Google faces EU investigation over AI data compliance – Computerworld

“Enterprises racing to train their AI models using foundational models from Google or Meta may need to pause and assess compliance with user privacy and local regulations,” said Neil Shah, partner and co-founder at Counterpoint Research. “This could slow AI rollouts, especially in the EU, where businesses rely on tech giants with large-scale, advertising-driven models.”

Regulatory gray areas

Enterprises partnering with the likes of Google or OpenAI would prioritize regulatory compliance, which mainly addresses consent-based data collection. However, this creates a gray area of concern, according to Faisal Kawoosa, chief analyst at Techarc.

“Legally and technically, regulations may be followed,” Kawoosa said but added that users often face a dilemma – without consent, the service cannot be accessed, but with consent, their data is used, and they may not fully understand how.