The once-forgotten Nokia, at least in terms of mobile phones, tried to make a comeback with a few Android-based smartphones after its decline during the rise of modern smartphones. However, Nokia’s real business lies in 5G networks—a sector that includes both hardware and software for wireless mobile communications. Now, NVIDIA has acquired a 2.9% stake in the company.
NVIDIA Acquires a 2.9% Stake in Nokia
As NVIDIA itself has announced, the company will invest $1 billion in shares of the Finnish telecommunications giant. NVIDIA will purchase shares at $6.01 each, granting it a 2.9% ownership stake, pending regulatory approval.
This move aligns with NVIDIA’s aim to contribute to the rollout of next-generation 5G communications, supported by its 5G and 6G RAN software, where artificial intelligence will play a key role. The investment confirms NVIDIA’s ongoing strategy of supporting companies that leverage AI, providing financial backing as well as hardware solutions to advance AI infrastructure.
In addition, Nokia and NVIDIA have agreed to collaborate on AI-powered network solutions, combining Nokia’s optical and data-switching technology with NVIDIA’s future network platforms.
This partnership will also benefit NVIDIA’s own AI infrastructure, integrating cutting-edge technologies to accelerate data transfer within its AI servers and systems.
