In the European Union, some AI systems are banned because they are too risky or harmful. The EU made rules in March to regulate AI and the first deadline was on August 1. Now, companies must follow the rules or be fined, even if they are based outside the EU. There are different levels of risk for AI. Some are low risk, like email spam filters, and don't need much oversight. But high-risk AI, like healthcare recommendations, will be closely monitored. Unacceptable risk AIs, like those used for social scoring or predicting crimes, are completely banned. Some companies signed a promise to follow the rules early, but not all did. Those who break the rules can be fined up to $36 million or 7% of their earnings. Law enforcement can use some AI systems in public places, but only in specific situations like finding a missing person. The EU will release more guidelines soon. It's important for companies to understand and follow the rules because other laws, like GDPR, also apply. Understanding these rules will help avoid problems in the future. AI regulation is complex and to follow them, companies need to stay informed and up to date. Overall, the EU is working to make AI safer and fair for everyone. By following the rules and keeping up with the guidelines, companies can make sure they are using AI in a responsible way. It's important to follow the rules to protect people and ensure the technology is used for good.