Neha: Welcome to the fourth episode of our mini-series on Rahul’s key achievements as Senior IT Counsel! Today’s focus is proactive regulatory competence. Rahul, you often emphasize how critical it is to stay ahead of regulatory developments. Could you elaborate using the EU AI Act as an example?

Rahul: Absolutely, Neha. Take the EU GDPR 2018: Companies like Microsoft adapted globally in time and avoided penalties, while Google was fined €50 million by France’s CNIL for failing transparency requirements. This exact "forward-thinking" is what I applied to the EU AI Act – similar to banks that implemented Basel III capital rules early to avoid last-minute chaos. Or companies that preempted California’s CCPA in 2019 instead of facing state attorney general investigations in 2020.

Neha: Fascinating! You’re drawing parallels here to financial and data protection regulations. How exactly did you operationalize this foresight at your former employers? After all, the company serves EU clients subject to the AI Act from 2025 onward.

Rahul: I led a task force to self-assess all AI tools against the Act’s anticipated requirements. We classified one tool for healthcare hiring decisions as "high-risk." Proactively, we rolled out transparency features – like explaining to users how the AI makes decisions – and bias mitigation. Simultaneously, we compiled the technical documentation on training data and accuracy mandated by the Act. Result: Once audits begin in 2026, my former company will be prepared and can even market itself as "EU AI Act-ready."

Neha: That’s a clear competitive edge! You imply competitors who ignored this will face market disadvantages…

Rahul: Exactly. Compare it to MetLife or Thomson Reuters – my former employers using "GDPR-compliant" as a trust signal. At my former company, competitors who didn’t prepare will likely have to withdraw AI systems until proving compliance. That means reputational damage and lost EU clients – while my former company avoided regulatory disruptions.

Neha: You also mention "soft" frameworks like OECD AI Principles or ISO 42001. How do you integrate these?

Rahul: By tracking regulatory signals early – be it EU guidelines evolving into law or the EU Commission’s Q&As on the AI Act. I even monitor US developments like Illinois’ 2020 AI Video Interview Act. Those who implemented consent for AI interviews early escaped investigations. This aligns with GDPR’s "accountability" principle (Article 5(2)) and reduces legal exposure while creating business opportunities – e.g., in ESG metrics, where regulatory readiness is a governance criterion.
Neha: In summary: Proactive compliance isn’t a cost factor but a strategic lever for competitiveness and regulatory resilience. Thank you, Rahul – once again, highly insightful!

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Read German text here:

https://docs.google.com/document/d/1oEspwKpwMcjlN5BkId5-KTNIs7pywqDbp8g1lYnU2fg/edit?tab=t.0

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