The European Union’s AI Act is already influencing how companies govern artificial intelligence far beyond the EU’s borders. Although many of its most demanding requirements only became fully applicable in August 2026, organizations worldwide are proactively aligning with the regulation to maintain access to the European market and prepare for future compliance.

New research published by the Thomson Reuters Foundation, based on more than 100,000 data points from nearly 3,000 companies worldwide, reveals that 47% of organizations referencing the EU AI Act in their governance disclosures are headquartered outside the European Union. This suggests that the regulation is beginning to create a global benchmark for responsible AI governance, much like the GDPR did for data privacy.

The EU AI Act is the world’s first comprehensive legal framework for artificial intelligence. While introduced in 2024, its provisions have been phased in over time. The most significant obligations for high-risk AI systems—including applications used in recruitment, credit scoring, healthcare, and other critical sectors—are now fully enforceable. Importantly, the regulation applies not only to companies operating within the EU, but also to organizations whose AI systems impact European citizens or businesses.

Global Companies Are Preparing for European Standards

The report highlights what many experts describe as the “Brussels Effect”—the tendency of European regulations to become international standards because global companies choose to adopt a single compliance framework rather than maintain different rules for different markets.

Technology companies are leading this trend. Nearly 40% of non-EU organizations referencing the AI Act belong to the IT sector, followed by communications and financial services. North American companies account for almost 40% of all non-European references, driven primarily by U.S. technology firms with significant European operations.

Despite the United States currently lacking a comprehensive federal AI regulation, American companies represent the largest national group voluntarily aligning with the EU framework. Major AI developers, including Microsoft, Google, OpenAI, and xAI, have already committed to elements of the EU’s AI Code of Practice to ensure continued access to the European market.

AI Governance Is Improving, But Important Gaps Remain

Companies that reference the EU AI Act generally demonstrate stronger AI governance practices than those that do not. They are more likely to have formal AI strategies, executive oversight, and greater transparency around how AI systems are developed and used.

However, the research also reveals significant shortcomings. Only 13% of companies worldwide have established a formal AI governance framework, regardless of whether they mention the AI Act.

Even more concerning, just 12.4% of organizations require human review of individual AI-generated decisions, and fewer than one in four assess whether their AI systems could negatively impact employee rights or fundamental rights before deployment.

These areas will become increasingly important under the EU AI Act, particularly for organizations deploying high-risk AI systems, which must now conduct mandatory fundamental rights assessments before launching qualifying AI applications.

What This Means for Businesses

The findings reinforce an important reality: AI governance is becoming a business requirement, not simply a legal obligation.

Organizations operating internationally can no longer view AI compliance as a regional issue. European regulations are increasingly shaping global best practices, influencing product development, governance structures, procurement decisions, and customer expectations—even for companies headquartered thousands of kilometers away.

Businesses investing in AI should begin building governance capabilities early, including risk management, human oversight, documentation, transparency, and compliance processes. Companies that treat responsible AI as a strategic advantage rather than a regulatory burden will likely be better positioned as AI legislation continues to evolve across multiple jurisdictions.

“The EU AI Act is demonstrating that regulatory leadership can shape global technology practices long before every country introduces its own AI legislation.”

Source