Madrid: Spain’s government has approved a new bill aimed at combating the misuse of artificial intelligence (AI) by imposing hefty fines on companies that fail to properly label AI-generated content. The measure, which aligns with the European Union’s landmark AI Act, seeks to prevent the spread of misinformation, particularly through deepfake technology.
Speaking to reporters, Digital Transformation Minister Óscar López emphasized the dual nature of AI, calling it a “powerful tool that can improve lives” but also warning of its potential to “spread misinformation and attack democracy.”
Spain is among the first EU nations to implement the bloc’s AI regulations, which impose strict transparency requirements on high-risk AI systems. These rules go beyond the approach taken by the United States, where AI governance is largely based on voluntary compliance and a mix of state-level regulations.
López stressed that no one is immune to the risks posed by deepfakes—AI-generated videos, photos, or audio recordings designed to mimic real people. The bill categorizes failure to label such content as a “serious offense,” carrying penalties of up to €35 million ($38.2 million) or 7% of a company’s global annual turnover.
Addressing AI-Driven Manipulation
Since the launch of OpenAI’s ChatGPT in late 2022, which demonstrated AI’s ability to engage in human-like conversations and perform complex tasks, regulators worldwide have prioritized efforts to mitigate AI’s potential harm to society.
The Spanish bill not only mandates transparency in AI-generated content but also prohibits AI-driven subliminal techniques—such as imperceptible sounds and images used to manipulate vulnerable individuals. López cited examples like chatbots inciting gambling addiction or AI-powered toys encouraging children to participate in dangerous challenges.
Additionally, the legislation bans AI-based biometric profiling that classifies individuals based on behavior or personal traits to determine eligibility for services or assess crime risk. However, authorities will still be permitted to use real-time biometric surveillance in public spaces for national security purposes.
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Regulatory Oversight
Enforcement of the new AI rules will fall under the jurisdiction of Spain’s newly established AI supervisory agency, AESIA. However, certain AI applications—including those related to data privacy, criminal investigations, elections, credit ratings, insurance, and capital markets—will be overseen by their respective regulatory bodies.
The bill, which still requires approval from Spain’s lower house, signals the country’s commitment to setting a robust legal framework for AI governance, transparency, and ethical use.
