Overview
Severity: MEDIUM | Affected: All AI Companies (US/EU) | Category: policy
In a landmark move for AI governance, the United States and the European Union have jointly announced the 'AI Trust & Transparency Framework' (AITTF). This new regulation mandates that companies developing or deploying 'high-risk' AI systems must maintain a complete, auditable, and cryptographically signed log of the model's lifecycle. This concept, termed a 'Model Bill of Materials' (MBOM), will require companies to document everything from data sources and preprocessing steps to training parameters, fine-tuning details, and red-teaming results. The framework aims to combat model supply chain vulnerabilities, data poisoning, and unauthorized modifications by creating a transparent and verifiable record of a model's origin and development. Non-compliance for systems used in critical sectors like finance, healthcare, and autonomous transportation will result in substantial fines, potentially reaching up to 6% of a company's global annual revenue. The AITTF is set to be implemented in Q4 2026.