EU Digital Omnibus on AI Enters Into Force

By: Sarah Pearce and Thomas Nietsch

The EU has adopted its first substantive amendment to the AI Act. Regulation (EU) 2026/1744, commonly referred to as the AI Omnibus, was published in the Official Journal on 24 July 2026 and entered into force on 27 July 2026. While the legislation postpones certain aspects of the AI Act’s compliance timetable, it would be a mistake for organisations to view the Omnibus as a broad pause on AI regulation in Europe.

High-Risk AI Deadlines Pushed Back

The most significant change is the deferral of obligations applying to many high-risk AI systems. The application date for stand-alone high-risk systems under Annex III, including AI used in employment, education, credit assessment, law enforcement and critical infrastructure, moves from 2 August 2026 to 2 December 2027.

For AI systems embedded in products already subject to EU product safety legislation, such as medical devices, machinery and toys, compliance is deferred further, until 2 August 2028.

What Has Not Been Delayed?

Many important requirements remain on their original timetable.

Most notably, the AI Act’s provisions governing general-purpose AI (GPAI) models continue to apply as planned, including transparency, reporting and systemic risk obligations for the largest models.

The Omnibus also introduces two new prohibited AI practices, targeting systems designed to generate or manipulate realistic intimate imagery or child sexual abuse material. These prohibitions apply from 2 December 2026 and reflect the EU’s increasing focus on AI-enabled harms. While other legal regimes already address such conduct, the AI Act will soon provide a direct regulatory basis for enforcement.

Expanded Powers for the AI Office

The Omnibus significantly strengthens the role of the European AI Office. The AI Office now has exclusive supervisory responsibility for certain AI systems built on general-purpose AI models and for AI systems integrated into very large online platforms and search engines regulated under the Digital Services Act.

The new provisions give the AI Office powers closely resembling those exercised by European competition regulators. These include the ability to launch investigations, compel the production of information, carry out inspections, accept binding commitments and impose periodic penalty payments of up to 5% of average daily turnover for continuing infringements.

Transparency Rules Remain on Track

Organisations should not be misled by headlines that say “delayed”: delay does not extend to most of the AI Act’s transparency obligations.

From 2 August 2026, organisations must continue to comply with requirements relating to:

• Disclosure that users are interacting with an AI system;

• Labelling of deepfakes and certain AI-generated content; and

• Notification obligations for emotion recognition and biometric categorisation systems.

A limited four-month grace period applies only to certain machine-readable marking requirements for generative AI systems already on the market before 2 August 2026.

Practical Takeaways

The AI Omnibus provides welcome additional time for many organisations developing or deploying high-risk AI systems. However, it is far from a regulatory pause. For many businesses, key compliance obligations remain imminent.

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