{"id":3917,"date":"2025-07-25T09:05:30","date_gmt":"2025-07-25T09:05:30","guid":{"rendered":"https:\/\/sawaryn.com\/?p=3917"},"modified":"2026-10-23T10:00:37","modified_gmt":"2026-10-23T10:00:37","slug":"what-is-an-ai-system-under-the-ai-act","status":"publish","type":"post","link":"https:\/\/sawaryn.com\/en\/publikacje\/what-is-an-ai-system-under-the-ai-act\/","title":{"rendered":"What Is an AI System Under the AI Act?"},"content":{"rendered":"<p>The AI Act is the first EU regulation governing the development, supply and use of artificial intelligence. If you design, deploy or use AI, the Regulation imposes specific duties on you. Failure to comply may mean substantial financial penalties and administrative liability. This article introduces the AI Act, its implementation timeline and the definition of an AI system, which determines whether the rules apply to you at all.<\/p>\n<h2>Challenges involving AI: what led to the AI Act?<\/h2>\n<p>Before looking at the AI Act itself, it is worth considering the challenges that led to its creation. They help explain why the European Union decided to regulate the use of artificial intelligence.<\/p>\n<p>Key issues that shaped the rules include:<\/p>\n<ul>\n<li>the black box problem,<\/li>\n<li>data processing,<\/li>\n<li>copyright and related rights,<\/li>\n<li>what is permitted and what is prohibited,<\/li>\n<li>responsibility for AI.<\/li>\n<\/ul>\n<h3>The black box<\/h3>\n<p>AI is one of the few technologies whose output cannot always be traced and explained clearly. Opaque algorithms of this kind are called a &#8220;black box&#8221;.<\/p>\n<p>&nbsp;<\/p>\n<p>Businesses need to act on two levels:<\/p>\n<ol>\n<li>AI system developers must be able to show how their software works. The AI Act requires greater algorithmic transparency.<\/li>\n<li>AI users should know how the system they use works, especially if they entrust it with company or personal data.<\/li>\n<\/ol>\n<p>In other words:<\/p>\n<ol>\n<li>If you build an AI-based system, you need to understand exactly how it works.<\/li>\n<li>If you use AI, you need to understand how it works so you know what it may do with your data and processes.<\/li>\n<\/ol>\n<p>Otherwise, you could unknowingly disclose confidential data, for example to a server in China. That is an uncomfortable situation for any business.<\/p>\n<h3>Data processing, including personal data<\/h3>\n<p>The black box issue is directly connected to another challenge: <strong>data<\/strong>, particularly processing it in accordance with the <strong><a href=\"https:\/\/sawaryn.com\/publikacje\/co-to-jest-rodo\/\">GDPR<\/a><\/strong>.<\/p>\n<p>In simplified terms, AI learns from data provided by its developers and users. Many systems also use publicly available online content, making it harder to control exactly what they use and how they arrive at their answers.<\/p>\n<p>&nbsp;<\/p>\n<p>If your business plans to use AI, ask these questions before processing any data:<\/p>\n<ul>\n<li>What data may you actually enter into an AI system? Is it personal data, client data or confidential information?<\/li>\n<li>Does the system you use learn from that data, and what happens to the data afterwards?<\/li>\n<li>Is the AI provider entitled to use the data to train the model further or share it with other parties?<\/li>\n<li>Do you have an appropriate legal basis, such as consent or provisions in your <strong><a href=\"https:\/\/sawaryn.com\/en\/publikacje\/gdpr-privacy-cookie-policy-requirements\/\">privacy policy<\/a><\/strong> or agreements, for that processing?<\/li>\n<\/ul>\n<p>These are questions to resolve in advance. The answers affect whether your business <strong><a href=\"https:\/\/sawaryn.com\/publikacje\/wdrozenie-rodo-w-firmie-audyt-danych-osobowych-rodo-gdpr-i-outsourcing-iod\/\">complies with the GDPR<\/a><\/strong> and whether it faces real risks, including penalties, loss of client trust and data breaches.<\/p>\n<p>For a business, two things are at stake:<\/p>\n<ol>\n<li><strong>The ability to use data you already hold lawfully<\/strong>, for example for analysis, personalization or automation.<\/li>\n<li><strong><a href=\"https:\/\/sawaryn.com\/en\/publikacje\/gdpr-data-protection-policy-ai\/\">Protecting that data<\/a><\/strong> so it does not leak in an uncontrolled way and create problems. If the GDPR is breached, the consequences may include reputational damage and penalties of up to EUR 20 million or 4% of annual turnover.<\/li>\n<\/ol>\n<h3>Copyright and related rights<\/h3>\n<p>Another important issue is copyright in AI-generated work. Who has rights to images, text, code or other content generated by AI? Can it be lawfully used, protected and even sold?<\/p>\n<p>These questions matter to businesses that create content with AI and those planning to commercialize it.<\/p>\n<p>&nbsp;<\/p>\n<p>Two potential problems are particularly important:<\/p>\n<p><strong>1. Risk of infringing someone else&#8217;s copyright.<\/strong> AI may, for example, produce an image very similar to an existing one, such as a stock photograph or another artist&#8217;s work. You may not even know it is a &#8220;plagiarism&#8221;, but if a client publishes it, the client may be liable for copyright infringement. AI does not create from nothing; it learns from other people&#8217;s work.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>2. Uncertainty about rights in your own output.<\/strong> Copyright protects works created by people. If an image, text or code is created solely by AI, there is formally no author and therefore no copyright. If your employees create something &#8220;with the help of AI&#8221;, there is no simple answer either. It is necessary to assess how creative the person&#8217;s contribution is and whether the result is individual. Case law in this area is still developing. Hopefully, clear rules will emerge for determining when copyright arises in a work created by a person using AI tools.<\/p>\n<p>In practice, your business should ensure:<\/p>\n<ol>\n<li>clear rules for using AI in creative work,<\/li>\n<li>documentation of the human creative process when a person uses AI as a supporting tool,<\/li>\n<li>appropriate client-agreement provisions, for example disclosure of AI use and terms concerning copyright or <em>know-how<\/em>,<\/li>\n<li>awareness that not every work created using AI is eligible for copyright protection and that some output may have no &#8220;owner&#8221; in the legal sense.<\/li>\n<\/ol>\n<p>At the outset, it is important to note that the AI Act does not, in principle, regulate the copyright issues described above.<\/p>\n<h3>What is permitted and what is prohibited in AI use?<\/h3>\n<p>Artificial intelligence can now operate fully autonomously. It may decide whether to hire or dismiss an employee, grant credit, assess financial risk or user behavior, profile clients, and even influence political views and purchasing decisions.<\/p>\n<p>Its potential influence on people, businesses and entire societies is considerable and not always positive.<\/p>\n<p>That is why it became necessary to clarify what AI may be used for, which applications require additional oversight and which are <strong><a href=\"https:\/\/sawaryn.com\/en\/publications\/limiting-the-abuse-of-artificial-intelligence-according-to-assumptions-in-the-us-and-eu-what-do-you-need-to-know-about-it\/\">completely prohibited<\/a><\/strong>.<\/p>\n<p>The AI Act is intended to provide that framework.<\/p>\n<h2>Responsibility for AI<\/h2>\n<p>The fact that you did not create an AI system does not mean you have no responsibility for it. If your business uses AI, legal risk may concern you too. AI makes decisions, advises and recommends, and sometimes acts on a person&#8217;s behalf. If an error, harm or complaint occurs, someone must take responsibility.<\/p>\n<p>&nbsp;<\/p>\n<p>The role your business plays matters:<\/p>\n<ul>\n<li><strong>Developer of its own AI system<\/strong>: these businesses remain a minority, but their number is growing. Their responsibilities include system safety, transparency and compliance.<\/li>\n<li><strong>User of AI solutions supplied by others<\/strong>: you are responsible for how you use them, including whether you follow data-protection rules, respect users&#8217; rights, avoid harm and ensure that decisions are lawful.<\/li>\n<li><strong>End user<\/strong>: you also need to know where your responsibility begins and ends, including for incorrect recommendations, AI-generated content or automated decisions.<\/li>\n<\/ul>\n<p>The AI Act therefore specifies duties for AI providers and deployers. Their scope depends on the risk level of the system and on whether it qualifies as an AI system under the Regulation.<\/p>\n<h2>When does the AI Act apply?<\/h2>\n<p>The Artificial Intelligence Act entered into force on 1 August 2024. Not all its rules applied immediately; implementation was phased over time to allow businesses and institutions to adapt without excessive operational disruption.<\/p>\n<p>&nbsp;<\/p>\n<p>The timeline is as follows:<\/p>\n<ul>\n<li><strong>2 February 2025<\/strong>: rules on prohibited AI practices began to apply, including:\n<ul>\n<li>the use of subliminal and manipulative techniques,<\/li>\n<li>social scoring,<\/li>\n<li>assessing the risk of committing a crime based on profiling or personality traits.<\/li>\n<\/ul>\n<\/li>\n<li><strong>2 August 2025<\/strong>: rules began to apply concerning:\n<ul>\n<li>duties of providers of general-purpose AI models,<\/li>\n<li>the operation of national supervisory authorities,<\/li>\n<li>the rules for imposing penalties for AI Act violations.<\/li>\n<\/ul>\n<\/li>\n<li><strong>2 August 2026<\/strong>: rules concerning <strong><a href=\"https:\/\/sawaryn.com\/en\/publikacje\/high-risk-ai-systems-eu-ai-act\/\">high-risk AI systems<\/a><\/strong>, including conformity-assessment duties, are scheduled to begin applying.<\/li>\n<\/ul>\n<h2>Definition of an artificial intelligence system under the AI Act<\/h2>\n<p>If you create or use software that does not meet the definition of an AI system, the AI Act does not apply to you. In that situation, the new rules do not apply and you do not need to make changes.<\/p>\n<p>The AI Act defines an artificial intelligence system as:<\/p>\n<blockquote><p><em>&#8220;a machine-based system designed to operate with varying levels of autonomy, that may exhibit adaptiveness after deployment and that, for explicit or implicit objectives, infers, from the input it receives, how to generate outputs such as predictions, content, recommendations or decisions that can influence physical or virtual environments.&#8221;<\/em><\/p><\/blockquote>\n<h3>When does a solution meet the definition of an AI system?<\/h3>\n<p>Check whether your software meets these conditions:<\/p>\n<ul>\n<li><strong>It is a machine-based system<\/strong>: software that operates automatically or semi-automatically. As a rule, all IT systems meet this condition.<\/li>\n<li><strong>It is designed to operate with varying levels of autonomy<\/strong>: it does not operate solely on predefined rules and can determine, to some extent, its own course of action to achieve a goal.<\/li>\n<li><strong>It may exhibit adaptiveness<\/strong>, meaning it can &#8220;learn&#8221; from data. This is not a necessary condition, but if present, the system will almost certainly be classified as AI.<\/li>\n<li><strong>It infers how to generate outputs<\/strong>: based on input data, it makes decisions, gives recommendations or creates content.<\/li>\n<li><strong>Its outputs influence an environment<\/strong>, physical, such as controlling a machine, or virtual, such as recommending a product or moderating content automatically.<\/li>\n<\/ul>\n<p>If your system meets these conditions, even partially, it is worth assuming that it falls within the scope of the AI Act and that it requires at least a preliminary compliance analysis.<\/p>\n<p>Read the <strong><a href=\"https:\/\/sawaryn.com\/en\/publikacje\/what-is-an-ai-system-under-the-ai-act\/\">next article<\/a><\/strong>, which discusses in more detail who is covered by the Regulation and which entities may not have to apply it.<\/p>\n<h2>Summary<\/h2>\n<p>The AI Act introduces the EU&#8217;s first comprehensive legal framework for developing and using AI systems. It organizes the rules for AI use and imposes duties on both AI system developers and providers and AI users.<\/p>\n<p>Check whether a solution meets the definition of an AI system, because only then is it subject to the AI Act.<\/p>\n<p>&nbsp;<\/p>\n<p>Are you wondering whether the AI Act applies to your business or whether your systems qualify as AI systems?<\/p>\n<p>Do not leave these questions unanswered, particularly in light of the approaching deadline for high-risk AI system rules, which falls on <strong>2 August 2026<\/strong>.<\/p>\n<p>Contact our law firm if you need support assessing legal risks, implementing AI Act compliance or preparing AI documentation for your business. We specialize in new technology and AI law and combine that experience with a practical business approach.<\/p>\n<h2>Frequently asked questions<\/h2>\n<p><strong>What exactly is an AI system under the AI Act?<\/strong> The AI Act defines an AI system as a machine-based system designed to operate with varying levels of autonomy, which may exhibit adaptiveness after deployment and infers how to generate outputs from input data. Those outputs, such as predictions, content, recommendations or decisions, may influence physical or virtual environments. If your software meets these conditions, even partially, it is worth assuming that it falls within the scope of the AI Act and that it requires at least a preliminary compliance analysis.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>How can I tell whether an AI tool used by my business is covered by the AI Act?<\/strong> Check five features: whether it is a machine-based system that operates automatically or semi-automatically; whether it has some autonomy rather than following only fixed rules; whether it can adapt or &#8220;learn&#8221; from data; whether it infers and generates outputs from inputs; and whether those outputs affect a physical or virtual environment. If the software does not meet the definition, the AI Act does not apply and no changes are needed.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>When do the different AI Act duties start applying to businesses?<\/strong> The AI Act entered into force on 1 August 2024, but its requirements are being phased in. From 2 February 2025, rules on manipulative practices, social scoring and crime-risk profiling apply. From 2 August 2025, provisions concerning general-purpose AI models, supervisory authorities and penalties apply. From 2 August 2026, rules concerning high-risk AI systems and their conformity assessment are scheduled to apply. Plan implementation in advance. The last date affects the largest group of businesses.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>What legal risks does a business face if it uses AI but did not create the system?<\/strong> Even if you did not create the system, you are responsible for how you use it, including following data-protection rules, respecting users&#8217; rights, avoiding harm and ensuring decisions are lawful. The AI Act sets duties for both providers and deployers, with scope depending on the system&#8217;s risk level. Inaction may expose a business to financial penalties and administrative liability even when someone else produced the system.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>What should I consider before entering personal data or confidential information into AI tools?<\/strong> Before entering any data, establish four things: what data you may enter, including personal, client or confidential data; whether the system learns from it and what happens to it next; whether the provider may use it for further model training or share it; and whether you have a legal basis, such as consent or provisions in a privacy policy or agreement. Many AI systems operate as a &#8220;black box&#8221;, making it difficult to know where data goes. A GDPR breach may lead to penalties of up to EUR 20 million or 4% of annual turnover and loss of client trust.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A practical introduction to the AI Act&#8217;s definition of an AI system, its staged timeline and the data, copyright and accountability issues businesses should consider.<\/p>\n","protected":false},"author":10,"featured_media":1905,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","sip_alt_url":"","sip_en_pl_url":"","sip_pair_uuid":"","sip_pair_state":""},"categories":[1577],"tags":[1545,1448,1446,1543],"specialization":[1211],"practice_area":[],"class_list":["post-3917","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-it-ai-ip-law","tag-ai-act-en","tag-compliance","tag-gdpr","tag-it-ai-and-ip-law","specialization-it-ai-ip-law"],"acf":[],"_links":{"self":[{"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/posts\/3917","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/comments?post=3917"}],"version-history":[{"count":1,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/posts\/3917\/revisions"}],"predecessor-version":[{"id":4155,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/posts\/3917\/revisions\/4155"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/media\/1905"}],"wp:attachment":[{"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/media?parent=3917"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/categories?post=3917"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/tags?post=3917"},{"taxonomy":"specialization","embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/specialization?post=3917"},{"taxonomy":"practice_area","embeddable":true,"href":"https:\/\/sawaryn.com\/en\/wp-json\/wp\/v2\/practice_area?post=3917"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}