German Chancellor Friedrich Merz, two federal ministries and Nvidia signed a Joint Declaration of Intent at the Invest in Germany Summit in Berlin on 19 October, according to Nvidia’s account of the event. The agreement commits the parties to work on an initiative to advance models for physical AI, extending their cooperation on the use of AI in German industry.
Key points
- Merz, the Federal Ministry for Economic Affairs and Energy, and the Federal Ministry for Research, Technology and Space signed the declaration with Nvidia, the company said.
- The parties agreed to work on an initiative for physical AI models, according to Nvidia.
- Nvidia plans investments in Agile Robots, Avelios Medical, Mirelo and Reflex Aerospace as part of a nearly $10 billion European commitment.
- The agreement expands Nvidia’s work with Germany’s Industry 4.0 Platform, which brings together government, industry, research and trade associations.
The declaration extends Industry 4.0 cooperation
The declaration brings Nvidia’s existing work with the federal government and Germany’s Industry 4.0 Platform into a wider collaboration, the company said. The platform includes representatives from politics, industry, research and trade associations. Nvidia described the government’s objective as bringing industrial AI into wider use and building an industrial AI ecosystem in Europe. The agreement is an undertaking to work on a joint initiative, rather than a description of models already in use.
Physical AI concerns systems that model or interact with the physical world, including tools for robotics and autonomous vehicles, domain-b reported before the signing. Its 16 October report said the proposed cooperation was expected to build on Sovereign Open Source Foundation Models, or SOOFI, a German initiative established in 2025 to develop large-scale models with research institutions, universities and AI companies. The report also described a possible role for computing resources and models suited to industrial requirements.
In its account of the summit, Nvidia framed the initiative around combining German engineering and manufacturing expertise with AI research. That places manufacturers and the organisations working on models within the same proposed effort. It also extends a relationship already being pursued through computing infrastructure: Deutsche Telekom launched an Industrial AI Cloud in Munich on 4 February 2026 with Nvidia and data-centre partner Polarise, domain-b reported. The facility provides computing resources for businesses and research.
Before the summit, AI Affairs reported plans for a German–Nvidia cooperation deal involving hundreds of millions of euros and SOOFI. Domain-b said the proposed initiative could involve investments worth several hundred million euros, including public-sector funding, drawing on Handelsblatt reporting. It said the final financial commitments remained subject to confirmation at the time of its report. Nvidia’s 19 October announcement put a different figure on its own activity: planned German startup investments within a nearly $10 billion commitment across Europe.
Merz asks the Mittelstand to open its data
Merz and Nvidia founder and chief executive Jensen Huang discussed the roadmap at Kraftwerk, a former power station in Berlin, after the declaration was signed. Merz said he wanted Germany to be among the most advanced places in the world for integrating AI into industry. He addressed the leaders of small and medium-sized businesses, known as the Mittelstand, directly: “Please open your doors for AI to make use of your data.”
That appeal matters to the proposed work on industrial models because Merz identified data held inside German companies as an advantage for them to use. Huang, for his part, told the audience that companies’ existing knowledge belonged to them and argued that AI could augment it. Those are the two men’s cases for adoption, made at a summit devoted to investment. The declaration, as Nvidia described it, establishes cooperation on developing models rather than an obligation on manufacturers to provide data.
Manufacturing is also the setting for separate work between Nvidia and Siemens. AI Affairs reported Siemens’ target of up to 80% factory automation with AI and its planned €500 million expansion. The declaration addresses a broader group of participants through the federal government and Industry 4.0 Platform, while Merz’s request at Kraftwerk was directed at companies whose data he wants brought into AI work.
Nvidia names four German investment targets
Huang announced planned investments in Agile Robots, Avelios Medical, Mirelo and Reflex Aerospace. Nvidia said they form part of its nearly $10 billion commitment to support companies, universities and research institutions across Europe. The four businesses work in different fields, so the announcement reaches beyond the manufacturing focus of the declaration.
Agile Robots, based in Munich, develops robots for manufacturing, logistics and healthcare, according to Nvidia. The company described Munich-based Avelios Medical as a developer of a hospital information system for clinical and administrative work. It said Mirelo builds models for generating audio for video, while Berlin-based Reflex Aerospace designs and builds satellites. Nvidia described the investments in all four as planned.
