Physical AI AI News & Updates

Finnish Startup NestAI Raises €100M to Develop Physical AI for European Defense Applications

Finnish startup NestAI has secured €100 million in funding led by Finland's sovereign fund and Nokia to develop AI products for defense applications, including unmanned vehicles and autonomous operations. The company is partnering with Nokia to build "physical AI" solutions that apply large language models to robotics and real-world applications, with a focus on European technological sovereignty. NestAI aims to become Europe's leading physical AI lab, with backing from Peter Sarlin, who previously sold AI startup Silo AI to AMD for $665 million.

Coco Robotics Establishes Physical AI Research Lab with UCLA Professor to Leverage Five Years of Delivery Robot Data

Coco Robotics, a last-mile delivery robot startup, has appointed UCLA professor Bolei Zhou as chief AI scientist to lead a new physical AI research lab. The lab will leverage millions of miles of data collected by Coco's delivery robots over five years to develop autonomous navigation systems and reduce delivery costs. This initiative is separate from Coco's existing collaboration with OpenAI and focuses on improving the company's own automation capabilities.

SoftBank Acquires ABB Robotics for $5.4B to Advance Physical AI and ASI Vision

SoftBank Group announced the acquisition of ABB Group's robotics business unit for $5.375 billion, with the deal expected to close in mid-to-late 2026. The acquisition is part of SoftBank's strategic focus on "physical AI" and its stated mission to realize Artificial Super Intelligence (ASI), combining advanced robotics with AI capabilities. ABB's robotics division employs 7,000 people and generated $2.3 billion in revenue in 2024, producing robots for industrial tasks like picking, cleaning, and painting.

Alibaba Partners with Nvidia to Integrate Physical AI Development Tools into Cloud Platform

Alibaba has announced a partnership with Nvidia to integrate Physical AI software stack into its cloud platform, enabling development of robotics, autonomous vehicles, and smart spaces through synthetic data generation. The deal coincides with Alibaba's expanded AI investment beyond $50 billion and the launch of its new Qwen 3-Max language model with 1 trillion parameters.

Nvidia Launches Cosmos World Models and Infrastructure for Physical AI and Robotics Development

Nvidia unveiled new Cosmos world models including Cosmos Reason, a 7-billion-parameter vision language model designed for physical AI applications and robotics. The company also introduced neural reconstruction libraries, new servers, and cloud platforms to support robotics development workflows. These announcements represent Nvidia's strategic expansion into robotics as the next major application for AI GPUs beyond data centers.

Humanoid Robot Maker Apptronik Raises $350M with Google DeepMind Partnership

Apptronik, a University of Texas spinout developing humanoid robots, has secured a $350 million Series A round led by B Capital and Capital Factory, with participation from Google. The Austin-based company, which has over eight years of experience in the humanoid space, is partnering with Google's DeepMind to develop embodied AI for its Apollo robot, targeting industrial applications before potential expansion to home care.