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Reply from Ms. Agata Kurniati
2025.12.16 13:00:11
MSMEs can benefit from regulatory sandbox governance in AI-driven markets in several
important ways. First, a regulatory sandbox lowers entry barriers by allowing MSMEs to
test AI-based business models in a controlled and supervised environment, reducing legal
uncertainty and compliance costs that often discourage smaller firms from innovating.
Second, sandbox oversight helps prevent exclusionary practices by dominant platforms-
such as self-preferencing, discriminatory algorithms, or data lock-in-thereby creating a
fairer competitive landscape for MSMEs. Third, through participation or observation in the
sandbox, MSMEs gain regulatory guidance, technical feedback, and clearer compliance
pathways, enabling them to adopt AI responsibly without facing disproportionate
regulatory risks.
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