Governance & Regulation advanced

Systemic Risk

Under the EU AI Act: risk arising from the high-impact capabilities of the most capable general-purpose models.

Article 3(65) ties systemic risk to GPAI models whose capabilities match or exceed the current state of the art and whose reach could significantly affect the Union market. Designation brings extra duties: adversarial testing, incident reporting, cybersecurity, and evaluation. It is the Act’s answer to frontier models.

In practice: A model crossing the compute threshold triggers additional obligations for its provider.

Plain-English summary of Article 3(65). The binding text is Regulation (EU) 2024/1689.