NestAI Secures €100M to Forge Europe’s Physical AI Defense Backbone

Finnish startup NestAI has successfully closed a massive €100 million funding round. This significant capital fuels their mission to create specialized artificial intelligence for defense technology.

The round was anchored by Finland’s sovereign investment fund, Tesi, and strategic partner Nokia. This backing underscores a clear commitment to European technological sovereignty in critical sectors.

NestAI focuses specifically on "physical AI." This involves integrating large language models and advanced AI into real-world robotics and unmanned vehicle platforms.

The newly secured funds will establish what co-founder Peter Sarlin calls "Europe’s leading physical AI lab." This facility aims to reduce reliance on non-European technology providers.

This move directly addresses heightened European security concerns stemming from ongoing geopolitical conflicts. The focus on autonomous operations and command platforms is timely and strategic.

NestAI also formally partnered with Nokia to accelerate the development of defense-specific AI products. This collaboration merges software expertise with deep hardware integration capabilities.

Founder Peter Sarlin, fresh from the successful sale of Silo AI to AMD, is chairing the venture. He is driving the firm’s technological sovereignty mandate through his family office, PostScriptum.

The company has operated in stealth until now, but its hiring strategy speaks volumes. NestAI has attracted top talent formerly of Intel, Palantir, and Saab, signaling serious capability development.