Prime Highlights
- NestAI has raised €100 million in a round led by Tesi and Nokia to accelerate the development of advanced defense-focused AI systems, including autonomous vehicles and command-and-control technologies.
- The startup has entered a strategic partnership with Nokia to build “physical AI,” enabling LLMs and advanced AI models to function in real-world robotics and unmanned systems.
Key Facts
- The funding and partnership were unveiled at Slush 2025, where co-founder Peter Sarlin highlighted the mission to strengthen Europe’s tech sovereignty during ongoing security tensions.
- NestAI is collaborating with the Finnish Defence Forces and expanding rapidly, hiring talent from Intel, Kongsberg, Palantir, and Saab to bolster its technical capabilities.
Background
Finnish startup NestAI has raised €100 million in a new funding round led by Finland’s state-owned investor Tesi and global hardware company Nokia. The company will use the fresh capital to build advanced AI tools for defense, especially in autonomous vehicles and command and control systems.
NestAI has also formed a strategic partnership with Nokia to create “physical AI.” This concept involves using large language models and other advanced AI systems to operate in the real world, including robotics and unmanned platforms.
The announcement took place at the Slush 2025 technology event in Helsinki. Co-founder Peter Sarlin said the goal is to build Europe’s leading physical AI lab and strengthen the continent’s technology independence. The continued Ukraine-Russia conflict has increased Europe’s focus on defense innovation, and NestAI aims to support these needs.
Last month, the startup confirmed its collaboration with the Finnish Defence Forces to help them adopt AI solutions more effectively.
Sarlin, who sold his earlier AI company Silo AI to AMD for $665 million, has been privately funding NestAI through his family office, PostScriptum. He currently works at AMD and will serve as NestAI’s chairman, while the company continues its search for a CEO.
NestAI is growing fast and attracting top experts in AI and defense hardware. Many team members previously worked at companies like Intel, Kongsberg, Palantir, and Saab, showing that the startup has a strong technical foundation.
