Wedoany.com Report-Nov. 22, Nokia and NestAI have established a strategic partnership to develop advanced AI-powered solutions for defense applications. As part of the agreement, Nokia and Finnish sovereign fund Tesi are jointly investing €100 million in NestAI, one of Europe’s fastest-growing physical AI laboratories.

NestAI specialises in next-generation artificial intelligence for unmanned vehicles, autonomous operations, and command-and-control platforms across logistics, inspection, surveillance, security, and defense sectors.

The collaboration combines Nokia’s expertise in secure, AI-native connectivity, sensing, and multimedia technologies with NestAI’s advanced platforms in unmanned systems and C2 solutions. The partnership will focus on accelerating innovation in data-centric command systems, modern information management, and forward-deployed AI capabilities, with active R&D and engineering cooperation.

Nokia has launched a dedicated defense incubation unit to support co-innovation with partners in Finland, the United States, and other NATO and Five Eyes nations, further strengthening development of dual-use AI-native technologies.

Justin Hotard, President and CEO of Nokia, said: “At Nokia, we believe that the future of defense and critical infrastructure will be defined by secure, AI-native solutions. Our strategic partnership with NestAI is a testament to our commitment to innovation with partners. By combining Nokia’s expertise in secure advanced connectivity with NestAI’s pioneering platforms, we are accelerating the development of next-generation capabilities for defense and national safety. This investment reflects our shared ambition to shape the future of AI-driven solutions.”

Peter Sarlin, Chairman of NestAI and PostScriptum, said: “Strategic partnerships are imperative to strengthen Europe’s security and resilience. In line with PostScriptum’s mission, NestAI was founded to deliver mission-critical physical AI capabilities at scale and to safeguard Europe’s sovereignty. Nokia’s role as a cornerstone of leading global technology and innovation enables us to accelerate our impact and deepen the operational advantage NestAI brings to European defense. The Finnish sovereign fund Tesi brings institutional stability and long-term perspective to build resilient technological leadership. This partnership lays the foundation for a future in which Europe sustains a technological edge, and allows NestAI to deliver at scale.”

Juha Lehtola, Head of VC & Growth Investments at Tesi, said: “We see NestAI emerging as a foundational technology partner for mission-critical defence and security environments across Europe. Our investment reflects the value it is already demonstrating for organisations facing increasingly complex and evolving operational demands. This aligns with Tesi’s renewed strategy to back Finnish companies with outlier potential in strategically important sectors.”

The partnership enhances Europe’s capabilities in secure, AI-enabled defense technologies while supporting scalable deployment of advanced autonomous and connectivity solutions.