Does the EU AI Act apply to non-EU companies?

Yes, often. Under Article 2(1) the Act applies to:

So an Australian SaaS with EU customers, or one whose AI outputs reach EU users, is likely in scope.

Authorised representative

Non-EU providers of high-risk systems must appoint an EU-established authorised representative by written mandate before making the system available (Art. 22). Non-EU GPAI model providers have a similar duty (Art. 54).

Exclusions

The Act doesn't apply to AI used exclusively for military, defence or national security; to AI developed and used solely for scientific research; or to purely personal, non-professional use (Art. 2).

Penalties

Up to €35m or 7% of worldwide turnover for prohibited practices, and up to €15m or 3% for most other breaches. For SMEs, the lower of the two amounts applies (Art. 99).

Not legal advice. Last reviewed 26 Oct 2026.

Check your own AI system in 5 minutes

Free classification with article references.

Start the free wizard →

More guides