The four risk categories
The EU AI Act (Regulation (EU) 2024/1689) regulates AI by what it is used for, not by the technology. Each use falls into one of four categories:
| Category | Examples | What it means |
|---|---|---|
| Prohibited (Art 5) | Social scoring; manipulative or deceptive techniques; emotion recognition at work or in education; real-time remote biometric identification in public spaces for law enforcement, with narrow exceptions | Banned |
| High-risk (Annex III and Annex I) | Remote biometric identification; CV screening and decisions about employment or education; credit scoring and life or health insurance pricing; safety components of critical infrastructure; AI in regulated products | Risk management, data governance, documentation, logging, human oversight, accuracy and security, conformity assessment |
| Limited risk (Art 50) | Chatbots; AI-generated or manipulated content | Transparency: tell people they are dealing with AI, and label generated content |
| Minimal risk | Spam filters, recommendations, most internal tools | No new obligations |
Key dates
The Digital Omnibus on AI (Regulation (EU) 2026/1744) moved several of the original dates:
| Date | What applies |
|---|---|
| 2 February 2025 | Prohibited practices banned |
| 2 August 2025 | Obligations for general-purpose AI models |
| 2 December 2026 | Two further practices added to the prohibited list; end of the grace period for labelling AI-generated content (Art 50(2)) |
| 2 December 2027 | High-risk obligations for Annex III use cases |
| 2 August 2028 | High-risk obligations for AI in products covered by Annex I |
Fines
| Breach | Maximum fine (whichever is higher) |
|---|---|
| Prohibited practices (Art 5) | €35 million or 7% of worldwide annual turnover |
| Most other obligations, including high-risk and transparency duties | €15 million or 3% |
| Supplying incorrect or misleading information to authorities | €7.5 million or 1% |
For SMEs and startups, the lower of the two amounts applies (Art 99(6)).
Does it apply to companies outside the EU?
Yes, if you place an AI system on the EU market or its output is used in the EU (Art 2). A company in India or the US whose chatbot serves EU customers is covered by the transparency duties, for example.
Provider or deployer?
Providers develop an AI system, or have one developed, and place it on the market under their name. Deployers use one in their own operations. High-risk providers carry most of the obligations, but deployers have their own: using the system as instructed, human oversight, monitoring and, in some cases, informing the people affected.
The classifier above gives an indicative category. Every Art 5 practice and Annex III entry has conditions and exceptions, so get legal advice before relying on the result. For the security side of high-risk systems (accuracy, robustness and cybersecurity), see our security testing and vCISO services.
Sources
- EU AI Act: Regulation (EU) 2024/1689 (EUR-Lex)
- Digital Omnibus on AI: Regulation (EU) 2026/1744 (EUR-Lex)
Facts checked against the sources above on 22 October 2026. General information, not legal advice.
