NVIDIA CEO Jensen Huang speaks during the Live Keynote Pregame during the Nvidia GTC (GPU Technology Conference) in Washington, DC, on Oct. 28, 2025.
Nokia announced on Tuesday that Nvidia is taking a $1 billion stake in the networking company, the latest partnership for the artificial intelligence chipmaker.
Shares of Nokia soared 22% higher following the news.
Nokia will issue more than 166 million new shares and will use the proceeds to fund its plans for AI and other general corporate purposes.
The two companies also struck a strategic partnership to work together to develop next-generation 6G cellular technology. Nokia said that it would adapt its 5G and 6G software to run on Nvidia's chips, and will collaborate on networking technology for AI.
Nokia said Nvidia would consider incorporating its technology into its future AI infrastructure plans.