What is Nokia's new business focus?

Nokia is now focused on providing hardware for cloud services and data centers, and integrating artificial intelligence into telecoms networks.

How did Nokia become relevant again?

Nokia reinvented itself by pivoting to AI infrastructure, securing a major strategic partnership and investment from Nvidia.

What was Nokia famous for before?

Nokia was globally famous for its mobile phones, including the iconic 3310 model and its ubiquitous ringtone.

Home / Technology / Nokia's Phoenix Act: Reborn in the AI Era

Nokia's Phoenix Act: Reborn in the AI Era

2 Jan

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Summary

Nokia transforms from mobile giant to AI hardware provider.
Nvidia invests $1 billion in Nokia for AI telecom networks.
Nokia's journey spans 160+ years from paper mill to AI.

Nokia's Phoenix Act: Reborn in the AI Era

Nokia, a company once synonymous with mobile phones and the iconic "Gran Vals" ringtone, has undergone a significant reinvention. By 2009, its ringtone was played an estimated 1.8 billion times daily worldwide. However, the advent of smartphones led to a sharp decline in Nokia's mobile business.

In 2025, Nokia repositioned itself as a key provider of hardware for cloud services and data centers. This strategic shift garnered a $1 billion investment from Nvidia in October 2026, forging a partnership to embed artificial intelligence into telecommunications networks. This marks a new chapter for the Finnish group, tracing its lineage back to a paper mill established in 1865.

Analysts praise Nokia's capacity for reinvention, noting its ability to pivot across industries and manage business failures effectively. The company's latest focus on AI hardware positions it to capitalize on the burgeoning data center market, although some analysts express concerns about the volatile AI investment landscape.