Strengthening the practical use of artificial intelligence in the Nordic-Baltic region

AI & Robotics Estonia (AIRE) and New Nordics AI, a joint Nordic-Baltic artificial intelligence hub and cooperation network, have signed a memorandum of understanding to strengthen the adoption and development of artificial intelligence across the Nordic-Baltic region. 

The cooperation has four objectives: implementing the EU’s AI Act, developing and using AI that understands local languages and societies, applying AI in companies and industry, and preparing people for an AI-driven economy. 

Katre Eljas, Head of AIRE, said that while the Nordic and Baltic countries are small on their own, joining forces could allow the region to become a world leader in the practical application of artificial intelligence. “We believe in this ambition, because we have the skills, trust, research capacity and companies needed to make it happen. Countries that share similar values and place a premium on trustworthiness need to work together, so that our people and businesses can gain real, practical benefit from artificial intelligence.” 

New Nordics AI Co-lead Gísli Ragnar Guðmundsson said Coming from Iceland, where we have a habit of measuring ourselves against the world on a per capita basis, it is humbling to visit Estonia and see how advanced the country is when it comes to digitalisation and AI. There is a great deal we can learn from AIRE and the wider Estonian ecosystem. 

Our ambition at New Nordics AI is to connect the AI ecosystems across the Nordics and Baltics so that we can learn from one another, build on our respective strengths and act together where it matters most. No country in our region can do everything alone, but together we have the capabilities, trust and ambition to become a global leader in how AI is adopted and used for positive outcomes. We are very excited to start this partnership with AIRE.” 

The four objectives in detail: 

1. Implementing the EU AI Act. The parties will share working tools and experience and provide guidance to help companies and public sector organisations understand and meet the requirements of the EU AI Act. The goal is to make responsible AI development and adoption easier, reducing duplication and cost while helping trustworthy solutions reach the market faster. 
2. AI that understands our languages and societies. The parties will support cooperation on language models and other AI technologies that work well in the region’s languages and cultural context. This includes connecting researchers, companies, public sector institutions, data resources and computing capacity across the region. The aim is to ensure that smaller languages, including Estonian, hold a strong position in the AI era, and that the region does not become unnecessarily dependent on technologies developed for other languages and markets. 
3. Applying AI in companies and industry. The cooperation aims to move AI from discussion and experimentation into everyday use. This involves connecting companies facing real business and industrial challenges with relevant experts, research partners and solutions from across the region. The cooperation also covers AI and energy, including ways to use the region’s energy systems and clean energy to support AI development and investment. 
4. Preparing people for an AI-driven economy. Since the successful adoption of AI depends on people knowing how to use it, the parties will share and develop training models for companies, public sector organisations and key industries. This may include joint programmes, sharing of training materials and methods, and opportunities for companies and specialists from different countries to learn from one another. 

The memorandum of understanding has been signed for a period of three years. It was signed at the Estonia-Iceland Business Forum, in the presence of Kristina Kallas, Minister of Education and Research of the Republic of Estonia, and Logi Már Einarsson, Minister of Culture, Business and Higher Education of the Republic of Iceland. 

The memorandum was signed by Katre Eljas, Head of AIRE, and Gísli Ragnar Guðmundsson, Co-Lead of New Nordics AI. 

New Nordics AI is a Nordic-Baltic artificial intelligence hub whose goal is to accelerate AI development, ethical adoption and cross-border cooperation in Northern Europe. The hub was launched in October 2025 and is funded by the Nordic Council of Ministers with DKK 30 million. The hub’s board is chaired by Katrín Jakobsdóttir, former Prime Minister of Iceland, and its headquarters is in Stockholm. 

AI & Robotics Estonia (AIRE) is a European Digital Innovation Hub in Estonia that brings together local universities, higher education institutions and research organisations, and is based at TalTech. The centre is dedicated to advancing innovation in the field of artificial intelligence and robotics.