market. In April 2021, the European Commission submitted a detailed proposal of its plans to regulate the artificial intelligence market in Europe.

"The proposed EU AI Act, although set to change the environment for developing and selling AI technologies, will not lead to a dramatic decline in AI software markets' trajectory as some have claimed. Only a limited proportion of AI use cases in terms of market size will be covered by the legislation, while most AI market application areas will remain relatively unconstrained to operate as normal. The legislation will help to put greater focus on trustworthy or ethical AI, something vendors should actively respond to in their marketing and product strategies," said Jack Vernon, senior research analyst covering the European AI market at IDC.


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