Why did Nvidia invest $1 billion in Nokia?

Nvidia invested in Nokia to advance AI connectivity and prepare for 6G technology, integrating Nokia's software with Nvidia chips.

What is Nokia's current financial situation?

Nokia reported a 75% drop in net income for the first nine months of 2025, though net sales saw a 4% increase.

Are Nokia and Qualcomm good investments now?

Analysts predict profit increases for Nokia in 2026, and both companies are seen as potential beneficiaries of future 6G technology.

Home / Business and Economy / Nokia's AI Bet: Nvidia Invests $1B for 6G Future

Nokia's AI Bet: Nvidia Invests $1B for 6G Future

12 Dec

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Summary

Nvidia invested $1 billion in Nokia for AI and 6G advancement.
Nokia's net income dropped 75% in the first nine months of 2025.
Analysts predict a 24% profit increase for Nokia in 2026.

Nokia's AI Bet: Nvidia Invests $1B for 6G Future

The current tech market presents opportunities for investors seeking value, with Nokia and Qualcomm identified as promising "cheap tech stocks." Nokia, once a mobile giant, is making a strategic pivot into artificial intelligence and the future of 6G technology. This bold move has attracted a significant $1 billion investment from Nvidia, which secured a 3% stake in exchange for collaborating on AI connectivity and future 6G infrastructure.

Despite this strategic partnership, Nokia's recent financial performance has been challenging. For the first nine months of 2025, the company reported a 75% decline in net income compared to the previous year, largely due to increased costs. However, financial analysts are optimistic about a turnaround, projecting a 24% increase in profits for 2026, fueled by ongoing restructuring efforts and the anticipated impact of its AI initiatives.

Looking ahead, both Nokia and Qualcomm are poised to benefit from the upcoming 6G technology wave. Qualcomm, in particular, faces its own set of challenges, including past reliance on China and the loss of a key client. However, the global push towards next-generation connectivity offers a significant catalyst for renewed growth and investor interest in these overlooked tech players.