Nokia Pivots to AI Infrastructure in Strategic Overhaul
Nokia unveiled a radical transformation at its Capital Markets Day, shifting focus from legacy mobile operations to AI-driven network infrastructure. The Finnish firm plans to consolidate four business segments into two Core divisions—mobile networks and network infrastructure—while divesting underperforming assets.
The network infrastructure unit will specialize in high-capacity fiber connections tailored for AI data centers, capitalizing on surging demand for data transmission. CEO Justin Hotard projects double-digit operating income growth, targeting €2.7-3.2 billion annual profit by 2028 through this 'MOVE' strategy.
Once synonymous with indestructible phones, Nokia aims to reinvent itself as an AI enabler. The pivot reflects broader tech sector trends where traditional hardware firms are repurposing infrastructure for machine learning workloads.
