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By Pierluigi Casale (Associate Professor and Area Chair in AI of OPIT, Open Institute of Technology)

AI is revolutionizing institutions and education, but also our daily lives, improving decision-making and energy efficiency, city management, and personalizing learning. Current choices will determine the future of this technology, which must remain a support for humans and not an uncontrolled substitute.

Artificial Intelligence (AI) is now at the center of a global debate that touches on regulatory, ethical, geopolitical and applicative aspects. Its evolution, from an experimental technology to an essential tool for analysis and automation, has led to the need for a clear regulatory framework and responsible use.

In my role as an official of the European Parliament, I work on the implementation and oversight of AI systems within the European institutions, contributing to the regulation and management of the challenges that this technology brings. It is important to underline that this article represents only my personal opinion and in no way represents an official position of the European Parliament.

Europe and the regulation of artificial intelligence

Europe is tackling the challenge of regulating AI with the AI ​​Act Regulation, the first comprehensive framework for this instrument. The aim is to find a balance between innovation and the protection of fundamental rights, preventing big tech companies from shaping legislation to their advantage.

Artificial intelligence is nothing more than advanced software and, as such, must be carefully regulated. If used correctly, it can represent an extraordinary opportunity to improve the efficiency and accessibility of information, but it is essential to avoid abuse and market distortions. Something is moving. The AI ​​Act came into force on August 1, 2024. Starting from February 2, 2025, new restrictions have been introduced on some AI practices deemed dangerous , while from August 2, 2025, the full application of governance rules and obligations for general AI models will begin, including verification processes to ensure compliance of AI systems already in use in companies and institutions.

The Ethical Challenges and Risks of AI: Bias, Privacy and Autonomy

Yet there are still several aspects to be fixed. One of the most evident problems of AI concerns algorithmic bias. Facial recognition systems, for example, have returned discriminatory content towards ethnic groups not adequately represented in the training data. This is a clear signal of the need for more inclusive and transparent models.

But there are other open problems: regarding privacy, for example, some AI models (such as DeepSeek) collect sensitive data, including the way we type on the keyboard; the issue of the spread of fake news or autonomy of choice is also always current, just think of the risks that delegating critical decisions to AI in the medical, legal or financial fields can entail. Regulation must ensure that AI remains a support tool and not an uncontrolled substitute for human evaluation.

This is the starting point. If established, shared and guaranteed, then AI can truly be the fulcrum around which the industrial revolution of this century revolves. In some areas it is already like this.

The impact of AI on three pillars of our society : institutions, education and daily life

Once this perimeter is defined, artificial intelligence can have a revolutionary impact on three fundamental pillars of our society: institutions, education and the quality of daily life.

AI in Institutions: Opportunities and Limitations

In institutions, AI can improve the efficiency of decision-making processes, data management and infrastructure security, contributing to more transparent and responsive governance; in education systems, it allows for personalizing learning, supporting the development of digital skills and reducing inequalities in access to knowledge; while, in terms of sustainability and urban management, it offers solutions to optimize energy consumption, improve mobility and promote the creation of more resilient and inclusive smart cities. The common thread that unites these areas is the need for synergic and conscious innovation, capable of integrating AI and putting it at the service of man, ensuring that technological progress is not an end in itself, but oriented towards collective well-being and sustainable development.

AI has been introduced in various institutions, including public ones, to support translators, improving productivity and accuracy. Other very advanced systems allow extracting key information from complex legislative texts. AI is used to protect IT infrastructure and manage data. However, there are significant limitations. For example, a large number of these technologies are trained only on majority languages ​​(English, French, German), creating problems for languages ​​whose presence in the digital world is minority, such as Lithuanian or Maltese. Furthermore, with the entry into force of new regulations, it will be essential to verify that all AI systems used in institutions comply with the criteria of transparency, fairness and security.

AI in Education: Personalization and Democratization of Learning

While AI is revolutionizing institutional and legislative dynamics, its impact is equally significant in the field of education, where it offers new opportunities to personalize learning and improve teaching effectiveness. AI is transforming the way we learn and teach. At OPIT, the university where I teach, we use generative AI to personalize training courses, adapting content to the learning style of each student, improve access to information, with tools that explain code and transform programming languages, support students in checking code, identifying errors and suggesting improvements. AI can democratize education, making it more flexible and effective, without replacing the teacher but acting as a Copilot, an intelligent assistant that guides the student on his path.

AI for sustainability and quality of urban life

In addition to transforming institutions and education systems, AI is also proving its value in areas that are crucial to sustainability and quality of life , such as energy efficiency and city management. For example, DeepMind developed an AI system that significantly improved the energy efficiency of Google’s data centres. This system reduced the energy used for cooling by 40%, leading to an overall improvement of 15% in energy efficiency in some data centres. AI now directly controls cooling systems at some sites, again under human supervision, demonstrating the potential of AI to reduce energy consumption in energy-intensive sectors. Or, with products like TomTom’s Traffic Index, it helps redistribute traffic in cities, reducing congestion.

According to one study, using real-time data for traffic management can reduce commute times in cities by 15-20%. In addition, AI could revolutionize urban resource management, although the full realization of smart cities is still far away. The main obstacle remains the lack of adequate infrastructure in public institutions, which often lack the necessary computational resources.

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Expert Pierluigi Casale analyzes the adoption of AI by companies, the ethical and regulatory challenges and the differentiated approach between large companies and SMEs

By Gianni Rusconi

Easier said than done: to paraphrase the well-known proverb, and to place it in the increasingly large collection of critical issues and opportunities related to artificial intelligence, the task that CEOs and management have to adequately integrate this technology into the company is indeed difficult. Pierluigi Casale, professor at OPIT (Open Institute of Technology, an academic institution founded two years ago and specialized in the field of Computer Science) and technical consultant to the European Parliament for the implementation and regulation of AI, is among those who contributed to the definition of the AI ​​Act, providing advice on aspects of safety and civil liability. His task, in short, is to ensure that the adoption of artificial intelligence (primarily within the parliamentary committees operating in Brussels) is not only efficient, but also ethical and compliant with regulations. And, obviously, his is not an easy task.

The experience gained over the last 15 years in the field of machine learning and the role played in organizations such as Europol and in leading technology companies are the requirements that Casale brings to the table to balance the needs of EU bodies with the pressure exerted by American Big Tech and to preserve an independent approach to the regulation of artificial intelligence. A technology, it is worth remembering, that implies broad and diversified knowledge, ranging from the regulatory/application spectrum to geopolitical issues, from computational limitations (common to European companies and public institutions) to the challenges related to training large-format language models.

CEOs and AI

When we specifically asked how CEOs and C-suites are “digesting” AI in terms of ethics, safety and responsibility, Casale did not shy away, framing the topic based on his own professional career. “I have noticed two trends in particular: the first concerns companies that started using artificial intelligence before the AI ​​Act and that today have the need, as well as the obligation, to adapt to the new ethical framework to be compliant and avoid sanctions; the second concerns companies, like the Italian ones, that are only now approaching this topic, often in terms of experimental and incomplete projects (the expression used literally is “proof of concept”, ed.) and without these having produced value. In this case, the ethical and regulatory component is integrated into the adoption process.”

In general, according to Casale, there is still a lot to do even from a purely regulatory perspective, due to the fact that there is not a total coherence of vision among the different countries and there is not the same speed in implementing the indications. Spain, in this regard, is setting an example, having established (with a royal decree of 8 November 2023) a dedicated “sandbox”, i.e. a regulatory experimentation space for artificial intelligence through the creation of a controlled test environment in the development and pre-marketing phase of some artificial intelligence systems, in order to verify compliance with the requirements and obligations set out in the AI ​​Act and to guide companies towards a path of regulated adoption of the technology.

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CCN: Australia Tightens Crypto Oversight as Exchanges Expand, Testing Industry’s Appetite for Regulation
OPIT - Open Institute of Technology
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Mar 31, 2025 3 min read

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  • CCN, published on March 29th, 2025

By Kurt Robson

Over the past few months, Australia’s crypto industry has undergone a rapid transformation following the government’s proposal to establish a stricter set of digital asset regulations.

A series of recent enforcement measures and exchange launches highlight the growing maturation of Australia’s crypto landscape.

Experts remain divided on how the new rules will impact the country’s burgeoning digital asset industry.

New Crypto Regulation

On March 21, the Treasury Department said that crypto exchanges and custody services will now be classified under similar rules as other financial services in the country.

“Our legislative reforms will extend existing financial services laws to key digital asset platforms, but not to all of the digital asset ecosystem,” the Treasury said in a statement.

The rules impose similar regulations as other financial services in the country, such as obtaining a financial license, meeting minimum capital requirements, and safeguarding customer assets.

The proposal comes as Australian Prime Minister Anthony Albanese’s center-left Labor government prepares for a federal election on May 17.

Australia’s opposition party, led by Peter Dutton, has also vowed to make crypto regulation a top priority of the government’s agenda if it wins.

Australia’s Crypto Growth

Triple-A data shows that 9.6% of Australians already own digital assets, with some experts believing new rules will push further adoption.

Europe’s largest crypto exchange, WhiteBIT, announced it was entering the Australian market on Wednesday, March 26.

The company said that Australia was “an attractive landscape for crypto businesses” despite its complexity.

In March, Australia’s Swyftx announced it was acquiring New Zealand’s largest cryptocurrency exchange for an undisclosed sum.

According to the parties, the merger will create the second-largest platform in Australia by trading volume.

“Australia’s new regulatory framework is akin to rolling out the welcome mat for cryptocurrency exchanges,” Alexander Jader, professor of Digital Business at the Open Institute of Technology, told CCN.

“The clarity provided by these regulations is set to attract a wave of new entrants,” he added.

Jader said regulatory clarity was “the lifeblood of innovation.” He added that the new laws can expect an uptick “in both local and international exchanges looking to establish a foothold in the market.”

However, Zoe Wyatt, partner and head of Web3 and Disruptive Technology at Andersen LLP, believes that while the new rules will benefit more extensive exchanges looking for more precise guidelines, they will not “suddenly turn Australia into a global crypto hub.”

“The Web3 community is still largely looking to the U.S. in anticipation of a more crypto-friendly stance from the Trump administration,” Wyatt added.

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