# EU AI Act: What Applies Now and What Was Delayed

URL: https://zunkireelabs.com/blog/eu-ai-act-what-applies-now-and-what-was-delayed/
Published: 2026-10-05
Summary: EU AI Act transparency duties apply from 2 Aug 2026; high-risk rules slip to Dec 2027 and Aug 2028. A dated timeline and what non-EU firms should check.

**In short:** The EU AI Act's transparency duties, including telling people when they are talking to an AI system, have applied since 2 August 2026. The Digital Omnibus on AI, in force since 27 July 2026, pushed the heavier high-risk obligations to 2 December 2027 and 2 August 2028. Non-EU companies can be in scope if their AI or its output reaches the EU. This is a general overview, not legal advice.

## Key Takeaways

- Article 50 transparency duties apply from 2 August 2026 and were not delayed, according to law-firm summaries from Cooley, Freshfields and Lewis Silkin.
- Machine-readable marking of AI-generated content has a grace period to 2 December 2026 for systems already on the market before 2 August 2026.
- The Digital Omnibus on AI was published on 24 July 2026 and entered into force on 27 July 2026. It moves stand-alone high-risk (Annex III) obligations to 2 December 2027 and product-embedded (Annex I) obligations to 2 August 2028.
- Reported Article 50 fines go up to EUR 15 million or 3% of worldwide annual turnover, whichever is higher.
- The Act can reach companies outside the EU when their AI system is placed on the EU market or its output is used in the EU.

## What Is the EU AI Act?

The EU AI Act is Regulation (EU) 2024/1689, the European Union's main law on artificial intelligence. It sorts AI systems by risk and sets duties for the companies that build them (providers) and the companies that use them (deployers). Because some of its dates were moving this year, many businesses are no longer sure what is already in force. The short answer is below.

## What Applies Now?

From 2 August 2026, the transparency duties in Article 50 apply. As summarised by [Cooley](https://www.cooley.com/news/insight/2026/2026-08-03-eu-ai-act-transparency-obligations-take-effect-2-august-2026), they cover four situations:

- **Providers** must make clear when an AI system interacts directly with people, unless that is already obvious.
- **Providers** must add machine-readable markings and detection mechanisms to synthetic audio, image, video or text, with limited exceptions.
- **Deployers** must inform people affected by emotion recognition or biometric categorisation systems.
- **Deployers** must disclose that content is artificially generated or manipulated when it is a deep fake or AI-generated text on matters of public interest, unless it has had substantive human editorial review.

Cooley reports fines of up to EUR 15 million or 3% of worldwide annual turnover, whichever is higher, and notes that content generated before 2 August 2026 does not need retroactive labelling. It also says the Code of Practice gives a presumption of conformity to its signatories, while non-signatories may face closer scrutiny.

## What Was Delayed?

The Digital Omnibus on AI, [reported by Lewis Silkin](https://www.lewissilkin.com/insights/2026/07/27/the-digital-omnibus-on-ai-enters-into-force-today-102nedo) as published in the Official Journal on 24 July 2026 and in force on 27 July 2026, changed the schedule:

- **Annex III high-risk systems** (for example biometrics, critical infrastructure, education, employment, credit and insurance) move from 2 August 2026 to **2 December 2027**.
- **Annex I systems** (AI that is a product or safety component under EU product safety law) move to **2 August 2028**.
- **Marking of AI-generated content** for systems already on the market before 2 August 2026 has a grace period to **2 December 2026**. Other Article 50 duties were not extended.

[Travers Smith](https://www.traverssmith.com/knowledge/knowledge-container/eu-agrees-to-delay-key-ai-act-compliance-deadlines/) reported the political agreement on 7 May 2026, and [Freshfields](https://www.freshfields.com/en/our-thinking/blogs/technology-quotient/eu-ai-act-unpacked-34-the-final-digital-omnibus-on-ai-key-amendments-to-the-a-102nber) adds that the final text also bans AI systems that generate child sexual abuse material or non-consensual intimate content, with technical safeguards required by 2 December 2026. Delayed does not mean cancelled: the high-risk rules still arrive.

## Timeline at a Glance

- **7 May 2026:** political agreement on the delay, reported by Travers Smith.
- **24 July 2026:** Digital Omnibus on AI published in the Official Journal.
- **27 July 2026:** Digital Omnibus on AI enters into force.
- **2 August 2026:** Article 50 transparency duties apply.
- **2 December 2026:** end of the grace period for marking AI-generated content in existing systems, and the deadline for safeguards against the newly prohibited content.
- **2 August 2027:** deadline to establish regulatory sandboxes, per Freshfields.
- **2 December 2027:** Annex III high-risk obligations apply.
- **2 August 2028:** Annex I high-risk obligations apply.

## Does It Apply to a Company Outside the EU?

It can. [Holland & Knight](https://www.hklaw.com/en/insights/publications/2026/04/us-companies-face-eu-ai-acts-possible-august-2026-compliance-deadline) explains two routes for non-EU companies: placing an AI system or model on the EU market, including SaaS used by EU customers, and cases where the output of an AI system is used in the EU. For a software company in Nepal that serves clients in Europe, that means the Act may matter even without an office in the EU. Whether it does depends on the facts, so check with a qualified lawyer.

## What Should a Business Do?

1. **List your AI features.** Note which ones talk to users, generate text, images, audio or video, or influence decisions about people.
2. **Check where the output goes.** If EU users or customers receive it, assume the Act may apply.
3. **Plan disclosures.** Tell users when they are interacting with AI and label AI-generated content that falls under Article 50.
4. **Ask vendors for their plan.** Ask AI suppliers how they handle marking, logging and the Code of Practice.
5. **Note the later dates.** If you build hiring, credit, education or similar tools, mark 2 December 2027 in your roadmap.
6. **Get legal advice.** This article is a general overview and not legal advice.

## The Short Version

The transparency rules of the EU AI Act are already in force, with a grace period for marking AI-generated content in existing systems until 2 December 2026. The heavier high-risk obligations were delayed to December 2027 and August 2028, but they are coming. If your AI or its output reaches the EU, start with an inventory of your AI features and a plan for disclosures.

For related risk and governance reading, see our posts on the [FTC investigation into AI agents](/blog/ftc-probe-ai-labs-rogue-agents-what-businesses-should-do/) and on [what superintelligence is and why it is debated](/blog/what-is-superintelligence-and-why-is-it-called-that/).

## FAQ

**What applies under the EU AI Act from 2 August 2026?**
The Article 50 transparency duties apply from 2 August 2026. They include telling people when they interact with an AI system, marking synthetic content and disclosing deep fakes, according to law-firm summaries such as Cooley's.

**What did the Digital Omnibus on AI delay?**
It moved Annex III high-risk obligations to 2 December 2027 and Annex I product-embedded obligations to 2 August 2028. It entered into force on 27 July 2026.

**Does the EU AI Act apply to companies outside the EU?**
It can. Law firms describe two routes: placing an AI system on the EU market, and using the output of an AI system in the EU. Check your own situation with a qualified lawyer.

**What are the fines for breaking Article 50?**
Cooley reports fines of up to EUR 15 million or 3% of worldwide annual turnover, whichever is higher. This is a general summary, not legal advice.

## Related Insights

- [FTC Probes AI Labs Over Rogue Agents: What Businesses Should Do](/blog/ftc-probe-ai-labs-rogue-agents-what-businesses-should-do/)
- [What Is Superintelligence and Why Is It Called That?](/blog/what-is-superintelligence-and-why-is-it-called-that/)

## Sources

- Cooley, [EU AI Act: Transparency Obligations Take Effect 2 August 2026](https://www.cooley.com/news/insight/2026/2026-08-03-eu-ai-act-transparency-obligations-take-effect-2-august-2026), 3 August 2026
- Travers Smith, [EU agrees to delay key AI Act compliance deadlines](https://www.traverssmith.com/knowledge/knowledge-container/eu-agrees-to-delay-key-ai-act-compliance-deadlines/), May 2026
- Freshfields, [EU AI Act unpacked #34: The final Digital Omnibus on AI](https://www.freshfields.com/en/our-thinking/blogs/technology-quotient/eu-ai-act-unpacked-34-the-final-digital-omnibus-on-ai-key-amendments-to-the-a-102nber)
- Lewis Silkin, [The Digital Omnibus on AI enters into force today](https://www.lewissilkin.com/insights/2026/07/27/the-digital-omnibus-on-ai-enters-into-force-today-102nedo), 27 July 2026
- Holland & Knight, [U.S. Companies Face EU AI Act's Possible August 2026 Compliance Deadline](https://www.hklaw.com/en/insights/publications/2026/04/us-companies-face-eu-ai-acts-possible-august-2026-compliance-deadline), 28 April 2026
- Regulation (EU) 2024/1689 (the AI Act) and the Digital Omnibus on AI, Official Journal of the European Union, 24 July 2026 ([EUR-Lex, as linked by Lewis Silkin](https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=OJ:L_202601744))
