The Challenges of Balancing AI Compliance and Technological Innovations in Critical Sectors: A Systematic Literature Review

This systematic literature review analyzes the challenges of aligning AI compliance with technological innovation in critical sectors such as healthcare, finance, energy, and defense. It identifies three main issues: fragmented regulations, burdensome compliance for SMEs, and misaligned governance models, while proposing strategies like risk-tiered regulation and explainable AI to facilitate scalable AI deployment. The findings provide valuable insights for policymakers and practitioners aiming to create a balanced framework that fosters innovation while ensuring regulatory compliance.