Finland and Estonia Launch Cooperation on Artificial Intelligence Research and Development Together with NestAI

The Finnish Ministry of Defence, the Estonian Defence Forces, and the European AI lab for Defence NestAI have signed a Letter of Intent (LOI) on 30 June 2026 to advance the development of artificial intelligence capabilities. The LOI does not include financial commitments. Instead, it establishes a framework for knowledge sharing, joint development, training, and technical cooperation.

At the core of the cooperation are the Finnish Defence Forces AI Center of Expertice and the Estonian Force Transformation Command (FTC), which have similar responsibilities in the field of AI development. The objective is to build a shared network for AI expertise and development that supports the enhancement of defence capabilities while enabling broader international and industry cooperation in the future. Such cooperation will facilitate the sharing of best practices and may help distribute workloads and reduce duplication of effort among participating organisations.

Initially, the cooperation will focus on the research and development of adaptive and learning AI, command and control support solutions, and autonomous and unmanned systems. A key objective is to develop solutions that can operate seamlessly across the systems of different nations and allies. The cooperation is based on open and modular architectures that enable system development and integration without dependence on a single vendor.

The cooperation will be launched in phases. The initial step is to identify focus areas for piloting collaboration, after which lessons learned, best practices, and opportunities for expansion will be assessed. In the longer term, the goal is to expand the network and its activities to include AI organisations, centres of excellence, and industry partners from other nations, thereby contributing to the development of a strong defence AI ecosystem.

– Last year, we launched the Finnish Defence Forces Data and AI Strategy. This Letter of Intent is one element of the strategy’s objective to build a national and international ecosystem around data and artificial intelligence. Our goal is to bring additional nations into this cooperation, and the partnership now beginning with Estonia provides an excellent starting point. At the same time, we are developing capabilities that are interoperable with those of our allies,” says Major General Sami Nurmi, Deputy Chief of Staff, Strategy at the Defence Command Finland.

Major General Viktor Kalnitski, Deputy Commander of the Estonian Defence Forces: "The Letter of Intent establishes a basis for practical cooperation in military artificial intelligence. The integration of operational insight, technical expertise, and shared lessons from testing is expected to accelerate the responsible adoption of AI in areas such as command and control (C2), unmanned systems, and adaptive decision-support capabilities. Interoperability with allies and cooperation with industry is critical, and that open architectures will facilitate the development of solutions capable of integration across diverse systems while preserving sovereign control over data, technology, and operational application.

– European defence forces need AI systems that work together across national boundaries and continue to learn after deployment. That requires open, modular, and interoperable architectures where capability evolution stays in the hands of the nations who operate the systems. This is the principle NestOS was built on, and it is at the core of this cooperation. By working directly with the Finnish and Estonian Defence Forces, we ensure that the AI being developed is shaped by those who will use it in the field, and that European allies retain sovereign control over how their capabilities evolve, says Peter Sarlin, Executive chairman of NestAI.

About the Finnish Defence Forces

• Responsible for Finland’s military defence and the development of national defence capabilities.
• Accelerating the adoption of artificial intelligence to support operational performance and decision-making.
• Established the AI Center of Excellence to develop and implement AI solutions for defence.
• Has cooperated with NestAI since 2025, including in the development of the AI Center of Excellence.

About the Estonian Defence Forces

• Responsible for Estonia’s military defence and the development of national defence capabilities.
• Established the Force Transformation Command (FTC) to accelerate capability development and adopt new technologies.
• FTC promotes the adoption of artificial intelligence, autonomous systems, and other emerging technologies in defence.

About NestAI

• A European AI lab for defence delivering the adaptive operating system for modern battlefield operations.
• Develops open and modular AI platforms for adaptive intelligence across unmanned and command systems.
• Founded in 2025 and works closely with the Finnish Defence Forces and other European defence forces.
• Almost 200 engineers and scientists, €100M raised from Nokia and Tesi.