EU to Ease Some AI and Data Rules After Industry Pressure — Proposals Would Simplify Regulation and Pause Some High‑Risk AI Requirements

The European Commission will unveil proposals to revise parts of its AI and data-privacy framework in an effort to cut red tape, boost economic growth and help European companies compete with US and Chinese technology giants. Officials say the package aims to simplify overlapping rules while preserving fundamental privacy protections.

What’s being proposed

EU technology chief Henna Virkkunen is set to present the measures alongside the commissioner responsible for data protection, Michael McGrath. Draft documents and briefings indicate the package could include:

• Redefinition of personal data: Clarifying what counts as personal data and allowing firms in certain cases to process such data to train AI models on the basis of a "legitimate interest" — a move that rights groups warn could weaken privacy safeguards.
• Pause on high-risk AI rules: A proposed one-year pause on implementing many provisions that apply to so-called high-risk AI systems — those judged capable of threatening safety, health or fundamental rights — effectively shifting some obligations from next year to 2027.
• Fixing cookie consent: Measures to cut back intrusive cookie banners and make consent mechanisms less annoying and more user-friendly for everyday internet users.

Industry and political reactions

Dozens of large European firms, including Airbus, Lufthansa and Mercedes-Benz, urged a pause to parts of the AI law in July, arguing stringent rules could stifle innovation. The proposed delay and clarifications are likely to be welcomed by many businesses in Europe and the United States.

But the changes face opposition from civil liberties groups and portions of the European Parliament. Critics warn that broadening legitimate-interest processing and delaying safeguards could erode privacy and reduce protections for citizens. Socialist and centrist lawmakers have already signalled resistance to measures they see as weakening rights.

Next steps and hurdles

Any amendments will require approval from both the European Parliament and member states, creating a potentially difficult path ahead for the commission. Supporters of simplification argue that current rules are too complex, overlapping and inconsistently enforced — creating uncertainty for businesses and fragmenting the single market. Opponents say the EU should remain a global standard-setter for tech regulation rather than rolling back oversight.

Bottom line: The commission’s package seeks to balance competitiveness and innovation with privacy and safety, but the final outcome will depend on political negotiations in Brussels and among member states.