Self-Regulation under the EU AI Act: Leveraging AI Trust Labels and Certificates for Compliance and Ethical AI

Artificial Intelligence’s (AI) rapid advancement in recent years has necessitated the creation of ethical frameworks and regulations, exemplified by the EU AI Act. To cultivate a trustworthy and innovative AI environment in Europe, self-regulatory tools, such as trust certificates and labels, are being considered. Although previous studies have examined AI Act compliance in specific high-risk sectors, the application of these tools to other sectors and AI systems remain underexplored. This research adopts a Symbiotic governance approach to fill this gap by analyzing existing AI Trust Certificates and Labels, revealing how they can facilitate self-regulation and voluntary compliance with the EU AI Act and potentially extend to other international frameworks. Study finds that AI Trust labels and certificates, in the context of the EU AI Act and broader ethical AI development, can offer several significant benefits for Small and Medium-sized Enterprises (SMEs) including building customer trust and credibility, simplified market entry, and reduced legal risks.