South Korea Unveils Groundbreaking AI Regulatory Framework
On Thursday, South Korea unveiled what it purports to be the world’s foremost comprehensive regulatory framework for artificial intelligence, aiming to enhance trust and safety within the burgeoning sector.
Nevertheless, startups have voiced apprehensions that the regulatory obligations could inadvertently hamstring innovation.
The AI Basic Act, which is now operational in South Korea, seeks to establish the nation as a vanguard in global AI governance.
This legislative initiative coincides with the European Union’s gradual rollout of the EU AI Act, which will unfold over the next several years, as reported by Reuters.
Global perspectives on AI regulation are starkly divergent. The United States leans toward a less intrusive regulatory model, intent on fostering innovation, while China has enacted initial regulations and proposed an authority for international oversight.
Among the salient provisions within South Korea’s legislation, companies are required to ensure human oversight for “high-impact” AI systems that include critical sectors such as nuclear safety, water supply, transportation, healthcare, and financial services, particularly in areas like credit evaluation and loan assessments.
Additional stipulations necessitate that companies notify the public prior to deploying high-impact or generative AI technologies and mandate the clear labeling of AI-generated content, especially when it might be indistinguishable from authentic human output.
The Ministry of Science and ICT has articulated that this robust legal framework is geared toward facilitating AI adoption while grounding it in safety and trust.
The bill, formulated after extensive consultations, grants companies a grace period of at least one year before regulatory bodies commence imposing administrative penalties for non-compliance.
Penalties may be substantial; for example, failing to label generative AI could result in fines reaching up to 30 million won (approximately $20,400).
Science Minister Bae Kyung-hoon, a former leader in AI research at electronics conglomerate LG, emphasized that the law would furnish a “critical institutional foundation” for South Korea’s aspiration to ascend as one of the top three global AI powers.
Conversely, Lim Jung-wook, co-head of South Korea’s Startup Alliance, expressed discontent among many founders regarding the uncertainty surrounding specific regulatory details.
“There’s a bit of resentment — why do we have to be the first to do this?” he remarked.
Furthermore, Jeong Joo-yeon, a senior researcher within the alliance, noted that the vagueness of the legislative language could compel companies to adopt the most conservative approaches to mitigate regulatory risks.
The ministry has announced plans to establish a guidance platform, along with a dedicated support center, to assist companies throughout the grace period.
Moreover, a spokesperson indicated that efforts would persist to alleviate burdens on the industry, with a possibility of extending the grace period should domestic or international industry conditions warrant such an adjustment.
Source link: News.az.
