Nvidia to invest $1 billion in Nokia in major AI and 6G push

US chipmaker Nvidia has announced plans to invest $1 billion in Finnish telecom giant Nokia Oyj, acquiring a 2.9% stake as part of a broader effort to expand its footprint in artificial intelligence and next-generation network technologies.

Under the agreement, Nvidia will purchase 166 million Nokia shares at €6.01 (approximately $6.40) per share, the companies said in a joint statement. The partnership will also see Nokia gain access to Nvidia’s cutting-edge AI chips to enhance its 5G and 6G network infrastructure.

In return, Nvidia will explore ways to integrate Nokia’s data centre technologies into its own AI infrastructure, deepening collaboration between the two firms as demand for computing power surges globally.

Nokia, historically known for its mobile network equipment, has been shifting focus towards data centres and AI-driven networking. The company’s strategic pivot has begun to deliver results, helping it outperform Wall Street expectations in its most recent quarter. Earlier this year, Nokia acquired US-based Infinera Corp. for $2.3 billion, strengthening its position in AI data centre networking.

Following the announcement, Nokia’s shares surged as much as 17% on the Helsinki Stock Exchange — its largest single-day gain since 2013.

The investment underscores Nvidia’s aggressive push into global AI infrastructure. The company has recently pledged up to $100 billion towards AI ventures, including funding for OpenAI, autonomous vehicle developers Wayve and Oxa, fintech firm Revolut, and conversational AI company PolyAI. Nvidia also plans to co-invest in a German data centre project with Deutsche Telekom AG, according to Bloomberg.