Nokia has announced plans to invest $4 billion to expand its US R&D and manufacturing operations in the country.
The investment, which is in collaboration with the Trump administration, will see Nokia ramp up its focus on AI-ready mobile, fixed access, IP, optical, and data center networking technologies.
This follows a significant focus on AI and data center networking from Nokia this year, with the vendor announcing last week that it was splitting its operational model into two primary operating segments, Network Infrastructure and Mobile Infrastructure.
Last month Nvidia announced it would invest $1bn into Nokia as part of a strategic agreement to push AI networking.
As part of its investment in the US, Nokia said it expects to invest $3.5bn in US R&D.
This planned investment is an addition to Nokia's $2.3bn purchase of Infinera, which the vendor completed earlier this year.
Nokia added that an additional $500 million in US capex will be invested in manufacturing and R&D in the US states of Texas, New Jersey, and Pennsylvania. Nokia Bell Labs is headquartered in New Jersey.
"Our expanded investment will help strengthen the nation’s capacity to deliver greater security, productivity, and prosperity through AI-optimized connectivity at scale, while advancing the newest research and innovation that will shape the future of networking for the years to come,” said Nokia president and CEO, Justin Hotard.
According to Nokia, the investment "will strengthen Nokia’s comprehensive suite of AI-optimized networking solutions," which includes automation, quantum-safe networks, semiconductor manufacturing, testing, and packaging.
Howard Lutnick, US Secretary of Commerce, called the investment "another Trump administration win for America."
"Their investment in manufacturing, packaging, and R&D for optical chips means the most innovative technologies that power AI, data centers, and critical national security applications will be developed and built here in the USA," added Lutnick.
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