Nokia’s networking business gains from AI-related data traffic growth, projected to increase tenfold and strain current 5G infrastructure.
Nokia’s networking and connectivity hardware unit is poised for expansion as artificial intelligence drives a surge in mobile data traffic. Generative AI alone generates over twice the uplink data of standard mobile traffic, according to industry analysis.
The company, no longer a phone manufacturer, supplies 5G infrastructure to carriers like AT&T and Verizon. Current networks face strain as AI-related traffic could grow tenfold, outpacing existing capacity.
Investors are refocusing on Nokia’s role in enabling next-generation connectivity amid rising demand for high-speed data transmission.