The EU Artificial Intelligence Act, scheduled to take effect on August 2, 2026, will require startups to allocate significant resources to comply with its requirements, especially for ‘high-risk’ AI applications. A recent survey by Atomico, an early-stage venture capital firm that has backed companies like Stripe, Klarna, and Skype, revealed that a sixth of the value created by European startups is lost due to US relocation and this migration contributes to a loss of talent, knowledge, capital, and economic output within Europe.
