What are the maximum penalties businesses can face for non-compliance under AIDA?

The correct answer highlights the potential penalties businesses could face for non-compliance under the Artificial Intelligence Data Act (AIDA). Maximum penalties are set at either a fixed amount or a percentage of global revenues, thereby separating businesses based on their size and revenue generation which impacts the penalty structure applied to them.

Specifically, the option indicating up to $10 million or 3% of global revenues reflects a framework designed to ensure that penalties are significant enough to encourage compliance across various business scales. This method allows for a more proportional approach, as larger companies that generate higher revenues would face greater penalties, thereby promoting adherence to regulations.

Options that suggest lower financial penalties fail to align with the intent of AIDA to enforce serious compliance measures to protect individuals’ rights and ensure responsible use of AI technologies. Higher fines also act as a deterrent against non-compliance, ensuring that businesses take their responsibilities under AI governance seriously.