Proof-of-Concept (PoC)

How the laws define this

Both the AI Business Programme (Business Finland) and the Bogotá TransMilenio AI Facial Recognition Pilot define a proof-of-concept as a short-term, time-limited effort intended to demonstrate feasibility, technical viability, or practical effectiveness before undertaking larger product development or scaling. They diverge primarily regarding commercial scope and financial context. The AI Business Programme (Business Finland) explicitly includes validating commercial potential alongside technical viability and positions the project as a primary funding instrument. In contrast, the Bogotá TransMilenio AI Facial Recognition Pilot focuses strictly on a limited operational deployment to assess technology performance in situ, illustrating this with a 30-day test using Corsight AI with 20 cameras to evaluate facial recognition effectiveness without referencing commercial goals or funding functions. Thus, the former treats a proof-of-concept as a financial mechanism evaluating both market and technical potential, whereas the latter treats it as a practical field trial testing live performance.

Synthesised from the 2 statutory definitions below. Each one is quoted in full, with its source.