Vishay Precision Group (VPG) announced a strategic realignment toward the humanoid robotics and Physical AI markets on March 19, receiving prototype orders valued at two million euros, signaling a significant shift within the technology industry. The company anticipates a follow-on order for hundreds of units in the second quarter, with potential to scale production to hundreds of robots per week by the finish of 2026.
The move reflects a broader industry trend away from cloud-based artificial intelligence and toward integrating AI directly into physical robots capable of operating in complex real-world environments. This transition, dubbed “Physical AI,” is being driven by advancements in robotics platforms and a growing demand for automation across various sectors.
NVIDIA is playing a central role in enabling this shift, forging strategic partnerships with robotics companies including FANUC, ABB Robotics, and KUKA. These collaborations focus on developing standardized platforms, including simulation frameworks like NVIDIA Isaac and GR00T, designed to accelerate the development and testing of intelligent robots. The platforms allow developers to test applications in digital twins before deployment in real-world scenarios.
Nebius, an AI cloud company, is collaborating with NVIDIA to create a platform supporting the entire robot lifecycle, aiming to address infrastructure fragmentation and the scarcity of high-quality training data for unpredictable real-world situations. The companies claim early users could reduce development cycles from weeks to days.
Demand from industrial sectors is fueling the transition. A recent ABB Robotics survey released on March 18 revealed that automotive manufacturers are increasingly investing in automation to combat rising costs, labor shortages, and energy pressures. Nearly one-third of respondents identified robotics as a key strategy for addressing these challenges.
The technology underpinning Physical AI has matured to the point of practical application. Experts emphasize that many of the fundamental breakthroughs in robotics have already been achieved, and increased computing power, coupled with the narrowing gap between simulation and reality, allows robots to learn in virtual environments and apply that knowledge in complex settings.
Hyperscale Data, a data center firm, announced that its subsidiary, Omnipresent Robotics, will commence commercial deliveries in the United States in June 2026. The company’s strategy centers on creating a diversified technology platform spanning AI infrastructure and real-world automation.
According to a report from the International Federation of Robotics (IFR) released on March 19, automation is gaining prominence across numerous industries, with AI-powered robotics and the introduction of humanoid robots into real-world testing identified as global top trends for 2026. Analysts suggest this represents a fundamental shift in how value is created through AI, moving beyond large language models in the cloud to “embodied AI” systems capable of performing tasks in factories, warehouses, and potentially public spaces.
VPG plans to begin mass production of components for humanoid robots by the end of the year, while Omnipresent Robotics is scheduled to launch commercial services mid-year.
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