Bracing for Impact: How Emerging AI Legislation Could Affect Tourism
source: image generated on Blue WIllow AI

Bracing for Impact: How Emerging AI Legislation Could Affect Tourism


If you've followed the articles published on the Generative Traveler or any other AI news source, you clearly should understand by now that AI is transforming many facets of the tourism industry, from chatbots to recommendation systems to automated travel planning and process optimization solutions. However, the legal landscape surrounding AI currently sits in a state of flux, with major new legislation on the horizon that could substantially impact the use of AI in tourism. Key focal points within emerging AI legislation cover regulations around high-risk AI systems, transparency requirements, liability provisions, intellectual property issues, and existing data protection laws. Until now we've been able to use different language models without any limiting legal issues, but things might change sooner than we think.

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While basic applications like chatbots may not qualify as high-risk under proposed frameworks, some more advanced travel planning or security systems could potentially fall into this category, which would mandate certain risk management procedures. Wide-reaching transparency rules are also being implemented in major markets like the EU, enshrining a “right to explanation” from AI systems and requiring disclosures around the use of personal data. I read during the weekend an article of an attorney, specialized on AI where he stated, “…If you cannot explain how you reached a decision, your AI system is not compliant.”

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Equally thorny are unresolved questions around legal liability for harms or losses caused by AI systems in most countries. Intellectual property disputes continue around the use of copyrighted data to train AI models, as well as regarding rights to entirely AI-generated content like travel recommendations or itineraries. Existing data protection regulations like the EU’s GDPR still apply for any AI systems processing personal information. Considering the evolving scenario regarding legal issues, it may be soon necessary for tourism companies to evaluate with caution data practices around their AI tools.

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Spain for example, has taken a pioneering step in AI governance with the recent creation of the Spanish Artificial Intelligence Supervision Agency (AESIA). As outlined in the Royal Decree 729/2023 (https://www.boe.es/diario_boe/txt.php?id=BOE-A-2023-18911), ?the AESIA will be responsible for oversight, guidance, awareness-building, and training related to AI implementation across public and private entities. A key goal is ensuring responsible, ethical development and use of AI systems. For Spain's sizable tourism industry, the AESIA represents an opportunity to harness AI in areas like customer service chatbots, travel recommendations, and logistics while upholding rigorous standards for transparency, fairness, and safety. With the AESIA's leadership, Spanish tourism companies can build trust and confidence that their AI applications meet legal and ethical benchmarks, protecting consumers' rights. The agency's proactive stance aligns with Spain's forward-looking approach to AI, setting the stage for continued innovation in tourism through human-centric AI.

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Just a few days ago deputies from the French National Assembly unveiled a bill that aims to control and regulate AI-generated works under copyright law. A key provision taxes companies exploiting AI systems that create works from unidentified source material, with takings going to collective rights management. For tourism companies utilizing AI to generate content like descriptions, itineraries, or recommendations, this tax could apply if the AI training data includes copyrighted material without clear attribution. Companies would need to carefully document training data sourcing and licensing to avoid the tax. Rights management entities would also need to establish fair distribution systems for tax proceeds. Additionally, mandating labels like “AI-generated work” may be cumbersome for certain tourism AI like chatbots. While advancing creator rights, the law could entail compliance burdens and uncertainty for AI developers and users in tourism. As seen with GDPR, France’s approach could influence broader EU AI regulation. Tourism firms should closely track the implications, especially if exporting AI services across Europe.

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The impact of these evolving legal frameworks could be substantial for tourism firms’ development and use of AI. Compliance costs will likely increase as new standards are implemented across major markets. Some applications may need to be limited if they overreach on data collection practices. For consumer-facing AI especially, transparency and explainability will likely become mandatory.

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To navigate the changing legal landscape, tourism businesses should track regulatory developments closely, particularly in key markets like the EU. Conducting in-depth assessments of data practices, system accountability, and compliance readiness for any AI tools will help mitigate potential risks.

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We might still be on a starting point of generative AI, but businesses will have to prepare themselves and be willing to adapt responsibly if they consider employing the power of artificial intelligence today or in the near future.

Miguel Weinstein III

MBA | Tourism | Innovation

1 年

#innovation

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