Date : 14/07/2025 By: Dlightdaily(Author)
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Two of Europe’s biggest tech giants – industrial leader Siemens and software powerhouse SAP – are sounding the alarm about the EU’s Artificial Intelligence Act (AI Act). In a bold move reported by Germany’s Frankfurter Allgemeine Zeitung (FAZ), these industry titans argue the regulations could backfire, stifling innovation while giving U.S. and Chinese firms an unfair advantage.
Why This Matters for Europe’s Tech Future
The EU’s landmark AI legislation, while well-intentioned, might be too rigid for industrial and business applications. Here’s what’s at stake:
- Industrial AI at Risk – The law’s “high-risk” classification could unfairly target manufacturing robots, smart logistics, and predictive maintenance tools – areas where Siemens and SAP dominate globally.
- Costly Compliance – Excessive audits and paperwork could slow down AI adoption in European factories, making them less efficient than competitors abroad.
- Brain Drain Threat – If rules are too strict, companies may move AI research and development to more flexible markets like the U.S. or Asia.
What Siemens & SAP Want Changed
The companies aren’t against regulation – they just want smarter rules that protect innovation. Their key proposals:
✔ Tiered Regulation – Lighter oversight for non-consumer AI (factory systems, business software) vs. high-risk areas like healthcare.
✔ AI “Sandbox” Testing – Allow real-world trials of industrial AI without full compliance burdens.
✔ Clearer Liability Rules – Protect businesses from legal risks when using AI for low-risk tasks.
Bigger Than Just Two Companies
Siemens and SAP’s concerns echo wider industry fears:
- German business groups (BDI, Bitkom) warn the AI Act could derail Industry 4.0 progress.
- With full enforcement coming in 2026, time is running out to fix flaws before Europe falls behind.
The Bottom Line
Europe wants to lead in ethical AI, but if regulations are too strict, it could lose the AI race entirely. Siemens and SAP’s pushback highlights a critical question: Can the EU balance safety and innovation before it’s too late?
🔍 Want more tech policy insights? Follow for updates on how AI rules could reshape Europe’s economy.
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Siemens & SAP Fight EU AI Rules That Could Handicap Europe’s Economy
Europe’s tech giants are taking a stand. Siemens and SAP, two pillars of European innovation, are urgently lobbying Brussels to overhaul the EU’s AI Act, warning current rules could cripple Europe’s competitiveness against the U.S. and China. Here’s why this battle matters for Europe’s tech future.
Why These Tech Titans Are Sounding the Alarm
⚡ SAP’s AI Assistant in Jeopardy – The company’s Joule AI (a rival to Microsoft Copilot) faces stricter rules than American competitors, putting EU firms at a disadvantage.
🏭 Smart Factories Stuck in Red Tape – Siemens warns AI-powered predictive maintenance and industrial robots could get bogged down in compliance, slowing Industry 4.0 progress.
🌍 Global Race at Stake – While U.S. and Chinese AI firms operate with lighter regulations, Europe risks falling behind in the $2.7 trillion AI economy (McKinsey).
What Siemens & SAP Want Changed
The companies aren’t against AI rules—they want smarter regulation that keeps Europe competitive:
✅ Reclassify Industrial AI – Don’t treat factory robots the same as high-risk AI like facial recognition.
✅ More Time for Small Businesses – Extend compliance deadlines for SMEs in the supply chain.
✅ Align with U.S. Standards – Avoid creating a “regulatory moat” that isolates EU tech.
The Stakes for Europe’s Future
This isn’t just about two companies—it’s about:
- Millions of jobs in manufacturing and tech
- Whether Europe remains a leader in Industry 4.0
- Preventing an AI brain drain to more flexible markets
🔍 Key Question: Can the EU fix its AI rules before it’s too late?
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Europe’s AI Crisis: Siemens & SAP Issue Urgent Warning to EU
🚨 Two of Europe’s most powerful tech giants – Siemens and SAP – are launching an unprecedented revolt against Brussels’ AI regulations. Their message: Change the AI Act now or watch Europe fall behind forever.
Why This AI Rebellion Matters
Europe stands at a tech crossroads:
- 🇪🇺 The EU’s AI Act (set for 2026 enforcement) could freeze innovation
- 🇺🇸🇨🇳 Meanwhile, the U.S. and China race ahead with lighter AI rules
- 💰 €2.7 trillion in potential EU GDP growth at stake (McKinsey)
3 Deal-Breaker Flaws in the AI Act
🔴 Factory AI = Social Media?
- The law treats Siemens’ industrial robots the same as TikTok’s algorithm
- Makes no sense for low-risk manufacturing tools
🔴 Innovation Paralysis
- Startups may flee Europe to avoid costly compliance
- SAP warns: “We’ll lose the next generation of AI firms”
🔴 Global Disadvantage
- U.S. firms get faster approvals for similar AI tools
- China pumps billions into AI with fewer restrictions
What Siemens & SAP Demand
✅ Common-Sense Fixes:
✔ Risk tiers – Don’t regulate factory AI like facial recognition
✔ Fast-track approvals for proven enterprise tools
✔ Financial help for small businesses to comply
The Stakes for Europe
This isn’t just about two companies – it’s about:
- 500,000+ German manufacturing jobs
- Europe’s last chance to lead in Industry 4.0
- Preventing a “tech exodus” to America and Asia
🔥 Final Warning: “Brussels must choose – protect bureaucracy or protect Europe’s future,” says Siemens insider.
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