Nokia, NestAI Launch €100m Defence-Tech Alliance to Strengthen Europe’s AI Security

In a move that signals Europe’s most assertive leap yet into AI-driven defence innovation, Finnish technology powerhouse Nokia has announced a strategic partnership with NestAI, the emerging European physical-AI engineering lab shaping the future of autonomous defence infrastructure.
The collaboration, unveiled on Thursday, will see Nokia and Finnish state-backed investment company Tesi jointly investing €100 million into scaling NestAI’s next-generation defence technologies — a decisive bet on the rising importance of AI-native military systems, unmanned defence assets, real-time sensing, classified communication networks, and battlefield decision-support AI.
For Europe, this is more than another tech partnership. It is a geopolitical signal.
Reinforcing Europe’s Sovereignty with AI
Nokia’s CEO, Justin Hotard, emphasised that the partnership was born out of necessity — an urgent need for Europe to build resilience and reduce reliance on global defence superpowers already far ahead in AI militarisation.
“Strategic partnerships are imperative to strengthen Europe’s security and resilience,” Hotard said, stressing that AI-native capability is now central to sovereignty.
NestAI, designed from inception as Europe’s “mission-critical physical AI” laboratory, specialises in:
- autonomous unmanned systems,
- command-and-control (C2) platforms,
- embedded battlefield AI,
- sensor fusion engineering, and
- next-generation defence robotics.
The collaboration merges Nokia’s deep expertise in secure connectivity, cybersecurity, multi-sensor data ingestion and spatial computing with NestAI’s fast-rising engineering capabilities. Together, they aim to build Europe’s most advanced AI-enabled defence stack.
Why This Matters for Europe’s Defence Future
For decades, Europe’s defence architecture has relied heavily on traditional hardware, slow procurement cycles, and outdated communication stacks — a vulnerability exposed by the rapid militarisation of AI by the U.S., China, and Russia.
This new investment shifts the paradigm entirely.
AI-native defence systems promise:
- Real-time battlefield awareness
- Autonomous threat response
- Accelerated decision-making
- Robotics-enabled reconnaissance
- Secure multi-domain communication
- Greater NATO interoperability
For a continent grappling with new geopolitical uncertainties, this alliance marks a shift from dependency to strategic autonomy.
A New Frontier for Europe’s Defence-Technology Ecosystem
NestAI’s CEO described the partnership as a accelerant for the company’s mission:
“NestAI was founded to deliver mission-critical physical AI capabilities at scale and to safeguard Europe’s sovereignty.”
With Nokia as a cornerstone technology partner, the firm gains access to:
- advanced telecom-grade AI networks,
- military-grade sensing modules,
- satellite-assisted surveillance architectures, and
- secure multimedia systems.
For Europe’s defence-tech landscape, this partnership is expected to catalyse more cross-border alliances and accelerate the continent’s transition from conventional hardware to autonomous, AI-enhanced defence ecosystems.
BRANDECONOMY INSIGHT
This Nokia–NestAI pact represents the most significant step toward European defence AI alignment in a decade. Beyond the optics, it signals Europe’s commitment to matching global giants in AI-powered security infrastructure. The next frontier is clear: defence innovation will no longer be defined by weapons, but by algorithms, autonomy and AI-networked decision superiority. Nokia’s entry into this space places Europe firmly on the path toward future-ready defence sovereignty.









