Nvidia invests $1B in Nokia to build AI-ready wireless networks

Nvidia has announced a $1 billion investment in Nokia, a Finnish telecommunications equipment company, to accelerate the development of AI-ready 5G-Advanced and 6G networks. The partnership positions both companies at the forefront of what they call the “AI-native wireless era,” combining Nvidia’s AI computing power with Nokia’s telecommunications infrastructure to handle the massive demands of AI workloads and establish next-generation connectivity standards.

What you should know: The investment will integrate Nvidia’s AI-RAN products directly into Nokia’s radio access network portfolio, creating a comprehensive platform for AI-powered telecommunications.

• Nvidia unveiled the Aerial RAN Computer Pro (ARC-Pro), an “accelerated computing platform” that combines connectivity, computing, and sensing capabilities for network equipment providers.
• The collaboration extends beyond 5G to 6G development, focusing on networks capable of processing intelligence from data centers to edge devices.
• Both companies will also explore Nokia’s optical technologies to help build future Nvidia AI infrastructure architecture.

Why this matters: The partnership represents a strategic push to position the United States as a global leader in critical telecommunications infrastructure during a generational technology shift.

• AI workloads require fundamentally different network capabilities than traditional applications, demanding networks that can adapt and process intelligence in real-time.
• The investment comes as countries worldwide compete to establish dominance in next-generation wireless technologies that will underpin future economic and security systems.

What they’re saying: Industry leaders frame this as a fundamental reimagining of telecommunications infrastructure rather than just an incremental upgrade.

• “Telecommunications is a critical national infrastructure — the digital nervous system of our economy and security,” said Jensen Huang, founder and CEO of Nvidia. “Built on Nvidia CUDA and AI, AI-RAN will revolutionize telecommunications — a generational platform shift that empowers the United States to regain global leadership in this vital infrastructure technology.”
• “The next leap in telecom isn’t just from 5G to 6G — it’s a fundamental redesign of the network to deliver AI-powered connectivity, capable of processing intelligence from the data center all the way to the edge,” said Justin Hotard, President and CEO of Nokia. “Our partnership with Nvidia, and their investment in Nokia, will accelerate AI-RAN innovation to put an AI data center into everyone’s pocket.”

The big picture: This partnership signals a broader convergence between AI computing and telecommunications infrastructure, where future networks must serve as both connectivity providers and distributed computing platforms to support emerging AI-powered applications and services.