The increasing complexity of digital regulations is prompting corporate boards to prioritize data governance and GDPR compliance more seriously.

A recent white paper from the Information Systems Audit and Control Association (ISACA) describes the EU's AI Act as the first comprehensive law on artificial intelligence globally.

The AI Act is projected to establish a new global standard for artificial intelligence legislation, influencing regulations worldwide.

Set to begin its first phase in February 2025, the EU's AI Act is anticipated to have significant implications for organizations, potentially leading to numerous compliance cases.

The ISACA white paper suggests that the EU AI Act could serve as a model for future AI legislation, similar to how the GDPR has influenced data protection laws.

Even organizations not directly affected by the AI Act are advised to monitor its developments due to its potential widespread impact.

Companies must be aware that breaches of the EU's General Data Protection Regulation (GDPR) can result in significant financial penalties and reputational harm.