New Sandbox Report Published

A Test Environment for AI Innovation

Due to the rapid pace of technological progress, the regulatory environment for AI technologies is often unclear for businesses, research institutions, and public administrations. As a result, uncertainties arise when implementing AI projects, which can hinder innovation. The Innovation Sandbox provides a testing environment where stakeholders can carry out AI initiatives within a clearly defined framework.

Start-ups, SMEs, large enterprises, and research institutes gain access to regulatory expertise and novel data sources through the sandbox, enabling them to foster innovation and support data-driven developments. Collaborative work within the sandbox also ensures effective knowledge transfer between participating organisations. All insights and results are shared publicly and serve as valuable input for shaping future legal frameworks.

Unlike many international approaches, the Innovation Sandbox for AI goes one step further: submitted projects are not only reviewed but also implemented in practice.

The goal is to promote responsible innovation that takes legal and ethical considerations into account, and to sustainably strengthen the use of AI in public administration, business, and research.

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• Provide regulatory clarity

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• Foster innovation and offer access to data

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• Ensure knowledge transfer

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• Deliver input for future legal frameworks
  

Phase I: 2022-2024

The first phase of the Innovation Sandbox for AI was successfully completed in March 2024. The insights gained from five AI projects have been published.

Phase II: Current Projects

In the second project call of 2024, 24 organisations submitted their AI projects. The Sandbox Steering Committee selected the initiatives based on the criteria listed below. The project team successfully implemented five projects by the end of 2025 and is publishing the results on an ongoing basis. The next project call will take place between April and May 2026. Further information will follow.

Digital Eye Clinic

Diagnosing eye diseases is complex and requires specialist expertise. This project develops an AI-based approach for detecting diabetic retinopathy and investigates how AI can be reliably integrated into clinical routines. In addition to medical advancements, the project offers practical recommendations that can be transferred to other disciplines such as radiology or dermatology.

Autonomous Inspection Robots

For many Swiss robotics companies, access to the EU market is crucial – yet regulatory complexity is increasing. This project analyses key legislative frameworks such as the AI Act, the Machinery Regulation, the Cyber Resilience Act, and the Data Act, and demonstrates how companies can effectively navigate these various requirements. In addition, the project tests AI governance software designed to help firms efficiently implement technical, legal, and organisational standards – for example, those set out in ISO 42001.

AI in Medical Documentation

In healthcare, documentation requirements generate a lot of administrative work. This project shows how speech recognition and large language models (LLMs) can reduce this workload. At the same time, it examines the legal framework – for example, with regard to data protection, professional secrecy and cloud use – and clarifies when such systems are considered medical devices. The aim is to develop concrete best practices for the safe and responsible use of AI in medical documentation.

Sensor-Based Bridge Maintenance

Many bridges are decades old and still primarily inspected visually. This project tests AI-powered sensors that continuously monitor the vibration behaviour of bridges. This enables early detection of structural fatigue and allows for informed assessments of load-bearing capacity. The data-driven approach aims to extend the service life of bridges and make maintenance more efficient.

AI in Building Permits

Building permit procedures are complex. This project analysed the capabilities of AI models in reviewing building applications and developed a prototype for an AI-based preliminary check of solar installations, heat pumps and charging stations. The findings provide municipalities and service providers with valuable insights for the digital transformation of the construction sector.

Sandbox Initiators

A wide and diverse group of institutions and individuals from public administration, research and the private sector have come together to launch the sandbox initiative. The aim is to strengthen Zurich as an innovation location for artificial intelligence. The initiative will receive substantial financial support from the Zurich Metropolitan Area until mid‑2026. Based on the government council’s resolution on »Strengthening the AI Location”, the Office for Economic Affairs will continue to run the Innovation Sandbox for AI from 2026 to 2029.

The following institutions are part of the initiative: 

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