France is now backing landmark EU rules governing artificial intelligence subject to strict conditions, an EU diplomatic source said on Friday, after sources had previously said it was the last holdout in the bloc to supporting the plan.

Such conditions include balancing transparency and protecting business secrecy as well as implementing obligations for high risk AI systems without administrative overload, the official said.

Ambassadors of the 27 EU countries will formally endorse the AI Act at 1400 GMT. (Reporting by Foo Yun Chee; Editing by Alison Williams)