Big Tech’s Dominance Threatens Fair AI Standards

Big Tech’s Influence on AI Standards

A recent report by Corporate Europe Observatory (CEO) raises serious concerns regarding the influence of big tech companies over the development of artificial intelligence (AI) standards in the European Union. The report reveals that these corporations play a disproportionately significant role in shaping the standards that govern AI technology, potentially undermining the regulatory framework intended to protect fundamental rights.

Disproportionate Representation

The report indicates that over half (55%) of the 143 members involved in the joint technical committee on AI (JTC21)—established by European standardisation bodies CEN and CENELEC—are corporate representatives. This includes 54 members from companies and 24 from consultancies. Alarmingly, nearly 25% of these corporate representatives hail from U.S. companies, including major players like Microsoft, IBM, Amazon, and Google.

In stark contrast, civil society organizations are only represented by 9% of JTC21 members, raising significant concerns about the inclusivity of the standard-setting process.

The AI Act’s Business-Friendly Approach

The AI Act, heralded as the world’s first attempt to regulate AI using a risk-based approach, was approved in August 2023 and is set to gradually come into effect. However, the report argues that the AI Act adopts a business-friendly orientation, leaving complex and fundamental rights issues to standard-setting organizations that may prioritize corporate interests over public welfare.

Concerns from Experts

Bram Vranken, a researcher and campaigner at CEO, stated, “The European Commission’s decision to delegate public policymaking on AI to a private body is deeply problematic. For the first time, standard setting is being used to implement requirements related to fundamental rights, fairness, trustworthiness and bias.”

National Standard-Setting Bodies

The report also examines national standard-setting bodies in countries like France, the UK, and the Netherlands. It found that corporate interests dominate these organizations, with corporate representation at 56% in France, 50% in the UK, and 58% in the Netherlands. This trend further emphasizes the challenge of enforcing standards that address bias and discrimination in AI systems.

The European Commission’s Response

In response to the concerns raised by CEO, the European Commission asserted that standards set by CEN-CENELEC will undergo thorough assessments before being officially recognized. They stated that these standards must adequately reflect the objectives of the AI Act and the requirements for high-risk AI systems.

Urgency for Faster Standards Implementation

As the clock ticks on the standardization process, officials warn that urgency is paramount. In an interview, a senior official from the Dutch privacy watchdog highlighted the need for faster implementation of AI standards, indicating that “standardization processes normally take many years,” and stressing the importance of stepping up the pace to ensure timely regulations.

Conclusion

The findings of the report illuminate a critical intersection of technology, policy, and society. As big tech companies continue to shape the landscape of AI standards, it becomes increasingly vital to ensure that diverse voices are included in these discussions to safeguard fundamental rights and promote equitable technological advancements.

More Insights

AI Regulations: Comparing the EU’s AI Act with Australia’s Approach

Global companies need to navigate the differing AI regulations in the European Union and Australia, with the EU's AI Act setting stringent requirements based on risk levels, while Australia adopts a...

Quebec’s New AI Guidelines for Higher Education

Quebec has released its AI policy for universities and Cégeps, outlining guidelines for the responsible use of generative AI in higher education. The policy aims to address ethical considerations and...

AI Literacy: The Compliance Imperative for Businesses

As AI adoption accelerates, regulatory expectations are rising, particularly with the EU's AI Act, which mandates that all staff must be AI literate. This article emphasizes the importance of...

Germany’s Approach to Implementing the AI Act

Germany is moving forward with the implementation of the EU AI Act, designating the Federal Network Agency (BNetzA) as the central authority for monitoring compliance and promoting innovation. The...

Global Call for AI Safety Standards by 2026

World leaders and AI pioneers are calling on the United Nations to implement binding global safeguards for artificial intelligence by 2026. This initiative aims to address the growing concerns...

Governance in the Era of AI and Zero Trust

In 2025, AI has transitioned from mere buzz to practical application across various industries, highlighting the urgent need for a robust governance framework aligned with the zero trust economy...

AI Governance Shift: From Regulation to Technical Secretariat

The upcoming governance framework on artificial intelligence in India may introduce a "technical secretariat" to coordinate AI policies across government departments, moving away from the previous...

AI Safety as a Catalyst for Innovation in Global Majority Nations

The commentary discusses the tension between regulating AI for safety and promoting innovation, emphasizing that investments in AI safety and security can foster sustainable development in Global...

ASEAN’s AI Governance: Charting a Distinct Path

ASEAN's approach to AI governance is characterized by a consensus-driven, voluntary, and principles-based framework that allows member states to navigate their unique challenges and capacities...