In a landmark tech alliance, Nvidia has announced a $1 billion equity investment in Nokia, acquiring a 2.9% stake in the Finnish telecommunications giant to accelerate collaboration in AI-driven networking and 6G innovation. The news sent Nokia’s stock surging between 17% and 20% on October 28, 2025, marking its strongest single-day performance in years.
According to market data, Nokia’s shares rose to €6.39, up €0.94 (+17.19%), while Nvidia’s stock climbed 1.46% to $194.29, signaling investor optimism around the long-term potential of this partnership.
Strategic Collaboration for Next-Generation Networks
The deal goes beyond a simple financial investment. As part of the agreement, both companies will jointly develop next-generation AI and 6G networking technologies, setting the stage for major advances in telecommunications infrastructure.
One key focus area will be the AI-RAN (Artificial Intelligence Radio Access Network) segment, a growing field where machine learning optimizes wireless network performance. Nokia plans to integrate its 5G and 6G RAN software with Nvidia’s GPU-based architecture, enabling operators to deploy faster, more intelligent, and energy-efficient networks.
To support this initiative, Nvidia also unveiled its new Aerial RAN Computer, a cutting-edge hardware platform purpose-built for 6G-ready telecommunications. The companies will further collaborate on AI networking solutions, leveraging Nokia’s expertise in data center switching and optical transport technologies to enhance Nvidia’s expanding AI data infrastructure.
Investment Details and Market Impact
Under the terms of the agreement, Nvidia will purchase over 166 million newly issued Nokia shares at $6.01 per share. Nokia stated that proceeds from the investment will help fund its AI strategy and broader innovation roadmap.
Industry observers view this as a mutually transformative partnership, combining Nvidia’s dominance in AI hardware and software with Nokia’s leadership in telecom infrastructure. The collaboration positions both firms at the center of the next technological evolution, where AI, connectivity, and computing converge to shape the coming 6G era.