The Spanish government recently passed a new law aimed at cracking down on “deepfakes” by imposing hefty fines on companies that fail to properly label AI-generated content.
Digital Transformation Minister Oscar Lopez announced at a press conference that the law, modeled after the EU's AI Act, mandates stringent transparency requirements for AI systems deemed high-risk.
Image Source Note: Image generated by AI, licensed through Midjourney
Lopez pointed out that while AI improves quality of life, it also poses potential risks, such as spreading misinformation and undermining democracy. He emphasized that anyone could fall victim to “deepfake” attacks, which use AI to manipulate or create videos, photos, and audio to deceive the public.
Under the new law, failure to properly label AI-generated content is considered a “serious offense,” punishable by fines up to €35 million (approximately $38.2 million) or 7% of a company's global annual turnover, whichever is higher. The law also prohibits manipulative practices, such as using subliminal techniques to influence vulnerable groups. Lopez mentioned that chatbots might encourage gambling addiction and certain toys could lead children into dangerous activities.
The law also forbids institutions from using AI to categorize or rate individuals based on biometric data, impacting their access to social benefits or criminal risk assessment. However, real-time biometric surveillance in public spaces remains permitted for national security reasons.
Enforcement of the new regulations will fall under the newly established AI regulatory agency, AESIA, although specific cases involving data privacy, crime, elections, credit ratings, insurance, and capital markets will be managed by relevant regulatory bodies. The bill still needs lower house approval before becoming law, and Spain will be among the first EU countries to implement these regulations.
Key Points:
📜 Spain's new law will impose hefty fines on companies that fail to label AI-generated content.
💡 Maximum fines can reach €35 million, or 7% of global annual turnover.
🔒 The law prohibits using subliminal techniques to influence vulnerable groups, and regulatory agencies will oversee enforcement.