Nokia delivered strong second-quarter 2026 results, with revenue increasing 8 percent year over year to €4.815 billion from €4.443 billion in the same quarter of 2025, driven by robust demand for AI-ready networking infrastructure, optical transport, IP networking, and mobile infrastructure solutions. Growth across the Americas, APAC, and EMEA reflected rising investments in AI data centers, cloud connectivity, and next-generation telecom networks.
The Americas remained Nokia’s strongest growth region, with revenue rising 14 percent to €1.778 billion. Revenue in APAC increased 3 percent to €982 million, while EMEA recorded a 6 percent increase to €2.055 billion, highlighting broad-based demand across major global markets.
Nokia’s Network Infrastructure business generated €2.037 billion in revenue, representing 12 percent growth from the previous year. The performance was fueled by continued expansion in AI and cloud networking deployments. Optical Networks delivered the strongest growth within the segment, with revenue climbing 19 percent to €868 million, supported by rising sales to AI and cloud customers as well as telecommunications providers. On a constant currency basis, Optical Networks revenue increased 20 percent, while order intake continued to accelerate, reflecting sustained demand for high-capacity optical transport supporting AI infrastructure.
IP Networks also posted a strong quarter, with revenue rising 15 percent to €679 million. Constant currency growth reached 16 percent, driven by AI and cloud networking projects and supported by strong order intake following design wins secured during the first quarter of 2026. The Americas remained the key growth market for the IP networking business.
Fixed Networks revenue declined 3 percent to €490 million, or 2 percent on a constant currency basis. Nokia attributed the decline primarily to lower sales of consumer-premises fiber products as the company continued shifting its portfolio toward higher-margin offerings. Increased demand for operator-premises fiber optical line terminals partly offset the weakness.
Nokia’s Mobile Infrastructure business reported revenue of €2.680 billion, representing 6 percent year-over-year growth. Within the segment, Core Software generated €507 million in revenue, increasing 1 percent, while Radio Networks revenue rose 6 percent to €1.765 billion. On a constant currency basis, Radio Networks expanded 7 percent, with the strongest growth coming from APAC, particularly Japan, alongside solid momentum across EMEA.
The company’s Technology Standards business delivered another strong quarter, with revenue increasing 14 percent to €407 million. On a constant currency basis, growth reached 15 percent, supported by new licensing agreements signed during the quarter and additional catch-up licensing revenue.
“Last week we launched the industry’s first commercial AI-RAN platform, which will help customers unlock more from their networks, including more than 100% spectral efficiency gains by 2028. These benefits will be tangible in 5G networks and the platform provides a software upgrade path to 6G,” Justin Hotard, President and CEO of Nokia, said.
Nokia’s second-quarter performance underscores the growing importance of AI infrastructure investments in driving demand for optical transport, IP networking, and advanced mobile network technologies. Strong order momentum in Optical Networks and IP Networks positions the company to benefit from continued global investments in AI data centers, cloud infrastructure, and next-generation telecom networks.
BABURAJAN KIZHAKEDATH
