Nokia plans $4 billion AI investment in the United States (updated)

Nokia Oyj

21/11/2025 15:27

Adds details on investment, context on U.S., CEO quote from paragraph 3

By Gianluca Lo Nostro

Nov 21 (Reuters) -
Finland's Nokia NOKIA.HE said on Friday it plans to invest $4 billion in the United States, targeting research, development, and production to drive advancements in artificial intelligence-driven network connectivity.

The telecom equipment maker said that $3.5 billion of the investment will be allocated to R&D efforts. It added $500 million will be spent on manufacturing and capital expenditures in states including Texas, New Jersey, and Pennsylvania.

Nokia, which operates over a dozen sites in North America and owns Bell Labs in New Jersey,
introduced
 a new strategy on Wednesday aimed at streamlining operations with an emphasis on AI.

Finnish President Alexander Stubb said earlier in October Nokia was one of the topics discussed with U.S. President Donald Trump at a White House
meeting
.

Friday's announcement follows a profit warning in July tied to tariffs and a weakening dollar, as some non-US firms
shift production
there to mitigate trade risks.

The U.S. lacks a major domestic maker of telecom equipment, leaving Nokia, Ericsson  ERICb.ST and Samsung 005930.KS as the main options.

Chief executive Justin Hotard, who
joined
 Nokia from Intel earlier this year, told Reuters on Wednesday that Nokia's focus for networks is on countries that value Western technology.

 (Reporting by Anna Ringstrom and Gianluca Lo Nostro, editing by Terje Solsvik and Matt Scuffham)

 ((anna.ringstrom@thomsonreuters.com;))