Regulating AI: Italy Approves Bill with Strict Penalties and Support for Startups

Government unveils artificial intelligence bill

In a bid to regulate the diverse applications of artificial intelligence (AI), the Council of Ministers has approved a bill that includes strict penalties, such as imprisonment ranging from one to five years for those causing “unjust damage” using AI systems. The document aims to bring order to the sector while emphasizing respect for human autonomy and decision-making in AI development and use.

The bill also mandates that systems like chatbots be registered for under 14s only with parental consent. Additionally, one billion euros will be allocated over a three-year period to support startups in the sector, aiming to establish at least one leading company in the national market.

According to Minister of Justice, Carlo Nordio, crimes where AI could have a harmful impact are considered aggravating circumstances. Minister of Business, Adolfo Urso, highlights the goal of creating a fair and open AI market, involving SMEs in innovative AI processes. Undersecretary for Innovation, Alessio Buttthe, explains that the bill outlines a national strategy for AI oversight and promotes industrial policies for AI development, aligning public and private entities towards a common goal.

The bill emphasizes the importance of updating the strategy regularly and involving relevant authorities for supervision and regulation. While drawing inspiration from other countries’ AI legislation, the national strategy aims to prioritize human values and develop a comprehensive industrial policy for AI. Secondary rules and regulations are expected to outline implementation details and foster the growth of AI innovation in the country.

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