Last Tuesday (10.3), the Brazilian Data Protection Authority (“ANPD”) released a call for contribution to gather input regarding its regulatory sandbox on Artificial Intelligence (“AI”) and personal data protection in Brazil. The consultation will be available until November 1^st.

A regulatory sandbox is a controlled environment for experimenting new technologies developed by its participants, such as AI, under the supervision and guidance of a regulatory authority. It may also, when relevant, exempt participants from certain applicable laws and regulations.

The initiative allows and encourages developers to test new and innovative products and services in a controlled environment, with less bureaucracy and more flexibility. It is, also, essential for regulators to better understand the specifics of innovative technologies, contributing for the performance of their future actions.

In recent years, especially in the European Union, regulatory sandbox initiatives have gained traction as a tool to help regulators address issues related to the development and use of emerging technologies, such as AI and blockchain.

The regulatory sandbox project led by the ANPD, in collaboration with the Development Bank of Latin America and the Caribbean and supported by a thorough technical study, aims to contribute to an eventual future regulation on AI and data protection, to increase algorithmic transparency and foster responsible innovation in AI.

Brazil is in the early stages of formulating and discussing the best approach to regulate AI. Regulatory Sandboxes initiatives can assist lawmakers in gaining more access and knowledge about advanced AI systems, supporting the development of an effective regulatory strategy for AI, including aspects related to personal data protection.

We will continue to follow up this matter and hope to bring new information soon on developments related to AI regulation in Brazil.