Physical AI refers to artificial intelligence systems that perceive, reason, and act in the physical world through sensors, actuators, and embodied control. Unlike purely digital AI, Physical AI connects software intelligence with real-world interaction, enabling robots, autonomous machines, and smart devices to move, manipulate objects, and respond to dynamic environments. This topic covers perception, motion planning, control systems, and learning-based behaviors used in robotics, autonomous vehicles, and industrial automation. It also explores simulation, digital twins, and real-world training methods that bridge the gap between virtual models and physical execution. As AI increasingly leaves the screen and enters the real world, Physical AI represents a critical foundation for scalable, intelligent machines operating outside controlled environments.
Neura Robotics has closed a Series C round of up to $1.4 billion led by Tether, the stablecoin issuer behind USDT, with Tether also planning to integrate its Wallet Development Kit directly into Neura’s robotic systems as the companies argue autonomous robots need financial tools.
Addverb Technologies, backed by Reliance Industries and currently ranked outside the global top 30 in robotics by revenue, is raising more than $100 million to develop humanoid and quadruped robots, build AI training systems, and expand internationally as it targets a top-10 global ranking within five years.
Nebius has launched the Physical AI Living Lab, a six-month accelerator providing UK and European robotics startups with access to NVIDIA’s physical AI software stack and Nebius cloud compute, with the first cohort expected to begin in September 2026.
Google DeepMind has launched a three-month robotics accelerator program for early-stage European startups, selecting 15 companies spanning industrial automation, healthcare robotics, waste sorting, ocean autonomy, and neurosurgery for mentorship and access to Gemini robotics models.
Standard Bots has raised $200 million in a Series C co-led by General Catalyst and RoboStrategy at a $1 billion valuation, funding expansion of its Glen Cove, New York factory and a target of delivering 10% of all new U.S. industrial robot deployments within the year.
Xpeng CEO He Xiaopeng has assumed direct leadership of the company’s robotics business, effective immediately, as the EV maker targets mass production of its IRON humanoid robot by the end of 2026 and commercial customer delivery from 2027.
BYD Executive Vice President Stella Li has confirmed the company is developing humanoid robots in-house, with its own EV and battery factories as the first deployment target before a planned consumer rollout through BYD’s existing auto dealer network.
South Korean builder GS E&C has signed an MOU with Daedong Robotics to deploy autonomous mobile robots at construction sites, beginning with pilot projects for material transportation and labor-intensive tasks before jointly developing construction-specific robot models.
A modified Unitree G1 humanoid robot named Pemba reached the summit of Ecuador’s Chimborazo volcano at over 6,000 meters altitude, walking independently on sections below 30 degrees incline during a 16-hour climb, as the team sets its sights on Mount Everest.
Nvidia CEO Jensen Huang declared humanoid robots “very very close” to industrial deployment as he and Hyundai Executive Chair Chung Euisun detailed plans to expand their physical AI and robotics partnership, with Huang also committing to join Hyundai’s $5.9 billion South Korean AI Valley initiative.