An Initiative by Daniel Naeff, ETH AI Center, in collaboration with Dr. Dr. Christian Hugo Hoffmann and Dr. Pascal Vetter

Establishing Switzerland as Europe’s Sandbox for Innovation

Europe’s strength has always been its diversity – a mosaic of ideas, values, and talents. Yet, when it comes to digital innovation and emerging technologies, this diversity often becomes a challenge. Regulation, national differences, and fragmented markets can slow down what Europe needs most: fast and responsible experimentation. What if Switzerland, the small but innovation-driven economic powerhouse of Europe, could help change that?

Imagine Switzerland not just as a hub for local startups, but as Europe’s sandbox for innovation – a place where startups from all over Europe can establish, scale, and validate their technologies in a highly supportive environment. With this unprecedented new division of roles between the EU and Switzerland, innovation and regulation no longer clash – they co-evolve.

Governance by Design – A New Paradigm for Europe

A sandbox approach does not simply balance innovation, regulation, and impact — it redefines their relationship. It turns Europe’s complexity from a challenge into an engine for progress.

To make this more tangible, we can think of Switzerland as Europe’s innovation sandbox in terms of a balance sheet – showing how both Switzerland and the EU stand to gain:

Dimension	Switzerland	European Union (EU)
Operational	Actively supports startups and small entities and bringing their products to markets. Uses pilot projects for trial-and-error testing to validate business models and technologies. Attracts EU startups and small entities as well.	Benefits from startups that were tested in the Swiss environment and from market-ready startups from the Swiss sandbox. Can learn from pilot projects without having to build its own infrastructure.
Economic	Turns the disadvantage of a small domestic market into an advantage by attracting AI startups from all over Europe and sending scale-ups to larger European markets. Is able to secure long-term benefits for Switzerland, for example through equity participation or clauses that allow companies to retain their headquarters or IP in the country.	Gains access to a continuous flow of growth-ready, innovative, and validated startups, boosting European market competitiveness and helping Europe compete effectively with global innovation leaders such as the USA and China. Attracts more investors and venture capital, as market-validated startups reduce investment risk and channel more capital into European markets.
Societal	Keeps attracting talented founders, researchers, and skilled professionals, further nurturing its already strong innovation ecosystem. Fosters its long-term innovation capacity and increases Switzerland’s international visibility as a leading hub for entrepreneurship and freedom. Empowers a structurally anchored, long-term relationship with the EU through collaboration with European startups, researchers, and policymakers.	Retains highly skilled talent in Europe instead of other parts of the world, benefiting European innovation ecosystems.
Regulatory	Tests pilot projects under real-world conditions, generating actionable insights that inform forward-looking, practical regulations.	Receives shared and tested regulatory insights from the Swiss testbed, enabling evidence-based regulations EU-wide and leveraging the insights from the Swiss sandbox.

A Win-Win Model for a Smarter Europe

This approach reshapes how Europe innovates — creating tangible benefits on multiple levels:

• Startups from across Europe gain a launchpad to test, scale, and refine their innovations in a real-world, well-regulated environment.
• Regulators receive direct, actionable insights into emerging technologies, enabling smarter and more adaptive policy design.
• Innovation and responsibility evolve together — reducing risk, strengthening trust, and accelerating progress.
• Switzerland deepens its role as a hub for innovation, collaboration, and evidence-based policymaking.
• The EU benefits from a pipeline effect: mature startups return ready to scale across European markets, spreading proven technologies and sustainable growth.

Switzerland, with its neutrality, strong research base, and culture of trust, provides the ideal environment to make this vision a reality.

Agenda

• 15:00 – 15:05 | Opening words
• 15:05 – 15:25 | Presentation of concept by Daniel Naeff (ETHZ) and Christian Hugo Hoffmann
• 15:25 – 15:45 | Guest contribution from Christian Wenger
• 15:45 – 16:00 | Break
• 16:00 – 16:45 | Panel
• 16:45 – 17:00 | Closing statement
• 17:00 – 18:30 | Networking apéro

Join the Discussion

Our upcoming event at the AI Startup Center will bring together startups, research institutions, and policymakers to explore this vision. The focus will be on:

• How Switzerland can act as a testbed for AI and emerging technologies
• How sandbox approaches can create a new symbiosis between innovators and regulators
• How these insights could strengthen Europe’s global competitiveness

Join us to help shape the next chapter of Europe’s innovation story — one where experimentation, evidence, and ethics go hand in hand. Because the future of innovation will not be negotiated — it will be tested, learned, and built in the sandbox.

This event is made possible by the Hasler Foundation and Wenger Vieli. We sincerely thank both partners for their generous support and contribution to making this event possible.

The Hasler Foundation promotes information and communications technology (ICT) for the benefit of Switzerland as an intellectual and industrial centre. By financing and co-financing selected educational, research, and innovation projects in the field of ICT, the Foundation contributes to ensuring that Switzerland remains at the forefront of science and technology. The Foundation’s commitment to fostering innovation and exchange at the intersection of research, technology, and society makes it a valuable supporter of this event.

For more information, visit https://haslerstiftung.ch/.

Wenger Vieli is a Swiss law firm providing comprehensive legal and tax consulting services. With offices in Zurich and Zug, the firm offers expertise in various areas, including technology and media law, data protection, and intellectual property. Their Startup Desk is deeply rooted in the Swiss startup and venture capital ecosystem, guiding companies from inception to successful exit. Wenger Vieli is also highly ranked by renowned legal directories such as Chambers and Partners, The Legal 500, ITR World Tax, and IFLR1000 across its major areas of expertise.

For more information, visit https://www.wengervieli.ch/.

Photo & Video Recordings
As part of this event, photographs and/or video recordings may be taken by or on behalf of the AI Startup Center. By registering for the event, you acknowledge that these recordings may be published at a later date in digital media and/or printed materials.