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EU AI Act: What Companies Need to Know About the Transparency Obligation Now

The EU AI Act introduces concrete transparency obligations for companies using AI systems. An overview of what to do now.

Irini GaravelaJuli 20264 min read

The EU AI Act has been in force since 2024 and is taking effect in stages. For companies integrating AI systems into their processes — for example in the form of chatbots, automated decision-support tools, or AI-powered analytics — the transparency obligations under Article 50 are increasingly coming into focus.

What does the transparency obligation mean in practice?

Users must be able to recognize when they are interacting with an AI system. This applies in particular to:

  • Chatbots and virtual assistants on websites or platforms
  • Automatically generated content (text, image, audio, video)
  • Emotion recognition systems and biometric categorization

In practice, this means for companies: a clearly visible notice wherever AI interacts with end users — for example, a label such as "AI Assistant" directly in the interface.

Why this is more than a formality

The labeling requirement is not just a compliance checkbox. It directly affects the trust customers and partners place in your platform. Companies that are transparent early on about where and how AI is used create clarity — and avoid having to scramble under time pressure later.

Next steps in practice

  1. Inventory: Where in your own product or organization are AI systems used?
  2. Risk classification: Which of these systems fall under which risk category of the AI Act?
  3. Labeling: Where is a visible AI notice required in the frontend?
  4. Documentation: Prepare governance processes and evidence for supervisory authorities.

A structured IT portfolio overview helps keep track of all AI components in use — and ensures compliance with transparency obligations isn't left to chance.

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