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Physical AI Market to Reach USD 27.74 Billion by 2034 as Automotive Leads with 56.42% Share

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Automakers accounted for 56.42% of physical AI demand in 2025, while logistics and warehousing is the fastest-growing end use, according to Polaris Market Research.

DOVER, Del., Oct. 22, 2026 /PRNewswire/ — The global physical AI market was valued at USD 0.90 billion in 2025 and is projected to reach USD 27.74 billion by 2034, growing at a CAGR of 46.33% from 2026 to 2034, according to Polaris Market Research. Physical AI, also known as embodied AI, combines models, simulation platforms, and computing infrastructure that enable machines to perceive, reason, and act in the physical world.

Physical AI Market Gains Enterprise Attention   

At CES 2026, NVIDIA CEO Jensen Huang described physical AI as the next wave of AI. IDC’s May 2026 research also ranked physical AI as the second-highest enterprise AI investment priority for the following 24 months. Physical AI follows generative AI assistants and copilots in IDC’s investment priority research. The above developments reflect increasing interest in AI technologies capable of interacting with the real world.

Industrial Applications Extend Beyond Humanoids

Industrial and warehouse automation accounted for 35.72% of the application segment in 2025. The humanoid robotics segment is projected to record the fastest application growth, with a CAGR of 50.84% through 2034. Specialized robots are already used for defined tasks in factories and warehouses. The environmental parameters are more controlled in these areas. Humanoid robots have a wider scope for applications. However, their use in commercial environments is still evolving.

Access the Full Report

Request a free sample of the Physical AI Market Size, Share, and Forecast 2026–2034 report for detailed market estimates, segment forecasts, regional analysis, and competitive insights. Read the full Physical AI Market report from Polaris Market Research.

Key Growth Drivers

Foundation and vision-language-action models: These models let robots learn tasks from data and instructions instead of fixed programs.Simulation and digital twins: Virtual testing finds issues early and shortens robot deployment time.Edge AI chips: GPUs and SoCs process data on-device, reducing inference costs and response time.Labor shortages: Physical AI automates routine tasks when workers are hard to find.

Segment and Regional Outlook

Polaris breaks down the physical AI market size by component, application, end use industry, and region.

By Component: Robot foundation models and vision-language-action (VLA) models held the largest share, at 31.74% in 2025. These models connect perception, language, reasoning, and planning to physical action, giving developers one software intelligence layer that can run across different robot platforms and tasks. World foundation models are projected to grow fastest, at a CAGR of 52.64% through 2034. They simulate physical environments and generate training scenarios, so developers can train and test AI systems before real-world deployment. The report also covers simulation and digital twin platforms and compute infrastructure.By End Use Industry: Automotive led with a 56.42% share in 2025, as automakers apply physical AI across autonomous driving, smart manufacturing, simulation, and factory robotics. Logistics and warehousing is forecast to grow at a CAGR of 49.78% through 2034, driven by demand for flexible robotic systems, including autonomous mobile robots, in material handling, warehouse operations, and logistics workflows.By Region: North America held 31.12% of the market in 2025, supported by the US base of AI platform companies, robotics startups, compute infrastructure, and venture-funded physical AI developers. Europe accounted for 24.38%, backed by industrial AI, robotics development, digital twin adoption, and investment in humanoid and embodied AI companies. Asia Pacific is projected to grow fastest, at a CAGR of 51.83% through 2034, as the region combines large manufacturing bases, robotics ecosystems, semiconductor capabilities, and national embodied AI initiatives. Japan is expanding physical AI in industrial production, while China has a large base of robotics developers and manufacturers.

Market Restraints

Safety certification and integration costs can slow physical AI deployment. Robots also need diverse real-world training data, and limited data can hurt performance and add testing before commercial use.

Analyst Perspective

“Humanoid robots are one part of the physical AI market, but they do not represent the entire opportunity. Our analysis points to demand across the models, simulation tools, and computing systems that make machines more adaptable. Commercial progress will depend on how reliably these technologies perform in real operating environments,” said Apurva Agarwal, Senior Analyst, Polaris Market Research.

Key Companies

Leading physical AI companies profiled in the report include:

Agility Robotics, Inc.Apptronik, Inc.Boston Dynamics, Inc.DeepMind Technologies Limited (Google DeepMind)Field AI, Inc.Figure AI, Inc.Hangzhou Yushu Technology Co., Ltd. (Unitree Robotics)NVIDIA CorporationPhysical Intelligence, Inc.Skild AI, Inc.

Related Research: Humanoid Robot as a Service Market | Neural Processor Market

About Polaris Market Research

Polaris Market Research is a global market research and consulting company that publishes 5,000+ reports across 20+ industry verticals. The company provides market insights, industry forecasts, competitive analysis, and strategic research to help businesses, investors, and decision-makers understand market dynamics, assess emerging trends, and identify growth opportunities.

Contact Details

Polaris Market Research & Consulting, Inc.
8 The Green Ste 19824, Dover, DE 19901, United States
USA: +1 929-297-9727
Europe: +44-748-134-3712
Email: sales@polarismarketresearch.com  
Website: www.polarismarketresearch.com

 

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Chelsea FC announces multi-year sleeve partnership with Sokin, the business payments and FX platform

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Chelsea FC name fast-growing fintech platform as Principal Partner

LONDON, Oct. 23, 2026 /PRNewswire/ — Chelsea Football Club has today announced a multi-year partnership with Sokin, the embedded finance and payments company used by businesses worldwide. Sokin will be named a Principal Partner and Official Business Payments and FX Partner of Chelsea FC and Chelsea FC Women.

As a Principal Partner, Sokin will be represented on the sleeves of the Chelsea FC men’s, women’s and academy home, away, and third kits from the 2026/27 season.

The partnership brings together two ambitious London-headquartered organisations with worldwide reach – a club with millions of fans across the world and a fintech platform through which businesses move more than $11 billion a year. A club of Chelsea’s scale works in many currencies every day, with partners, competitions and supporters around the world, and needs a financial partner built to handle that.

Sokin gives finance teams business payments, multi-currency accounts, foreign exchange, checkout and treasury in one place, so they spend less time juggling banks and providers and keep more of what they move.

As Official Business Payments and FX Partner, Sokin will simplify how Chelsea FC sends, receives and manages money in the currencies the club operates in.

The Sokin logo will feature on the sleeve of the Chelsea shirt for the first time [when the men’s team host Tottenham Hotspur at Stamford Bridge on Saturday 24th October.]

Jason Gannon, President at Chelsea FC said:

“At Chelsea, we seek to partner with organisations that share our ambition and innovative mindset. Sokin’s expertise in business payments, and their focus on making both simpler for the businesses they serve, makes them a natural fit for the Club. We are pleased to welcome Sokin to the Chelsea family and look forward to working together in the years ahead.”

Vroon Modgill, CEO and founder at Sokin said:

“Chelsea plays on the biggest stage in world football, and its business runs in dozens of currencies. Sokin was built for that with regulated, multi-currency payments and foreign exchange for organisations that operate internationally. We’re proud to be the platform behind the business payments and FX of one of the most iconic teams in football. Sokin’s platform serves businesses in more than 170 countries. We’re thrilled to be partners for the season ahead. An organisation as sophisticated as Chelsea doesn’t leave its finances to chance.”

About Sokin

Sokin is the financial layer global business runs on. Businesses can transact, convert and hold money in 70+ currencies across 170+ countries. Some businesses use Sokin to manage global finance in-house. Others build it into their products to power financial experiences for their customers. Businesses move more than $9 billion a year on licenses Sokin holds in 36+ countries and infrastructure Sokin owns. Founded in 2019, Sokin has raised over $100 million from investors including Morgan Stanley Expansion Capital and Prysm Capital.

About Chelsea Football Club

Chelsea Football Club is one of the biggest, most successful football clubs globally and our men’s team are reigning world champions, having won the four-yearly FIFA Club World Cup in 2025. Our women’s team, Chelsea Women, are also multiple trophy winners.

Founded in 1905, Chelsea is London’s most central football club, based at the iconic 40,000-capacity Stamford Bridge stadium. Nicknamed the Blues, the club lifted the Champions League for the first time in 2012 and domestically has won the Premier League five times, the FA Cup eight times, the Football League Cup five times and the Football League Championship once, in 1955.

The Chelsea Women’s team have enjoyed a huge amount of success and in 2025 won the FA Women’s Super League for a sixth consecutive year and the eighth time overall. The Women’s FA Cup has been won on six occasions. We have also captured the FA Women’s League Cup four times as well as reaching the UEFA Women’s Champions League final in 2021. In two seasons, 2020/21 and 2024/25, a domestic treble of trophies was secured.

The Chelsea Foundation boasts one of the most extensive community initiatives in sport, helping to improve the lives of children and young people all over the world.

Media Contacts:

Taina Biggs
taina.biggs@sokin.com 

Nerissa Chesterfield
nerissa.chesterfield@chelseafc.com 

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Amy Johnson Appointed President of GDIT

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RESTON, Va., Oct. 23, 2026 /PRNewswire/ — General Dynamics (NYSE:GD) announced today that Amy Johnson has been appointed as president of GDIT, effective November 3.

Johnson is a 27-year veteran of General Dynamics Mission Systems, where she held increasingly senior roles in engineering, engineering management and business leadership across cybersecurity, defense electronics, space and intelligence systems, most recently as vice president and general manager for Space, Cyber and Intelligence. She earned bachelor’s and master’s degrees in computer science and computer systems engineering. 

“Amy has a proven track record of leading teams to solve complex and highly technical challenges for our customers,” said Phebe Novakovic, CEO of General Dynamics. “I am confident that her dynamic leadership, operational rigor and deep commitment to our values and culture will deliver value to our customers, employees and shareholders.”

GDIT delivers digital modernization, cloud computing, artificial intelligence, cybersecurity and software development solutions to the U.S. federal government, defense, intelligence agencies and other customers. It is a business unit of General Dynamics, a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions; and technology products and services. General Dynamics employs more than 120,000 people worldwide and generated $52.6 billion in revenue in 2025. More information is available at gd.com.

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SOURCE General Dynamics

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Yazan Al Homsi Invests US$500,000 in Toronto Drone Maker Arcanus Aerial Systems

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Private investment comes as Arcanus builds out Canadian manufacturing capacity for autonomous aerial systems

DUBAI, UAE, Oct. 23, 2026 /PRNewswire/ — Yazan Al Homsi, a UAE-based investor and managing partner of Catalyst Communications DMCC, has invested US$500,000 in Arcanus Aerial Systems Inc., a Toronto-headquartered developer and manufacturer of unmanned aerial systems for defence, public safety and critical infrastructure customers. Al Homsi is an investor only and holds no operational, advisory or board role with the company. Other terms were not disclosed.

Arcanus is a Canadian-controlled company. It currently lists more than 15 platforms across heavy-lift, intelligence, surveillance and reconnaissance (ISR), cargo, strike and counter-drone missions. According to the company, its published line-up includes:

AB 516e: a long-endurance vertical take-off fixed-wing aircraft rated for three hours of flight.AE 401: a counter-drone interceptor with a top speed of 300 km/h.AC 5250: a cargo platform with a 250 kg payload and a range of more than 2,300 km.

Alongside defence, Arcanus markets its systems for wildfire detection, search and rescue, Arctic sovereignty, border and maritime patrol, and pipeline and power line monitoring.

The company has spent 2026 assembling its domestic production base. In April, Arcanus signed a binding term sheet with Portugal-based Beyond Vision, granting it rights to manufacture, commercialize and support Beyond Vision’s unmanned aerial systems in Canada.

In June, Arcanus announced a five-year agreement appointing FeralX Systems Inc. as a non-exclusive Canadian contract manufacturer for several of its platforms.

“Canada has the engineering talent to build these systems at home, and recent years have shown how much depends on having that capacity domestically,” said Yazan Al Homsi. “What stood out to me about Arcanus was the manufacturing groundwork already in place: licensing, a production partner, and a range of aircraft that serves wildfire crews and search-and-rescue teams alongside defence customers.”

About Yazan Al Homsi

Yazan Al Homsi is a UAE-based investor and managing partner of Catalyst Communications DMCC, which he founded in Dubai in 2018. He was previously based in Vancouver, where he founded Founders Round Capital in 2017 and built a track record of investments in early-stage and small-cap companies. He earned a finance degree from McGill University in 2004 and holds the Chartered Financial Analyst designation. Before turning to investing, he spent more than a decade with PricewaterhouseCoopers in the Middle East, rising to director and focusing on transaction due diligence and valuation.

Media Contact
Catalyst Communications DMCC
catalyst-wire@protonmail.com

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SOURCE Yazan Al Homsi

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