The European Commission (EC), the EU’s main executive body, is actively seeking ways to reduce redundancies within its technology regulations, in response to industry feedback about the increasing number of directives in recent years. According to a Reuters report, EC Technological Sovereignty, Security and Democracy executive-vice president Henna Virkkunen stressed the Commission’s dedication to making rules simpler for businesses.

She also underscored the importance of maintaining the integrity of current legislation, such as the Digital Services Act (DSA), Digital Markets Act (DMA), and the AI Act. During a press engagement in Amsterdam, Virkkunen clarified that there are no intentions to weaken these pivotal laws. The Digital Services Act (DSA) and Digital Markets Act (DMA), which were adopted in 2022, are designed to enhance online safety and ensure fair competition in the digital market. The AI Act became effective in 2024 to foster a safe and ethical AI environment while addressing potential risks.

Virkkunen stressed the necessity for all businesses operating within Europe to abide by its regulations, regardless of their origin. “We will look at all our digital rules … often it’s the same company who has to comply with the different rules,” the news agency quoted her as saying. “It’s possible that we are amending some parts of them where we see that there are, for example, overlapping parts, and we are also looking at how we can cut red tape and bureaucracy, especially for example, reporting obligations.”

EC digital chief expressed a preference for the consistent enforcement of current EU regulations rather than pursuing new directives.

EU digital acts face global and local scrutiny

The EU’s aggressive stance on tech regulation has drawn criticism from various quarters. US President Donald Trump criticized it for targeting major American tech companies, while European businesses complained that stringent EU regulations hinder innovation within the sector.

Last month, the EC retracted three regulatory proposals related to technology patents, AI liability, and consumer privacy in messaging applications. The decision was taken following opposition from industries and technology firms.

Additionally, the Commission has postponed the adoption of new climate change targets and sustainability rules, acknowledging industry complaints about the EU’s diminishing competitive edge against US and Chinese counterparts.

Meanwhile, EC has initiated infringement procedures against 13 member states for incomplete transposition of the Digital Operational Resilience Act (DORA) Directive into national law. The directive, which should have been implemented by January 2025, sets out robust digital operational resilience standards for financial entities.

The member states in question have a two-month deadline to address the Commission’s concerns and finalise their legislative processes.

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