Researchers from Northeastern University published a study on October 21, 2025, arguing that strict European data protection legislation, such as GDPR, is having a chilling effect on AI innovation. As reported by Northeastern Global News, the paper concludes that high compliance requirements divert significant company resources, especially from startups, away from core R&D activities. Companies are forced to limit their experiments with data and models for fear of violating regulations, which ultimately slows technological progress in the European Union compared to other regions.
Study: EU Data Regulations Are Slowing AI Innovation
