The outlook report highlights GenAI’s transformative potential for innovation, productivity, and societal change. But it also stresses that its rapid development poses cross-cutting risks—including amplifying misinformation, algorithmic bias, job disruption, and privacy concerns—that demand urgent attention.

To harness GenAI’s benefits while safeguarding fundamental rights, the report underscores the need for a multidisciplinary and strategic policy approach. It calls for close alignment with EU laws such as the AI Act and data legislation, as well as EU AI innovation policies to ensure GenAI remains trustworthy, inclusive, and fully aligned with democratic values and EU laws.

Ekaterina Zaharieva, Commissioner for Startups, Research and Innovation, said: “Europe has the potential to lead in generative AI. With the right policies and investments, we can drive competitiveness and innovation.  Independent scientific advice helps the EU benefit from a complex and fast-paced technology such as generative AI”.

The Commission has launched a first wave of EU funding opportunities with close to €700 million funding to integrate generative Artificial Intelligence in Europe’s strategic sectors such as manufacturing, robotics, health or energy. Researchers, innovators, industrial companies, and others applying will become part of GenAI4EU, the Commission’s flagship initiative to boost Generative AI “made in Europe”.

Read the Generative AI Outlook Report.