COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE EUROPEAN COUNCIL, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS Artificial Intelligence for Europe
Date: 2018-04-25
Institutions: Directorate-General for Communications Networks, Content and Technology, European Commission
Subjects: EU initiative, artificial intelligence, computer systems, diffusion of innovations, digital single market, information technology applications, innovation, new technology, research and development

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 25.4.2018 COM(2018) 237 final  COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE EUROPEAN COUNCIL, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS Artificial Intelligence for Europe {SWD(2018) 137 final}  
 
 
1. 

INTRODUCTION – EMBRACING CHANGE  

by 

systems 

analysing 

What is artificial intelligence? 

intelligence  (AI)  refers 
display 
that 

to 
Artificial 
intelligent 
systems 
behaviour 
their 
environment  and  taking  actions  –  with 
some  degree  of  autonomy  –  to  achieve 
specific goals.  

Artificial intelligence (AI) is already part of our lives – it is not science fiction. From using a 
virtual personal assistant to organise our working day, to travelling in a self-driving vehicle, 
to our phones suggesting songs or restaurants that we might like, AI is a reality. 
Beyond  making  our  lives  easier,  AI  is  helping  us  to  solve  some  of  the  world's  biggest 
challenges: from treating chronic diseases or reducing fatality rates in traffic accidents1 
to  fighting  climate  change  or  anticipating 
cybersecurity threats. 
In  Denmark,  AI  is  helping  save  lives  by  allowing 
emergency  services  to  diagnose  cardiac  arrests  or 
other  conditions  based  on  the  sound  of  a  caller's 
voice.  In  Austria,  it  is  helping  radiologists  detect 
tumours more accurately by instantly comparing x-
rays with a large amount of other medical data. 
Many farms across Europe are already using AI to 
monitor  the  movement,  temperature  and  feed 
consumption  of  their  animals.  The  AI  system  can 
then  automatically  adapt  the  heating  and  feeding 
machinery  to  help  farmers  monitor  their  animals' 
welfare and to free them up for other tasks. And AI 
is also helping European manufacturers to become 
more  efficient  and  to  help  factories  return  to 
Europe.2 
These are some of the many examples of what we 
know AI can do across all sectors, from energy to 
education,  from  financial  services  to  construction. 
Countless more examples that cannot be imagined 
today will emerge over the next decade. 
Like the steam engine or electricity in the past, 
AI  is  transforming  our  world,  our  society  and 
our 
in  computing  power, 
availability of data and progress in algorithms have 
turned  AI 
the  most  strategic 
technologies of the 21st century. The stakes could not be higher. The way we approach AI 
will  define  the  world  we  live  in.  Amid  fierce  global  competition,  a  solid  European 
framework is needed.  

AI-based 
can  be  purely 
software-based,  acting  in  the  virtual 
image 
(e.g.  voice  assistants, 
world 
analysis 
engines, 
speech and face recognition systems) or 
in  hardware 
AI  can  be  embedded 
robots, 
devices 
autonomous  cars,  drones  or  Internet  of 
Things applications).  

Many  AI  technologies  require  data  to 
improve  their  performance.  Once  they 
perform well, they can help improve and 
automate  decision  making  in  the  same 
domain. For example, an AI system will 
be  trained  and  then  used  to  spot  cyber-
attacks  on  the  basis  of  data  from  the 
concerned network or system.   

We are using AI on a daily basis, e.g. to 
translate  languages,  generate  subtitles 
in videos or to block email spam.  

industry3.  Growth 

into  one  of 

advanced 

software, 

search 

(e.g. 

1  It  is  estimated  that  around  90%  of  road  accidents  are  caused  by  human  errors.  See  Commission's  report  on 
Saving Lives: Boosting Car Safety in the EU (COM(2016) 0787 final). 
2 Why AI is the future of growth, Accenture, 2016. The economic impact of the automation of knowledge work, 
robots and self-driving vehicles could reach between EUR 6.5 and EUR 12 trillion annually by 2025 (including 
improved  productivity  and  higher  quality  of  life  in  ageing  populations).  Source:  Disruptive  technologies: 
Advances that will transform life, business, and the global economy, McKinsey Global Institute, 2013. 
3  AI  is  part  of  the  Commission's  strategy  to  digitise  industry  (COM(2016)  180  final)  and  a  renewed  EU 
Industrial Policy Strategy (COM(2017) 479 final).  

1 

 
 
                                                 
 
The  European  Union  (EU)  should  have  a  coordinated  approach  to  make  the  most  of  the 
opportunities  offered  by  AI  and  to  address  the  new  challenges  that  it  brings.  The  EU  can 
lead the way in developing and using AI for good and for all, building on its values and its 
strengths. It can capitalise on:  
-  world-class  researchers,  labs  and  startups.  The  EU  is  also  strong  in  robotics  and  has 
world-leading industry, notably in the transport, healthcare and manufacturing sectors that 
should be at the forefront of AI adoption;  

- the Digital Single Market. Common rules, for example on data protection and the free flow 
of data in the EU, cybersecurity and connectivity help companies to do business, scale up 
across borders and encourage investments; and 

- a wealth of industrial, research and public sector data which can be unlocked to feed AI 
systems. In parallel to this Communication, the Commission is taking action to make data 
sharing  easier  and  to  open  up  more  data  –  the  raw  material  for  AI  –  for  re-use.  This 
includes  data  from  the  public  sector  in  particular,  such  as  on  public  utilities  and  the 
environment, as well as research and health data. 

European  leaders  have  put  AI  at  the  top  of  their  agendas.  On  10  April  2018,  24  Member 
States4 and Norway committed to working together on AI. Building on this strong political 
endorsement, it is time to make significant efforts to ensure that: 
- Europe is competitive in the AI landscape, with bold investments that match its economic 
weight. This is about supporting research and innovation to develop the next generation of 
AI  technologies,  and  deployment  to  ensure  that  companies  –  in  particular  small  and 
medium-sized enterprises which make up 99% of business in the EU – are able to adopt AI.  
- No one is left behind in the  digital transformation. AI is  changing the nature of  work: 
jobs  will  be  created,  others  will  disappear,  most  will  be  transformed.  Modernisation  of 
education,  at  all  levels,  should  be  a  priority  for  governments.  All  Europeans  should  have 
every opportunity to acquire the skills they need. Talent should be nurtured, gender balance 
and diversity encouraged.  

-  New  technologies  are  based  on  values.  The  General  Data  Protection  Regulation  will 
become a reality on 25 May 2018. It is a major step for building trust, essential in the long 
term  for  both  people  and  companies.  This  is  where  the  EU's  sustainable  approach  to 
technologies creates a competitive edge, by embracing change on the basis of the Union's 
values5. As with any transformative technology, some AI applications may raise new ethical 
and legal questions,  for example related to  liability or  potentially biased decision-making. 
The EU must therefore ensure that AI is developed and applied in an appropriate framework 
which promotes innovation and respects the Union's values and fundamental rights as well 
as ethical principles such as accountability and transparency. The EU is also well placed to 
lead this debate on the global stage.  

This is how the EU can make a difference – and be the champion of an approach to AI that 
benefits people and society as a whole. 

4 Austria, Belgium, Bulgaria, Czech Republic, Denmark, Estonia, Finland, France, Germany, Hungary, Ireland, 
Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, 
United Kingdom.  
5 Article 2 of the Treaty on EU: "The Union is founded on the values of respect for human dignity, freedom, 
democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to 
minorities".  The  Member  States  share  a  "society  in  which  pluralism,  non-discrimination,  tolerance,  justice, 
solidarity and equality between women and men prevail." 

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Launching a European initiative on AI 
In  May  2017,  the  Commission  published  its  mid-term  review  of  the  Digital  Single  Market 
strategy6.  It  highlighted  the  importance  of  building  on  Europe's  scientific  and  industrial 
strengths, as well as on its innovative startups, to be in a leading position in the development 
of AI technologies, platforms, and applications.  
The  European  Council  of  October  2017  stated  that  the  EU  needs  a  sense  of  urgency  to 
address  emerging  trends  such  as  AI  "while  at  the  same  time  ensuring  a  high  level  of  data 
protection, digital rights and ethical standards" and invited "the Commission to put forward a 
European  approach  to  artificial  intelligence".7  The  European  Parliament  made  wide-
ranging  recommendations  on  civil  law  rules  on  robotics  and  the  European  Economic  and 
Social Committee has also issued an opinion on the topic.8 
This Communication sets out a European initiative on AI, which aims to:  

  Boost  the  EU's  technological  and  industrial  capacity  and  AI  uptake  across  the 
economy,  both  by  the  private  and  public  sectors9.  This  includes  investments  in  research 
and innovation and better access to data.  

  Prepare  for  socio-economic  changes  brought  about  by  AI  by  encouraging  the 
modernisation of education and training systems, nurturing talent, anticipating changes in 
the labour market, supporting labour market transitions and adaptation of social protection 
systems. 

  Ensure an appropriate ethical and legal framework, based on the Union's values and in 
line  with  the  Charter  of  Fundamental  Rights  of  the  EU.  This  includes  forthcoming 
guidance  on  existing  product  liability  rules,  a  detailed  analysis  of  emerging  challenges, 
and cooperation with stakeholders, through a European AI Alliance, for the development 
of AI ethics guidelines.10 

All this requires joining forces. Building on the approach set out in this Communication and 
the  declaration11  of  cooperation  signed  by  24  Member  States  on  10  April  2018,  the 
Commission will work with Member States on a coordinated plan on AI. The discussion 
will take place in the framework of the existing European platform of national initiatives to 
digitise industry, with the view to agree this plan by the end of 2018. The main aims will be 
to  maximise  the  impact  of  investments  at  EU  and  national  levels,  encourage  synergies  and 
cooperation across the EU, exchange best practices and collectively define the way forward 
to ensure that the EU as a whole can compete globally.  
In the coming weeks the Commission will issue a Communication on the future of connected 
and  automated  mobility  in  Europe  and  a  Communication  on  the  future  research  and 
innovation ambitions for Europe. AI will be a key element of these initiatives.  

6 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=COM:2017:228:FIN  
7 http://data.consilium.europa.eu/doc/document/ST-14-2017-INIT/en/pdf 
8  European  Parliament  resolution  with  recommendations  to  the  Commission  on  Civil  Law  Rules  on  Robotics 
(2015/2103(INL)); European Economic and Social Committee opinion on AI (INT/806-EESC-2016-05369-00-
00-AC-TRA). 
9  AI  can  significantly  improve  public  services  and  contribute  to  the  objectives  set  out  in  the  Ministerial 
Declaration  on  eGovernment  –  the  Tallinn  Declaration  (October  2017,  https://ec.europa.eu/digital-single-
market/en/news/ministerial-declaration-egovernment-tallinn-declaration).  For  example,  the  Commission  will 
look into AI's potential to analyse large amounts of data and help check how single market rules are applied. 
10 Building on the work of the European Group on Ethics in Science and New Technologies  
11 https://ec.europa.eu/digital-single-market/en/news/eu-member-states-sign-cooperate-artificial-intelligence  

3 

 
 
                                                 
2.  THE EU'S POSITION IN A COMPETITIVE INTERNATIONAL LANDSCAPE  

Most  developed  economies  recognise  the  game-changing  nature  of  AI  and  have  adopted 
different  approaches  which  reflect  their  own  political,  economic,  cultural  and  social 
systems.12  
The government of the United States presented an AI strategy and invested around EUR 970 
million in unclassified AI research in 2016. With its 'Next Generation Artificial Intelligence 
Development  Plan',  China  is  targeting  global  leadership  by  2030  and  is  making  massive 
investments.13 Other countries, such as Japan and Canada, have also adopted AI strategies.  
In the United States and in China, large companies are significantly investing in AI and are 
exploiting large amounts of data.14  
Overall, Europe is behind in private investments in AI which totalled around EUR 2.4-3.2 
billion  in  2016,  compared  with  EUR  6.5-9.7  billion  in  Asia  and  EUR  12.1-18.6  billion  in 
North America.15 
It  is  therefore  crucial  that  the  EU  continues  its  work  to  create  an  environment  that 
stimulates  investments and uses public  funding to  leverage private investments.  To do so, 
the EU needs to preserve and build on its assets.  
Europe  is  home  to  a  world-leading  AI  research  community,  as  well  as  innovative 
entrepreneurs and deep-tech startups (founded on scientific discovery or engineering).16 It 
has  a  strong  industry,  producing  more  than  a  quarter  of  the  world's  industrial  and 
professional  service  robots  (e.g.  for  precision  farming,  security,  health,  logistics)17,  and  is 
leading  in  manufacturing,  healthcare,  transport  and  space  technologies  –  all  of  which 
increasingly  rely  on  AI.  Europe  also  plays  an  important  role  in  the  development  and 
exploitation of platforms providing services to companies and organisations (business-to-
business), applications to progress towards the "intelligent enterprise" and e-government. 
One  of  the  main  challenges  for  the  EU  to  be  competitive  is  to  ensure  the  take-up  of  AI 
technology across its economy. European industry cannot miss the train. Only a fraction of 
European  companies  have  already  adopted  digital  technologies.  This  trend  is  particularly 
acute in small and medium-sized businesses. In 2017, 25% of EU large enterprises and 10% 
of  small  and  medium-sized  enterprises  used  big  data  analytics.  Only  one  in  five  small  and 
medium-sized enterprises was highly digitised, while one third of the workforce still does not 
possess  basic  digital  skills.18  At  the  same  time,  the  benefits  of  adopting  AI  are  widely 
recognised. For example, the 2018 Digital Transformation Scoreboard shows that businesses 

12  See  also  the  Commission's  European  Political  Strategy  Centre's  Strategic  Note:  The  Age  of  Artificial 
Intelligence, 2018. 
13 Recent announcements include a EUR 1.7 billion AI technology park in Beijing.  
14 With 1.4 billion mobile phone subscriptions and 800 million internet users – more than the USA and the EU 
combined – Chinese people generate vast amounts of personal data that are used to develop related AI products. 
15 10 imperatives for Europe in the age of AI and automation, McKinsey, 2017.  
16 Europe accounts for the largest share of top 100 AI research institutions worldwide. 32 research institutions in 
the  global  top  100  for  AI-related  research  paper  citations  vs  30  from  the  USA  and  15  from  China.  Source: 
Atomico,  State  of  European  Tech,  2017.  It  can  also  be  noted  that  the  German  Research  Centre  for  Artificial 
Intelligence (DFKI) founded in 1988 is one of the world’s largest research centres in the field of AI.  
17  World  Robotics  2017,  International  Federation  of  Robotics.  Europe  is  home  to  three  of  the  world's  largest 
producers of industrial robots (KUKA, ABB and Comau). 
18 https://ec.europa.eu/digital-single-market/digital-scoreboard. According to McKinsey (2016), European 
companies operating at the digital frontier only reach a digitisation level of 60% compared to their US peers.  

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in the agrifood and construction sectors which have adopted AI confirm positive impacts on 
entering new markets, improving products or services, and gaining new clients.19  

in 

featured 

the  EU 

the  EU  have 

can  mechanically 
reducing the need for pesticides;  

funded  by 
Projects 
developed for example: 
 an unmanned agricultural vehicle that 
remove  weeds, 

EU efforts so far: laying the groundwork to make the most of AI 
research  and 
AI  has 
development  framework  programmes  since  2004 
with  a  specific  focus  on  robotics.  Investments 
increased to up to EUR 700 million for 2014-2020, 
complemented  by  EUR  2.1  billion  of  private 
investments as part of a public-private partnership 
on  robotics.20  These  efforts  have  significantly 
contributed to Europe's leadership in robotics. 
Overall, around EUR 1.1 billion has been invested 
in  AI-related  research  and  innovation  during  the 
period 2014-2017 under the Horizon 2020 research 
and  innovation  programme,  including  in  big  data, 
health, rehabilitation,  transport and space-oriented 
research. 
Additionally, the Commission has launched major 
initiatives which are key for AI. These include the development of more efficient electronic 
components  and  systems,  such  as  chips  specifically  built  to  run  AI  operations 
(neuromorphic  chips)21;  world-class  high-performance  computers22,  as  well  as  flagship 
projects on quantum technologies and on the mapping of the human brain.23 

 robots  to  take  care  of  repetitive  tasks 
for  workers 
in  car  manufacturing 
plants  and  improve  the  efficiency  of 
the manufacturing process. 

 a  highway  pilot  project  using  AI  & 
Internet  of  Things  to  provide  safe 
driving  recommendations  and  reduce 
road fatalities; 

 a  robotic  ortho-prosthesis  to  restore 

mobility to amputees;  

3.  THE WAY FORWARD: AN EU INITIATIVE ON AI 

3.1.   Boosting  the  EU's  technological  and  industrial  capacity  and  AI  uptake 

across the economy 

The public and private sectors must seize the opportunities that come both from developing 
innovative AI solutions and applying them to a range of fields.24  

The EU should be ahead of technological developments in AI and ensure they are swiftly 
taken  up  across  its  economy.  This  implies  stepping  up  investments  to  strengthen 
fundamental research and make scientific breakthroughs, upgrade AI research infrastructure, 

19 https://ec.europa.eu/growth/tools-databases/dem/monitor/scoreboard 
20 https://eu-robotics.net/sparc/. 
21 Neuromorphic chips are modelled on biological structures such as brains. This project is part of the Electronic 
Components  and  Systems  for  European  Leadership  joint  undertaking  (EUR  4.8  billion  of  public-private 
investments by 2020).  
22  https://ec.europa.eu/digital-single-market/en/eurohpc-joint-undertaking.  This  infrastructure  will  underpin  the 
European Open Science Cloud that will offer researchers a virtual environment to store, process, share and re-
use their data across disciplines and borders: https://ec.europa.eu/research/openscience/  
23 https://ec.europa.eu/digital-single-market/en/fet-flagships   
24  The  recent  report  of  the  "High  Level  Group  on  Industrial  Technologies"  recognised  AI  as  a  "key  enabling 
technology" highlighting the transformative role of AI and the necessity for the industry to use AI to maintain its 
leadership: http://ec.europa.eu/research/industrial_technologies/pdf/re_finding_industry_022018.pdf  

5 

 
 
                                                 
develop AI applications in key sectors from health to transport, facilitate the uptake of AI and 
the access to data. 

Joint effort by both the public (national and EU levels) and private sectors are needed to 
gradually increase overall investments by 2020 and beyond, in line with the EU's economic 
weight and investments on other continents. 

Public and private research and development investments in AI in the EU last year were 
estimated  to  total  EUR  4-5  billion.25  The  EU  as  a  whole  (public  and  private  sectors 
combined) should aim to increase this investment to at least EUR 20 billion by the end of 
2020. It should then aim for more than EUR 20 billion per year over the following decade 
(this  objective  does  not  pre-empt  any  decision  to  be  taken  with  respect  to  the  next  EU 
multiannual financial framework). 

The Commission will work with Member States on a coordinated plan to help align and step 
up investments, building on the declaration of cooperation signed on 10 April 2018.  

Without such efforts, the EU risks losing out on the opportunities offered by AI, facing 
a  brain-drain  and  being  a  consumer  of  solutions  developed  elsewhere.  The  EU  should 
therefore  strengthen  its  status  as  a  research  powerhouse  while  bringing  more  innovation  to 
the market. A vast majority of European companies  – whether large or small  – should also 
adopt AI technologies.  

Stepping up investments 
2018-2020  

To support joint efforts, the Commission is increasing investments in AI under the research 
and innovation framework programme Horizon 2020 to around EUR 1.5 billion by the end 
of 2020 (this works out as an average of EUR 500 million per year and represents an increase 
of around 70%). Under the existing public-private partnerships (for example in robotics and 
big data), this investment will trigger an additional EUR 2.5 billion over the same period. 
These  investments  will  aim  at  consolidating  research  and  innovation  in  AI,  encouraging 
testing and experimentation, strengthening AI excellence research centres and starting efforts 
to bring AI to all potential users, with a focus on small and medium-sized enterprises.  
If Member States26 and the private sector (beyond established partnerships) make similar 
investment efforts, the total investments in the EU will grow to around EUR 7 billion per 
year,  totalling  more  than  EUR  20  billion  by  the  end  of  2020.    This  will  position  the  EU 
well to further increase efforts over the next decade.  

25 Estimate based on data on public and business spending in research and development (R&D) in information 
and  communication  technologies  (ICT)  (source:  Prospective  Insights  in  ICT  R&D,  PREDICT,  European 
Commission) and the share of funding in AI as part of the Commission's research and development budget in 
information and communication technologies since 2014 (around 13%). Building on previous trends, a similar 
share is calculated for government budget allocations for research and development and business expenditure on 
research and development which represents the major part of investments (ca. EUR 4 billion, which is consistent 
with recent findings by McKinsey). 
26 For example, France has just announced a EUR 1.5 billion investment in AI over five years. 

6 

 
 
 
 
                                                 
Strengthening research and innovation from the lab to the market 
The Commission will support AI technologies both in basic and industrial research27. This 
includes  investments  in  projects  in  key  application  areas  such  as  health,  connected  and 
automated driving, agriculture, manufacturing, energy, next generation internet technologies, 
security and public administrations (including justice). Funding will also reinforce European 
strengths in embodied AI/robotics. 
The Commission will also support breakthrough market-creating innovation such as AI 
through  the  pilot  of  the  European  Innovation  Council.28  A  budget  of  EUR  2.7  billion  is 
made  available  for  2018-2020  to  support  1,000  potential  breakthrough  projects  and  3,000 
feasibility  awards.  This  pilot  scheme  can  be  particularly  helpful  for  AI  development  as  AI 
technology is expected to be part of many projects, for applications in e.g. health, agriculture 
and manufacturing.  
Funding  in  fundamental  research  is  expected  to  be  provided  by  the  European  Research 
Council,  based  on  scientific  excellence.  Marie  Skłodowska-Curie  actions  provide  grants 
for all stages of researchers' careers and have supported research in AI in the past years.  
Supporting AI research excellence centres across Europe 
Building  on  Member  States'  efforts  to  jointly  establish  AI-focused  research  centres,  the 
Commission  will  support  and  strengthen  AI  excellence  centres  across  Europe.  The 
Commission will also encourage and facilitate their collaboration and networking.  
Bringing AI to all small businesses and potential users 
Europe  can  only  reap  the  full  benefits  of  AI  if  it  is 
available and accessible to all. The Commission will 
facilitate  access  of  all  potential  users,  especially 
small  and  medium-sized  enterprises,  companies 
from non-tech sectors and public administrations, 
to  the  latest  technologies  and  encourage  them  to 
test  AI.  To  this  end,  the  Commission  will  support 
the  development  of  an  "AI-on-demand  platform". 
This  will  provide  a  single  access  point  for  all  users 
to  relevant  AI  resources  in  the  EU,  including 
knowledge,  data  repositories,  computing  power 
(cloud,  high  performance  computing),  tools  and 
algorithms. It will offer services and provide support 
to  potential  users  of  the  technology,  analyse  the 
specific 
business  case  behind  AI 
integrate  AI 
circumstances  and  help 
solutions in their processes, products and services.  
To  facilitate  access  to  the  platform,  the  existing 
network of more than 400 Digital Innovation Hubs29 

For  example,  a  small  company  that 
produces  metal 
the 
automotive  industry  could  consult  the 
regional  hub  (which  can  be  a  science 
park  for  example)  and  ask  for  advice 
on  how  to  improve  the  manufacturing 
process  with  AI.  Experts  from  the  hub 
would  then  visit  the  factory,  analyse 
the  production  process,  consult  with 
other  AI  experts  in  the  network  of 
hubs,  make  a  proposal  and 
then 
implement it. These activities would be 
partially financed with EU money.  

help 
Digital 
small  and 
companies 
medium-sized  enterprises) 
take 
advantage  of  digital  opportunities. 
They  offer  expertise  on  technologies, 
business  models, 
testing, 
finance,  market 
intelligence  and 
networking. 

Innovation  Hubs 

(especially 

them 

skills, 

their 

parts 

for 

to 

in 

to 

27 The guiding principle of all support for AI-related research will be the development of "responsible AI", 
putting the human at the centre, see the Commission's "Responsible Research and Innovation" workstream: 
https://ec.europa.eu/programmes/horizon2020/en/h2020-section/responsible-research-innovation  
28 https://ec.europa.eu/programmes/horizon2020/en/h2020-section/european-innovation-council-eic-pilot  
29See  also 
(COM/2016/0180 final) and list of hubs.  

the  Commission's  Communication  of  19  April  2016  on  Digitising  European  Industry 

7 

 
 
                                                 
will be instrumental. Further Hubs are coming on stream and a dedicated network of Digital 
Innovation Hubs focused on AI will be created.  
The  Commission  will  also  analyse  systemic  shifts  in  value  chains  in  order  to  anticipate  AI 
opportunities for small and medium-sized enterprises, pilot critical industrial AI applications 
in  non-tech  sectors,  and  reinforce  the  European  advanced  manufacturing  support  centre  for 
small and medium-sized enterprises. 
Supporting testing and experimentation 
Testing of and experimenting with AI products and services is crucial to make them market-
ready,  ensure  compliance  with  safety  standards  and  rules  as  well  as  security  by  design  and 
enable  policymakers  to  gain  experience  with  new  technologies  to  devise  suitable  legal 
frameworks.  The  Commission  will  support  the  set-up  of  testing  and  experimentation 
infrastructures that are open to businesses of all sizes and from all regions. Building on the 
established  network  of  Digital  Innovation  Hubs,  a  first  series  of  testing  and 
experimentation infrastructures for AI products and services will be set up in the areas of 
healthcare,  transport,  infrastructure  inspection  and  maintenance,  agrifood  and  agile 
production. 
Attracting private investments 
On  top  of  investments  under  the  research  and  innovation  framework  programme,  a 
sufficient  level  of  private  investments  in  the  AI  transformation  is  crucial.  The  European 
Fund  for  Strategic  Investments  will  be  further  mobilised  to  attract  private  investment  to 
support  the  development  and  the  uptake  of  AI,  as  part  of  the  wider  efforts  to  promote 
digitisation. The Commission will work with the European Investment Bank Group with the 
aim  of  reaching  at  least  EUR  500  million  in  total  investments  in  that  area  in  the  period 
2018-2020. In addition, the European Commission and the European Investment Fund have 
just launched a EUR 2.1 billion Pan-European Venture Capital Funds-of-Funds programme – 
VentureEU  –  to  boost  investment  in  innovative  startup  and  scale-up  companies  across 
Europe.  The  Commission  also  provides  support  as  part  of  its  initiatives  to  digitise 
industry30.  

In 2018-2031, the Commission will invest around EUR 1.5 billion in: 
  research and innovation in AI technologies to strengthen European industrial leadership, 
excellence  in  science,  and  support  AI  applications  which  address  societal  challenges  in 
sectors  such  as  health,  transport  and  agrifood.  The  Commission  will  also  support 
breakthrough,  market-creating  innovation  through  the  pilot  phase  of  the  European 
Innovation Council; 

  strengthening AI research excellence centres; and 
  the  uptake  of  AI  across  Europe,  via  a  toolbox  for  potential  users,  with  a  focus  on 
small and medium-sized enterprises, non-tech companies and public administrations: 

30 The Commission has just launched the Strategic Forum for Important Projects of Common European Interest 
to  identify  and  ensure  appropriate  large-scale  finance  for  value  chains  of  strategic  importance  for  Europe 
including the integration of AI to strengthen EU industrial leadership. Moreover, the Commission supports and 
facilitates  inter-regional  partnerships  for  investments  in  advanced  technologies  and  AI  through  its  Smart 
Specialisation Platform on Industrial Modernisation. 
31 Actions will stem from the work programme Horizon 2020. They will be financed within the current financial 
programming  envelope  and  subject  to  future  revision  of  the  work  programme  in  the  frame  of  the  comitology 
procedure.  

8 

 
 
                                                 
this will include an AI-on-demand platform giving support and easy access to the latest 
algorithms and expertise; a network of AI-focused Digital Innovation Hubs facilitating 
testing and experimentation; and the set-up of industrial data platforms offering high 
quality datasets.  

In  addition,  the  Commission  aims  to  stimulate  more  private  investments  in  AI  under  the 
European Fund for Strategic Investments (at least EUR 500 million in 2018-20). 

Beyond 2020  

Commission  proposals  under  the  next  EU  multiannual  financial  framework  (2021-2027) 
will open the door to investments into:  

  upgrading the pan-European network of AI excellence centres;  
  research and innovation in fields such as explainable AI32, unsupervised machine 

learning, energy and data efficiency33; 

  additional Digital Innovation Hubs, world-leading testing and experimentation facilities 

in areas such as transport, healthcare, agrifood and manufacturing, supported by 
regulatory sandboxes34;  

  supporting the adoption of AI by organisations across all sectors, including public interest 

applications, through co-investment with Member States; 

  exploring joint innovation procurement for the use and development of AI; and 

  a support centre for data sharing, which will be closely linked with the AI-on-demand 

platform to facilitate development of business and public sector applications. 

The Commission also intends to continue its support for technologies and infrastructure that 
underpin  and  enable  AI  such  as  high-performance  computing,  microelectronics,  photonics, 
quantum technologies, the Internet of Things and cloud.  

In  doing  so,  the  Commission  will  support  more  energy-efficient  technologies  and 
infrastructure, making the AI value chain greener.  

32 In order to increase transparency and minimise the risk of bias or error, AI systems should be developed in a 
manner which allows humans to understand (the basis of) their actions. 
33 These being methods to use less data in order to train AIs. 
34 These are testing grounds for new business models that are not (yet) regulated. 

9 

 
 
 
 
 
                                                 
Making more data available 
AI  needs  vast  amounts  of  data  to  be  developed.  Machine  learning,  a  type  of  AI,  works  by 
identifying  patterns  in  available  data  and  then  applying  the  knowledge  to  new  data.35  The 
larger a data set, the better even subtle relations in the data can be discovered. When it comes 
to using AI, data-rich environments also provide for more opportunities. This is because data 
is the way the algorithm learns about and interacts with its environment. For example, if all 
machines  and  processes  in  a  factory  continuously  produce  data,  it  is  likely  that  further 
automation and optimisation can be achieved with the help of AI. In an analog setting, e.g. in 
a paper-based operation without digitised data about what is happening, that is not the case. 
In view of this, access to data is a key ingredient for a competitive AI landscape, which the 
EU should facilitate.  
The  EU  has  made  significant  efforts  over  the  past 
15 years to open up public sector information and 
publicly  funded  research  results  for  re-use,  such 
as  data  generated  by  the  EU's  space  programmes 
(Copernicus36,  Galileo).  With 
to 
improve  the  accessibility  and  re-usability  of  such 
data, this body of data will grow further. 
Public  policy  should  also  encourage  the  wider 
availability of privately-held data, while ensuring 
full  respect  for  legislation  on  the  protection  of 
personal data. The Commission calls on companies 
to recognise the importance of non-personal data re-
use, including for AI training purposes. 
A  new  support  centre  for  data  sharing  will 
provide public authorities and companies with legal 
and  technical  support  when  trying  to  access  data 
from public sector bodies and companies.  
The Commission will continue to study how more data can be made available.  

Training  a  deep  learning  algorithm  to 
classify objects works by exposing it to a 
large  number  of  labelled  examples  (e.g. 
pictures)  that  are  correctly  categorised 
(e.g. pictures of planes).  

Deep learning has been a game-changer 
for AI with a tremendous improvement in 
performance  for  specific  tasks  such  as 
image or speech recognition, or machine 
translation.  

Once  trained,  algorithms  can  correctly 
classify  objects  that  they  have  never 
seen, in some cases with accuracies that 
exceed those of humans.  

Significant 
these 
advances 
technologies  have  been  made  through 
the  use  of 
sets  and 
unprecedented computing power.  

large  data 

initiative 

its 

in 

Alongside this Communication, the Commission has put forward a set of initiatives to grow 
the European data space37. These are:  
  an updated Directive on public sector information, e.g. traffic, meteorological, 

economic and financial data or business registers; 

  guidance on sharing private sector data in the economy (including industrial data); 

  an updated Recommendation on access to and preservation of scientific information; 

and 

35  Sometimes  finding  the  pattern  is  itself  the  goal  of  the  activity:  in  text  and  data  mining,  researchers  use 
algorithms  to  “read”  a  large  numbers  of  texts  (e.g.  scientific  papers  on  chemistry)  and  automatically  extract 
knowledge (e.g. finding facts that are not explicitly stated in any one of the papers but can be derived from the 
whole corpus). The Commission introduced an exception for text and data mining as part of the modernisation 
of EU copyright rules.  
36 Copernicus Data and Information Access Services: http://copernicus.eu/news/upcoming-copernicus-data-and-
information-access-services-dias 
37 https://ec.europa.eu/digital-single-market/en/policies/building-european-data-economy 

10 

 
 
                                                 
  a Communication on the digital transformation of health and care, including sharing 

of genomic and other health data sets. 

3.2.  Preparing for socioeconomic changes 

Throughout  history,  the  emergence  of  new  technologies  –  from  electricity  to  the  internet  – 
has  changed the nature of work. It has  brought major  benefits  to  our  society and economy, 
but also raised concerns. The emergence of automation, robotics and AI is transforming the 
labour market, and it is essential for the EU to manage this shift.  
These  technologies  can  make  the  life  of  workers  easier.  They  can,  for  example,  help  them 
with repetitive, strenuous and even dangerous tasks (for example cleaning unsafe or difficult 
to access locations such as industrial pipes). They can also help summarise large amounts of 
data, provide  more accurate information and suggest decisions, including using AI to assist 
doctors  with  diagnosis.  They  ultimately  help  to  enhance  people’s  abilities.  Against  the 
background  of  an  ageing  society,  AI  can  provide  new  solutions  to  support  more  people  to 
participate  and  remain  in  the  labour  market,  including  persons  with  disabilities.  New  jobs 
and tasks will emerge as a result of AI, some of which are difficult, or even impossible to 
predict. Other jobs and tasks will be replaced. While the exact quantification of AI’s impact 
on jobs is difficult to determine at this stage, the need for action is clear.  
Overall  there  are  three  main  challenges  for  the  EU  –  highlighting  the  fundamental  role  of 
education and training, including of teachers and trainers themselves, for which responsibility 
lies  with  Member  States.  The  first  challenge  is  to  prepare  the  society  as  a  whole.  This 
means  helping  all  Europeans  to  develop  basic  digital  skills,  as  well  as  skills  which  are 
complementary to and cannot be replaced by any machine such as critical thinking, creativity 
or management. Secondly, the EU needs to focus efforts to help workers in jobs which are 
likely to be the most transformed or to disappear due to automation, robotics and AI. This 
is  also about  ensuring  access  for all citizens,  including  workers and  the self-employed38, to 
social protection39, in line with the European Pillar of Social Rights. Finally, the EU needs 
to train more specialists in AI, building on its long tradition of academic excellence, create 
the right environment for them to work in the EU and attract more talent from abroad.  

Leaving no one behind 
In 2016, the European Commission launched a comprehensive plan to help equip people with 
the right skills for the evolving labour market: a New Skills Agenda for Europe40. As part of 
this  agenda,  the  Commission  issued  a  Recommendation  for  Member  States  on  "Upskilling 
Pathways:  New  Opportunities  for  Adults"  to  improve  their  basic  literacy,  numeracy  and 
digital skills. A Recommendation was also adopted on key competences for lifelong learning, 
focusing notably on the acquisition of competences in sciences, technology, engineering and 
mathematics (STEM), digital competences, entrepreneurship and creativity. The Commission 
also  presented  a  Digital  Education  Action  Plan41  which  aims  to  foster  digital  skills  and 

38 http://ec.europa.eu/social/BlobServlet?docId=19158&langId=en    
39  Automation  may  impact  the  way  social  protection  is  financed,  necessitating  a  proper  reflection  on  the 
sustainability and adequacy of social security systems. 
40 http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52016DC0381 
41 https://ec.europa.eu/education/sites/education/files/digital-education-action-plan.pdf  

11 

 
 
                                                 
competences  for  all  citizens.  This  plan  explores  the  impact  of  AI  in  education  and  training 
through pilots.  
While  digitisation  is  affecting  the  structure  of  the  labour  market  in  particular  through  the 
automation of middle-skilled jobs, AI could have a more significant impact on lower skilled 
jobs.42  If  not  addressed  early  and  proactively,  this  may  exacerbate  inequalities  between 
people, regions and industries in the EU.  
To manage the AI transformation, workers whose jobs are changing or may disappear due to 
automation  must  have  every  opportunity  to  acquire  the  skills  and  knowledge  they  need,  to 
master new technology and be supported during labour market transitions. This anticipatory 
approach  and  focus  on  investing  in  people  is  a  cornerstone  of  a  human-centric,  inclusive 
approach to AI, and will require a significant investment. National schemes will be essential 
for providing such up-skilling and training. They will benefit from support by the European 
Structural and Investment Funds (supporting skills development with EUR 27 billion over the 
period 2014-2020, out of which the European Social Fund invests 2.3 billion specifically in 
digital skills) and should also benefit from support from the private sector. The Commission 
will also continue to support research into human-AI interaction and cooperation.  

Nurturing talent, diversity and interdisciplinarity  
AI has brought about new job profiles, including in the area of developing machine-learning 
algorithms and other digital innovations.43 Overall, the number of specialists in information 
and communication technologies in the EU has grown annually by 5% since 2011, creating 
1.8 million jobs and rapidly increasing its share of total employment from 3% to 3.7% in just 
five years. There are at least 350,000 vacancies for such professionals in Europe, pointing to 
significant skills gaps.44 This is why Europe should strive to increase the number of people 
trained  in  AI  and  encourage  diversity.  More  women  and  people  of  diverse  backgrounds, 
including  people  with  disabilities,  need  to  be  involved  in  the  development  of  AI,  starting 
from inclusive AI education and training, in order to ensure that AI is non-discriminatory and 
inclusive.  Interdisciplinarity  should  also  be  supported  (by  encouraging  joint  degrees,  for 
example in law or psychology and AI). The importance of ethics in the development and use 
of new technologies should also be featured in programmes and courses. And it is not only 
about training the best talent, but also creating an attractive environment for them to stay 
in the EU.  
Initiatives  to  encourage  more  young  people  to  choose  AI  subjects  and  related  fields  as  a 
career should be promoted. The Commission has recently launched the "Digital Opportunity 
Traineeships"45,  supporting  internships  aimed  at  acquiring  advanced  digital  skills,  and  a 
number of actions of the Digital Skills and Jobs Coalition46 aim at spreading coding skills and 
increasing the number of experts in digital. 
Ensuring that workers are given the chance to adapt and to have access to new opportunities 
will be crucial for people to accept AI. Like any other technology, AI is not just imposed on 
society. It is up to governments, in dialogue with the social partners and civil society bodies, 

42 Organisation for Economic Co-operation and Development, "Automation, skills use and training", 2018.  
43 https://www.cognizant.com/whitepapers/21-jobs-of-the-future-a-guide-to-getting-and-staying-employed-over-
the-next-10-years-codex3049.pdf  
44 http://www.pocbigdata.eu/monitorICTonlinevacancies/general_info/ 
45 https://ec.europa.eu/digital-single-market/en/digital-opportunity-traineeships-boosting-digital-skills-job 
46 https://ec.europa.eu/digital-single-market/en/digital-skills-jobs-coalition        

12 

 
 
                                                 
to collectively steer the process to ensure that its benefits are widely shared, that all citizens 
are suitably equipped to take full advantage of this technology and that a broader reflection 
on potentially deeper societal changes is taking place. 

In 2018, in order to support the efforts of Member States which are responsible for labour and 
education policies, the Commission will: 

  set up dedicated (re-)training schemes in connection with the Blueprint on sectoral 

cooperation on skills47 – which brings together businesses, trade unions, higher education 
institutions and public authorities – for professional profiles which are at risk of being 
automated, with financial support from the European Social Fund48; 

  gather detailed analysis and expert inputs to anticipate the changes on the labour 

market and the skills mismatch across the EU, and inform decision-making at EU, 
national and local levels. More specifically, the Commission will (i) publish a foresight 
report on the impact of AI in education; (ii) launch pilots to predict the training 
requirements for future competence profiles; and (iii) publish an expert report addressing 
the labour market impacts of AI, with recommendations; 

  support Digital Opportunity Traineeships (2018-20) in advanced digital skills for 

students and fresh graduates; 

  encourage, through the Digital Skills and Jobs Coalition, business-education 

partnerships to take steps to attract and retain more AI talent and to foster continued 
collaboration; and 

  invite social partners to include AI and its impact on the economy and employment, 

including the importance of diversity and gender balance in AI jobs, in their joint work 
programmes at sectoral and cross-sectoral level where relevant. 

The European Institute of Innovation and Technology will integrate AI across curricula 
in the education courses it supports, in order to contribute to developing a talent pool for 
AI in Europe. 
Proposals under the next EU multiannual financial framework (2021-2027) will include 
strengthened  support  for  the  acquisition  of  advanced  digital  skills  including  AI-specific 
expertise. 
The  Commission  also  intends  to  broaden  the  scope  of  the  current  European  Globalisation 
Adjustment Fund beyond redundancies caused by delocalisation, including to those resulting 
from digitisation and automation. 

3.3.  Ensuring an appropriate ethical and legal framework  

An environment of trust and accountability around the development and use of AI is needed.  
The values set out in Article 2 of the Treaty on European Union constitute the foundation of 
the rights enjoyed by those living in the Union. In addition, the EU Charter of Fundamental 

47 http://ec.europa.eu/social/main.jsp?catId=1415&langId=en 
48 The cooperation now focuses on the automotive, maritime technology, space, textile and tourism sectors, and 
will  address  six  other  sectors  in  the  future:  additive  manufacturing;  construction;  green  technologies  and 
renewable energy; maritime shipping; paper-based value chain; steel industry. 

13 

 
 
                                                 
Rights brings together all the personal, civic, political, economic and social rights enjoyed by 
people within the EU in a single text.  
The EU has a strong and balanced regulatory framework to build on, which can set the global 
standard  for  a  sustainable  approach  to  this  technology.  The  Union  has  high  standards  in 
terms of safety and product liability. The first EU-wide rules on network and information 
systems security and stronger rules on the protection of personal data will become a reality 
in May 2018.  
The  General  Data  Protection  Regulation  ensures  a  high  standard  of  personal  data 
protection, including the principles of data protection by design and by default. It guarantees 
the  free  flow  of  personal  data  within  the  Union.  It  contains  provisions  on  decision-making 
based solely on automated processing, including profiling. In such cases, data subjects have 
the  right  to  be  provided  with  meaningful  information  about  the  logic  involved  in  the 
decision.49 The General Data Protection Regulation also gives individuals the right not to be 
subject solely to automated decision-making, except in certain situations.50 The Commission 
will closely follow the Regulation's application in the context of AI and calls on the national 
data protection authorities and the European Data Protection Board to do the same.  
The Commission has also put forward a series of proposals under the Digital Single Market 
strategy that will be a key enabler for the development of AI, such as the Regulation on the 
free flow of non-personal data, and that will strengthen trust in the online world, such as the 
ePrivacy Regulation and the Cybersecurity Act. These proposals need to be adopted as soon 
as possible. This is essential as  citizens and businesses alike need to be able to trust the 
technology  they  interact  with,  have  a  predictable  legal  environment  and  rely  on  effective 
safeguards protecting fundamental rights and freedoms.  
To further strengthen trust, people also need to understand how the technology works, hence 
the importance of research into the explainability of AI systems. Indeed, in order to increase 
transparency  and  minimise  the  risk  of  bias  or  error,  AI  systems  should  be  developed  in  a 
manner which allows humans to understand (the basis of) their actions. 
Like every technology or tool, AI can be used to positive but also to malicious ends. Whilst 
AI clearly generates new opportunities, it also poses challenges and risks, for example in the 
areas of safety and liability, security (criminal use or attacks), bias51 and discrimination.  
Reflection  will  be  needed  on  interactions  between  AI  and  intellectual  property  rights,  from 
the  perspective  of  both  intellectual  property  offices  and  users,  with  a  view  to  fostering 
innovation and legal certainty in a balanced way.52 

Draft AI ethics guidelines 
As a first step to address ethical concerns, draft AI ethics guidelines will be developed by 
the end of the year, with due regard to the Charter of Fundamental Rights of the European 
Union. The Commission will bring together all relevant stakeholders in order to help develop 
these draft guidelines.  

49 Articles 13 (2) f), 14 (2) g) and 15 (1) h) of the General Data Protection Regulation. 
50 Article 22 of the General Data Protection Regulation. 
51 Depending on the data input that is used to train AI systems, their outputs can be biased.  
52 Using AI to create works can have implications on intellectual property, with questions arising for instance on 
patentability, copyright and right ownership.  

14 

 
 
                                                 
The draft guidelines will address issues such as the future of work, fairness, safety, security, 
social inclusion and algorithmic transparency. More broadly, they will look at the impact on 
fundamental rights, including privacy, dignity, consumer protection and non-discrimination. 
They  will  build  on  the  work  of  the  European  Group  on  Ethics  in  Science  and  New 
Technologies53  and  take  inspiration  from  other  similar  efforts.54  Companies,  academic 
institutions, and other organisations from civil society bodies will be invited to contribute. In 
parallel,  the  Commission  will  continue  its  work  towards  progress  on  ethics  at  international 
level55. 
While  self-regulation  can  provide  a  first  set  of  benchmarks  against  which  emerging 
applications and outcomes can be assessed, public authorities must ensure that the regulatory 
frameworks  for  developing  and  using  of  AI  technologies  are  in  line  with  these  values  and 
fundamental  rights.  The  Commission  will  monitor  developments  and,  if  necessary,  review 
existing legal frameworks to better adapt them to specific challenges, in particular to ensure 
the respect of the Union’s basic values and fundamental rights. 

Safety and liability 
The  emergence  of  AI,  in  particular  the  complex  enabling  ecosystem  and  the  feature  of 
autonomous decision-making, requires a reflection about  the suitability of some established 
rules on safety and civil law questions on liability.  
For instance, advanced robots and Internet of Things products empowered by AI may act in 
ways that were not envisaged at the time when the system was first put into operation. Given 
AI's widespread uses, both horizontal and sectoral rules may need to be reviewed56.  
The  EU  safety  framework57  already addresses  the  intended  use  and  foreseeable  (mis)use  of 
products  when  placed  on  the  market.  This  has  led  to  the  development  of  a  solid  body  of 
standards  in  the  area  of  AI-enabled  devices  that  is  continuously  being  adapted  in  line  with 
technological progress..  
The  further  development  and  promotion  of  such  safety  standards  and  support  in  EU  and 
international  standardisation  organisations  will  help  enable  European  businesses  to  benefit 
from a competitive advantage, and increase consumer trust58.  

53 The European Group on Ethics in Science and New Technologies is an advisory group of the Commission. 
54 At the EU level, the EU Fundamental Rights Agency will carry out an assessment of the current challenges 
faced by producers and users of new technology with respect of fundamental rights compliance. The European 
Group  on  Ethics  in  Science  and  New  Technologies  also  published  a  relevant  statement  on  AI,  Robotics  and 
‘Autonomous’  Systems  on  9  March  2018.  Examples  of  international  efforts:  Asilomar  AI  principles 
(https://futureoflife.org/ai-principles/),  Montréal  Declaration 
for  Responsible  AI  draft  principles 
(https://www.montrealdeclaration-responsibleai.com/),  UNI  Global  Union  Top  10  Principles  for  Ethical  AI 
(http://www.thefutureworldofwork.org/opinions/10-principles-for-ethical-ai/).  
55  The  European  Commission's  International  Dialogue  on  Bioethics  and  Ethics  in  Science  and  New 
Technologies brings together the National Ethics Councils of EU Member States and of third countries, to work 
together on those matters of common concern.  
56  For  any  new  regulatory  proposals  that  shall  be  needed  to  address  emerging  issues  resulting  from  AI  and 
related  technologies,  the  Commission  applies  the  Innovation  Principle,  a  set  of  tools  and  guidelines  that  was 
developed 
friendly: 
innovation 
https://ec.europa.eu/epsc/publications/strategic-notes/towards-innovation-principle-endorsed-better-
regulation_en  
57 For example, the Machinery Directive, the Radio Equipment Directive, the General Product Safety Directive 
as well as specific safety rules for example for medical devices or toys. 
58  Standards  should  also  cover  interoperability,  which  is  crucial  for  offering  consumers  greater  choices  and 
ensuring fair competition. 

Commission 

initiatives 

ensure 

that 

are 

all 

to 

15 

 
 
                                                 
The  Commission  is  currently  assessing  whether  the  safety  and  national  and  EU  liability 
frameworks are fit for purpose in light of these new challenges or whether any gaps should be 
addressed. A high level of safety and an efficient redress mechanism for victims in case of 
damages helps to build user trust and social acceptance of these technologies.  
Evaluations  of  the  Product  Liability  Directive59  and  the  Machinery  Directive  have  already 
been  conducted.60  An  initial  assessment  was  also  carried  out  on  the  current  liability 
frameworks  in  light  of  AI  and  emerging  technologies.61  An  expert  group  will  help  the 
Commission to analyse these challenges further.62 

Empowering individuals and consumers to make the most of AI 
The large-scale use of AI-enabled tools in business-to-consumer transactions needs to be fair, 
transparent  and  compliant  with  consumer  legislation.  Consumers  should  receive  clear 
information on the use, features and properties of AI-enabled products. Individuals should be 
able  to  control  the  data  generated  by  using  these  tools  and  should  know  whether  they  are 
communicating  with  a  machine  or  another  human.  In  particular,  when  interacting  with  an 
automated system, consideration should be given to when users should be informed on how 
to reach a human and how to ensure that a system's decisions can be checked or corrected. 

The Commission will: 
  set  a  framework  for  stakeholders  and  experts  –    the  European  AI  Alliance  –  to  develop 
draft AI ethics guidelines, with due regard to fundamental rights, by the end of the year, 
in cooperation with the European Group on Ethics in Science and New Technologies;  
  issue a guidance document on the interpretation of the Product Liability Directive in 
light of technological developments by mid-2019. This will seek to ensure legal clarity for 
consumers and producers in case of defective products; 

  publish,  by  mid-2019,  a  report  on  the  broader  implications  for,  potential  gaps  in  and 
orientations  for,  the  liability  and  safety  frameworks  for  AI,  Internet  of  Things  and 
robotics; 

  support  research  in  the  development  of  explainable  AI  and  implement  a  pilot  project 
proposed by the European Parliament on Algorithmic Awareness Building63, to gather a 
solid evidence-base and support the design of policy responses to the challenges brought 
by automated decision-making, including biases and discrimination (2018-2019); and 
  support national and EU-level consumer organisations and data protection supervising 
authorities in building an understanding of AI-powered applications with the input of the 
European Consumer Consultative Group and of the European Data Protection Board. 

59  The  Product  Liability  Directive  states  that  if  a  defective  product  causes  any  damage  to  consumers  or  their 
property, the producer has to provide compensation irrespectively of whether there is negligence or fault on their 
part. 
60  The  evaluation  of  the  Machinery  Directive  indicates  that  some  provisions  do  not  explicitly  address  certain 
aspects  of  emerging  digital  technologies,  and  the  Commission  will  examine  whether  this  requires  legislative 
changes.  On  the  evaluation  of  the  Product  Liability  Directive,  the  Commission  will  issue  an  interpretative 
guidance document, clarifying important concepts in the Directive. 
61 See the Staff Working Document on Liability accompanying this Communication (SWD (2018)137). 
62 http://ec.europa.eu/newsroom/just/item-detail.cfm?item_id=615947 
63 https://ec.europa.eu/digital-single-market/en/algorithmic-awareness-building  

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3.4.  Joining forces  

Engaging Member States 
Several Member States have developed or are working towards strategies to support AI. On 
29 March 2018, France presented its national strategy for AI, building on the Villani report.64 
Germany, following the example of "Industrie 4.0", has set up a platform on learning systems 
to enable a strategic dialogue between academia, industry and the government, and it has put 
forward a report on the ethics of automated and connected driving.65 Finland has put forward 
its 'Tekoälyaika' strategy to make it a leader in the field.66 Every Member State is encouraged 
to have an AI strategy, including on investment.  
Sharing  best  practices,  identifying  synergies  and  aligning  action  where  relevant  will 
maximise the impact of investments in AI and help the EU as a whole to compete globally. 
Cooperating  on  interoperability  and  data  sets,  and  working  together  on  legal  solutions  will 
prevent a fragmentation of the single market and therefore fuel the emergence of AI startups. 
24 Member States and Norway have already committed to joining forces on AI and entering 
into  a  strategic  dialogue  with  the  Commission.67  The  Commission  will  facilitate  this 
dialogue and aim to agree a coordinated plan on AI with Member States by the end of 
the year.  

including  businesses,  consumer  organisations, 

Engaging stakeholders: setting up a European AI Alliance 
Given the scale of the challenge associated with AI, the full mobilisation of a diverse set of 
participants, 
trade  unions,  and  other 
representatives  of  civil  society  bodies  is  essential.  The  Commission  will  therefore  facilitate 
the  creation  and  operation  of  a  broad  multi-stakeholder  platform,  the  European  AI 
Alliance, to work on all aspects of AI.68 The Commission will also facilitate interactions of 
the  Alliance  with  the  European  Parliament,  Member  States,  the  European  Economic  and 
Social Committee, the Committee of the Regions as well as international organisations. The 
Alliance  will  be  a  space  for  sharing  best  practices,  encourage  private  investments  and 
activities related to the development of AI.  

64 https://www.aiforhumanity.fr  
65 https://www.plattform-lernende-systeme.de 
66 https://tekoalyaika.fi/ 
67 https://ec.europa.eu/digital-single-market/en/news/eu-member-states-sign-cooperate-artificial-intelligence 
68 https://ec.europa.eu/digital-single-market/en/news/call-high-level-expert-group-artificial-intelligence 

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Monitoring AI development and uptake 
Many  of  today's  debates  about  AI  are  based  on  opinions,  hearsay  and  assumptions  –  not 
always  on  facts  and  science.  To  ensure  quality  input  and  to  inform  policy-making,  the 
Commission  will  monitor  the  uptake  of  AI  applications  across  the  economy  and  identify 
potential  shifts  in  industrial  value  chains  caused  by  AI  as  well  as  societal  and  legal 
developments  and  the  situation  on  the  labour  market.  It  will  also  benchmark  the  technical 
capabilities  of  AI  components  and  systems  to  give  a  realistic  understanding  of  where  the 
technology stands, and help increase public awareness.69 The Commission will also regularly 
assess progress towards the objectives and the initiatives set out in this Communication. 

International outreach 
International discussions on AI have intensified after Japan's G7 Presidency put the topic on 
the  table  in  2016.  The  EU  has  supported  these  discussions  both  in  G7  ministerial  meetings 
and at the Organisation for Economic Co-operation and Development, which is becoming a 
major  international  venue  to  discuss  this  topic.  More  specifically,  the  Commission  has 
encouraged the discussions on AI ethics within the G7.  
With AI being easily tradeable across borders, only global solutions will be sustainable in this 
domain.  The  G7/G20,  United  Nations  and  Organisation  for  Economic  Co-operation  and 
Development have begun to address the role of AI, including in the military domain. The EU 
will continue to encourage discussions on AI and its various dimensions – including research 
and innovation cooperation as well as competitiveness – in such fora. It will promote the use 
of  AI,  and  technologies  in  general,  to  help  solve  global  challenges,  support  the 
implementation of the Paris Climate agreement and achieve the  United Nations Sustainable 
Development Goals.  
The EU can make a unique contribution to the worldwide debate on AI based on its values 
and fundamental rights. 

  By  the  end  of  the  year,  the  Commission  will  work,  as  part  of  the  existing  European 
platform of national initiatives to digitise industry, on a coordinated plan with Member 
States in order to maximise the impact of investments at EU and national levels, exchange 
on  the  best  way  for  governments  to  prepare  Europeans  for  the  AI  transformation  and 
address legal and ethical considerations. In parallel, the Commission will systematically 
monitor AI-related developments, e.g. policy initiatives in the Member States, AI uptake 
and  its  impact  on  labour  markets  as  well  as  AI  capabilities,  including  high-level 
benchmarking,  showcasing  current  capabilities  and  developing  an  AI  index  in  order  to 
inform the discussions.  

  By  July  2018,  the  European  AI  Alliance  will  be  set  up.  It  will  involve  all  relevant 
stakeholders to gather input, exchange views, develop and implement common measures 
to encourage the development and use of AI.  

4.  CONCLUSION 

The EU has a strong scientific and industrial base to build on, with leading research labs and 
universities,  recognised  leadership  in  robotics  as  well  as  innovative  startups.  It  has  a 

69 This work shall also be informed by the EU Agency on Fundamental Rights. 

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comprehensive legal framework which protects consumers while promoting innovation and it 
is making progress in creating a Digital Single Market. The main ingredients are there for 
the EU to become a leader in the AI revolution, in its own way and based on its values.  
The  approach  to  AI  described  in  this  document  shows  the  way  forward  and  highlights  the 
need  to  join  forces  at  European  level,  to  ensure  that  all  Europeans  are  part  of  the  digital 
transformation,  that  adequate  resources  are  devoted  to  AI  and  that  the  Union’s  values  and 
fundamental rights are at the forefront of the AI landscape.   
Together, we can place the power of AI at the service of human progress.  

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