NestAI, a European AI lab for defence, is opening an R&D centre in Latvia to build defence AI capability alongside the forces and industry operating on NATO’s Eastern Flank. The centre is the next step in NestAI's growing Nordic and Baltic presence, following the company's expansion to Sweden announced in August.
As NestAI builds its presence in Latvia, the company is developing the center into a team of 30 scientists and engineers, and has set an investment target of €10 million for the centre over the next few years. The announcement coincides with NestAI's participation in the Riga Conference on 11 September 2026, where Peter Sarlin, NestAI Founder and Executive Chairman, will meet with Latvian government and academic representatives and speak on European defence AI.
“NestAI’s decision to establish an R&D centre in Latvia is a strategic investment in a sector with significant growth potential. The planned €10 million investment and 30 new jobs for scientists and engineers will bring together knowledge, technology and international cooperation in Latvia. Attracting projects of this kind demonstrates our ability to compete at European level for high-value-added investment,” says Minister of Economics Viktors Valainis.
NestAI builds NestOS, an adaptive operating system for modern battlefield operations. The open, modular and interoperable platform enables adaptive intelligence for unmanned and command systems, delivering AI that continuously learns from operational data and adapts to changing conditions. In June 2026, NestAI signed a Letter of Intent with the Finnish Ministry of Defence and the Estonian Defence Forces to advance joint AI development across borders, establishing a framework with a structured path to include additional allied partners.
Latvia has built one of Europe's most active environments for AI and autonomous systems testing under the NATO framework, with defence investment approaching 5% of GDP in 2026. An R&D centre in Latvia puts NestAI closer to the forces and institutions it works with in the Baltic region, allowing the region's operational priorities to shape the work from the start.
“Technological superiority and the ability to adapt rapidly are decisive in modern warfare. NestAI’s decision to establish a research and development centre in Latvia will strengthen our defence technology ecosystem and enable us to develop and test, here in Latvia, the solutions required on the modern battlefield. The presence of international companies such as NestAI strengthens both the expertise of our defence industry and our national defence capabilities,” says Minister of Defence Raivis Melnis.
The R&D centre will focus on adaptive intelligence for unmanned and command systems, built to operate and adapt in contested and communications-degraded environments.
"Latvia’s defence ecosystem is developing at operational pace. The forces and institutions building that capability are asking the right questions: what AI must deliver under contested conditions, how it must keep adapting as those conditions change, and how it can work across the systems of multiple allies. An R&D centre here means those questions shape our work from the start, and translate directly into capability for the forces we serve.”, says Peter Sarlin, Founder and Executive Chairman of NestAI.
The project has been developed with the support of the Investment and Development Agency of Latvia (LIAA) and the Embassy of Latvia in Finland.
“An investor chooses Latvia when it sees not only a promising opportunity, but also the people, expertise and partners needed to bring it to life. Together with the Embassy of Latvia in Finland, LIAA helped NestAI establish connections with Latvian institutions and the country’s defence technology ecosystem. The next step is to turn this investment into broader opportunities for Latvian companies and researchers through joint projects, new knowledge and integration into international supply chains,” says Ieva Jāgere, Director General of LIAA.