The landmark EU tech rules have faced powerful pushback from the US administration under President Donald Trump -- but also from businesses and governments at home complaining they risk hampering growth.

Brussels denies bowing to outside pressure, but it has vowed to make businesses' lives easier in the 27-nation bloc and on Wednesday unveiled proposals to change its rules on data protection and delay parts of the AI law.

"Our rules should not be a burden but the added value. For this, we need immediate steps to get rid of regulatory clutter," EU tech chief Henna Virkkunen told reporters in Brussels.

Privacy defenders swiftly criticised the changes, while Big Tech hailed a "welcome step towards simplifying the EU's complex regulatory landscape".

The European Commission's proposals include:

-- giving companies more leeway to access datasets to train AI models, such as personal data when it is "for legitimate interests"

-- giving companies extra time -- up to 16 months -- to apply the bloc's rules on "high-risk" AI systems

-- in a plan many Europeans will welcome, Brussels wants to reduce the number of cookie banner pop-ups users see, which it says can be done without endangering privacy.

The proposals still need the approval of EU lawmakers and member states.

- 'Biggest attack on digital rights' -

One of the main allies of EU chief Ursula von der Leyen's conservative camp, parliament's centrists, backed efforts to "modernise" the rules but expressed concern about the "possible weakening" of data rules.

"Simplification cannot come at the expense of the safeguards that protect Europeans' privacy, data and fundamental rights," the group said.

After cheering the so-called "Brussels effect" whereby EU laws were seen as influencing jurisdictions around the world, rights defenders increasingly fear the EU is withdrawing from its role as Big Tech's watchdog.

Campaigners from groups including People vs Big Tech drove across Brussels on Wednesday with large billboards calling on von der Leyen to stand up to Trump and the tech sector, and defend the bloc's digital rules.

"This is the biggest attack on Europeans' digital rights in years. When the commission states that it 'maintains the highest standards', it clearly is incorrect," Austrian privacy activist Max Schrems said.

Brussels insisted European users' data privacy will be protected but indicated there could be further "simplification" in future.

"We have been very carefully analysing how we can boost innovations, but (at) the same time, we want to respect and safeguard the privacy of the citizens," Virkkunen said.

Tech lobby group CCIA Europe's Alexandre Roure welcomed the proposals but said efforts to "simplify" digital rules "cannot stop here".

- Crumbling cookies -

The EU raced to pass its sweeping AI law that entered into force last year, but dozens of Europe's biggest companies, including Airbus and Mercedes-Benz, called for a pause on aspects they said risked stifling innovation.

Brussels met them part way by agreeing to delay applying provisions on "high-risk" AI, such as models that could endanger safety, health or citizens' fundamental rights.

With the proposed change on cookie banners, an EU official said the bloc wanted to address "fatigue" at the pop-ups seeking users' consent for tracking on websites, and "reduce the number of times" the windows appear.

The commission wants users to be able to indicate consent with one click and save cookie preferences through settings on browsers and operating systems.

Brussels says the AI and privacy changes will help European businesses catch up with US and Chinese rivals -- and reduce dependence on foreign tech giants.

But experts say the EU lags behind for a multitude of reasons.

"The overregulation narrative is overplayed," Mario Mariniello, a non-resident fellow at Bruegel think tank told AFP.

Although EU laws had an impact on businesses, Mariniello pointed to other reasons for companies' difficulties, including the bloc's fragmented regulatory landscape, access to skilled labour and limited financing to scale up.

bur-raz/ec/cc

Airbus Group

Lufthansa

Mercedes-Benz Group