Major European companies have called on the European Union (EU) to delay the implementation of its landmark AI Act. This request comes as the EU considers revising key aspects of the legislation, set to be enforced in August 2025.
According to a report in The Financial Times, the heads of 44 leading companies in Europe have sent an open letter to European Commission President Ursula von der Leyen, requesting a two-year postponement of the AI Act.
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The letter was signed by the chief executives of companies including Airbus, Carrefour, Philips and BNP Paribas.
They argue that the current regulatory framework, with its complex and overlapping rules, poses a threat to Europe’s competitiveness in the global AI landscape.
The letter warns that these regulations could hinder the development of European AI leaders and the ability of industries to deploy AI technology effectively.
The AI Act, known for being one of the world’s strictest AI regulatory regimes, has faced scrutiny not only from European businesses but also from the US government and major tech companies.
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By GlobalDataThe ongoing debate involves the creation of a ‘code of practice’ aimed at guiding AI companies on compliance. This will affect advanced AI models such as Google’s Gemini, Meta’s Llama, and OpenAI’s GPT-4.
Although the code’s publication was initially scheduled for May 2025, it has been delayed, with expectations of a more lenient approach.
Earlier in July 2025, EU technology chief Henna Virkkunen stated that the commission is finalising the code of practice in preparation for the August 2025 deadline. “We will publish the code of practice before that to support our industry and SMEs to comply with our AI Act,” was quoted ” she was quoted by FT as saying.
Discussions among European Commission officials and member states are underway to streamline the AI Act’s complex timeline. Although the legislation became effective last August, many of its provisions are set to be implemented in the coming years.
The letter from European CEOs was organised by the EU AI Champions Initiative, which represents 110 companies across various sectors.
In a separate letter, more than 30 European AI startup founders and investors criticised the legislation as ‘a rushed ticking time bomb’.
They expressed concerns over the ambiguity in regulating general-purpose AI models, fearing that inconsistent rules across member states could favour well-funded US tech giants over smaller local businesses.
