Microsoft to Sign EU AI Code of Practice as Meta Rejects It
On July 21, 2025, it was reported that Microsoft is likely to sign the European Union’s code of practice aimed at ensuring compliance with the bloc’s artificial intelligence regulations. This announcement was made by Microsoft President Brad Smith during a conversation with journalists from Reuters.
In contrast, Meta Platforms has publicly rejected the code, citing legal uncertainties and concerns that it may impede the development of artificial intelligence technologies within Europe.
Overview of the Code of Practice
The voluntary code of practice, which mandates companies to disclose training data and adhere to EU copyright laws, is part of the broader Artificial Intelligence Act that came into effect in June 2024. This legislation impacts major tech companies including Alphabet, Meta, and OpenAI, requiring them to comply with stringent guidelines.
Smith expressed optimism about Microsoft’s involvement, stating, “I think it’s likely we will sign. We need to read the documents.” He highlighted the necessity of finding a balance between supporting the code and ensuring that the interests of the tech industry are represented.
Meta’s Position
On the other hand, Meta’s chief global affairs officer, Joel Kaplan, articulated the company’s stance against signing the code, arguing that it introduces numerous legal uncertainties for model developers. Kaplan described the measures outlined in the code as excessive and beyond the scope of the AI Act.
Implications for AI Development
The code of practice was developed by a panel of 13 independent experts and aims to provide legal certainty to signatories. Companies that sign will be required to publish summaries of the content used to train their general-purpose AI models and implement policies to comply with EU copyright law. This regulatory framework is designed to foster transparency and accountability in the AI sector.
As the AI landscape continues to evolve, the decisions made by these tech giants will likely have significant implications for the development and deployment of AI technologies in Europe.
Conclusion
In summary, the contrasting positions of Microsoft and Meta highlight the complexities and challenges facing tech companies in navigating regulatory frameworks. As the EU’s AI regulations take shape, the outcomes of these discussions will be pivotal in shaping the future of AI development in Europe.
