- NVIDIA will invest $1 billion in Nokia through a directed share issue.
- Nokia will issue over 166 million new shares to Nvidia at $6.01 per share, giving Nvidia a 2.90% stake in the company.
- Nvidia chips will speed up Nokia’s software for 5G and 6G networks and explore the use of Nokia’s data center technology for AI.
- Nokia has seen strong growth in its data center business, driven by AI demand, and posted 9% sales growth in Q3 2025.
- Nokia shares rose over 20% after the announcement; Nvidia shares increased by 1.7%.
Nvidia announced plans to invest $1 billion in Nokia through a directed share issuance, according to a Tuesday announcement. The Finnish company will issue 166,389,351 new shares to Nvidia at a price of $6.01 each, amounting to a 2.90% ownership stake for Nvidia.
The partnership aims to use Nvidia chips to accelerate Nokia‘s software for current 5G and upcoming 6G telecommunications networks. Additionally, Nvidia will look into integrating Nokia‘s data center technologies into its Artificial Intelligence infrastructure. The announcement coincided with Nvidia CEO Jensen Huang’s seminar at the GTC event.
Nokia is primarily known for providing mobile network equipment but has expanded into the data center market recently. Its data center business has benefited from rising demand driven by the rapid growth of artificial intelligence in recent years. This progress contributed to Nokia beating Wall Street expectations, posting a 9% year-over-year increase in net sales in the third quarter of 2025.
Following the announcement, Nokia shares surged more than 20% on Tuesday. Meanwhile, Nvidia shares saw a 1.7% rise at the time of publication. In recent months, Nvidia has increased its investments in companies such as OpenAI and Intel to strengthen its position in AI and technology sectors.
For more on related investments, see Microsoft (MSFT) Announced 21% Stake in OpenAI.
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