Nokia Embraces AI, Nvidia

Nokia is strategically partnering with Nvidia, marking a significant move towards AI-native 5G-Advanced and 6G networks. Nvidia will invest $1 billion in Nokia, acquiring a 2.9% stake, to accelerate AI-RAN innovation. This collaboration aims to integrate Nvidia's AI chips and algorithms into Nokia's mobile base stations and network products.

The partnership will focus on developing AI networking solutions and integrating Nokia's data centre communication products into Nvidia's AI infrastructure. Nokia will expand its RAN portfolio by embedding NVIDIA ARC-Pro, enabling a smooth transition to AI-RAN networks for customers. T-Mobile U.S. is also working with Nokia and NVIDIA to integrate AI-RAN technologies into its 6G development, with trials expected to begin in 2026.

This collaboration marks a turning point for the industry, paving the way for AI-native 6G and positioning both companies to capture a significant share of the growing market for data centre infrastructure. Nokia's shares surged following the announcement, reflecting investor confidence in the company's AI-focused transformation.