Article by Karine Perset and Anna Pietikäinen: “…Six insights about AI regulatory sandboxes from around the globe
1. AI sandboxes are not uniform
- According to the Datasphere Initiative, three primary types of sandboxes are emerging worldwide, especially within the context of AI. Regulatory sandboxes: Collaborative processes where regulators work with innovators to test innovations under regulatory supervision.
- Operational sandboxes: Testing environments and infrastructure where data can be hosted and accessed in controlled conditions.
- Hybrid models: Combining regulatory oversight with operational capabilities, sometimes offering infrastructure and operational spaces for testing and experimentation (e.g., “supercharged sandbox” in the UK).
These models intervene at different phases of the policy and regulatory lifecycle. Some are employed before formal regulation to identify gaps and suggest necessary updates. Others operate during the development process, supporting iterative regulatory design. Some focus on helping understand legal obligations and ensure regulatory compliance, such as under the EU AI Act. Sector-specific sandboxes are also common, with countries adopting different approaches depending on regulatory priorities and institutional settings. Across these models, regulatory waivers are frequently used to enable experimentation under regulatory supervision.
Several experimentation-related initiatives, such as regulatory testbeds, living labs, or policy prototyping, share certain features and objectives with regulatory sandboxes. What truly distinguishes sandboxes is that they are the most institutionalised form of regulatory experimentation, usually led by regulators and integrated with regulatory supervision..(More)”.