Excerpt from LiveMint Article, Published on July 14, 2025
Siemens and SAP CEOs have publicly called on the European Union to revise its EU AI regulations, arguing that the current framework stifles innovation and slows Europe’s technological progress. In an interview with Frankfurter Allgemeine Zeitung, SAP CEO Christian Klein and Siemens CEO Roland Busch emphasized the urgent need for a regulatory overhaul that supports innovation rather than restricts it.
The EU AI Act, which became law last year, categorizes AI applications by risk and imposes strict security and transparency requirements. While designed to ensure AI safety and fundamental rights, Busch criticized the Act as a major reason why Europe is falling behind in AI development. He highlighted overlapping and sometimes contradictory regulations, including the EU Data Act, which he described as “toxic” for digital business models.
Unlike other tech giants such as Google and Meta, who requested a postponement of the AI Act’s implementation, Busch declined to sign their letter, stating their proposals did not go far enough. SAP’s Klein warned against simply copying the U.S. approach of heavy infrastructure investment, stressing that Europe’s main barrier is not computing capacity but restrictive data rules.
Both CEOs agreed that reforming data regulations must come first to unlock Europe’s “treasure trove” of data and unleash its full digital potential. They believe that without such reforms, infrastructure investments alone will not enable Europe to compete globally in AI innovation.
The call by Siemens and SAP underscores a growing demand among European industry leaders for a more agile, innovation-friendly EU AI regulatory framework that balances safety with competitiveness.
To delve deeper into this topic, read the LiveMint Article.
