In a move signaling the growing urgency among European industrial giants to secure their position in the artificial intelligence race, Sweden’s influential Wallenberg family has launched a new joint AI company, uniting several of its core business holdings under a single innovation banner.
The venture, named Sarek.ai, brings together assets and expertise from major Wallenberg-controlled companies including Investor AB, Ericsson, ABB, and Saab in a rare cross sector collaboration aimed at developing and commercializing AI technologies for both industrial and defense applications.
Backed by a multibillion-krona investment and headquartered in Stockholm, Sarek.ai aims to be a leading European alternative to U.S. and Chinese tech giants, focusing on sovereign AI infrastructure, ethical model development, and mission-critical AI systems.
“We believe Europe must take responsibility for its technological future,” said Marcus Wallenberg, chairman of SEB and a leading figure in the initiative. “Sarek.ai will combine industrial scale, scientific excellence, and ethical governance to help ensure that AI serves society not just markets.”
A Nordic Model for AI
The company’s name, inspired by the wild and rugged Sarek National Park, reflects its vision of a resilient, transparent, and sovereign AI ecosystem aligned with Nordic values and European digital sovereignty ambitions.
Sarek.ai will initially focus on developing foundation models and sector-specific AI applications in manufacturing automation, telecommunications, energy systems, and aerospace. The group is also expected to work closely with Sweden’s top research institutions and universities, including the Royal Institute of Technology (KTH) and Chalmers University.
Public-Private Strategy
The launch comes at a time when European policymakers are pushing for a stronger domestic AI capability, wary of relying too heavily on American firms like OpenAI, Google DeepMind, and Microsoft or China’s fast growing AI players.
The Wallenberg family, whose philanthropic foundations reinvest the majority of their profits into research and education, is positioning this as both a business move and a public service.
“AI is a general-purpose technology that will redefine every sector,” said Helena Stjernholm, CEO of Investor AB. “Europe has the talent and the infrastructure. Now we’re building the vehicle.”
Balancing Ethics and Power
In contrast to the Silicon Valley model, Sarek.ai will reportedly prioritize human-centered AI, data privacy, and responsible deployment. The group is said to be engaging with European regulators to ensure compliance with the EU AI Act while advocating for innovation friendly policies.
Skeptics, however, question whether a European initiative even one backed by Sweden’s most powerful business dynasty can keep pace with the scale and speed of U.S. and Chinese competitors. Still, industry analysts see the Wallenberg move as a significant step toward consolidating Europe’s fragmented AI efforts.
“This is more than a corporate announcement,” said Dr. Annika Olsson, an AI policy expert at Lund University. “It’s a strategic signal that Europe isn’t out of the game yet.”
source: reuters.com