The outfit said it would sink $3.5 billion into domestic research and development focused on mobile, fixed access, IP, optical, and data-centre kit at Nokia Bell Labs in New Jersey. In comparison, another $500 million would keep factories and labs humming in New Jersey, Texas and Pennsylvania.

Nokia joins a long queue of companies shovelling cash into US AI projects under the Trump administration, with outfits such as Anthropic, OpenAI, Oracle, SoftBank, Meta and the Fruity Cargo Cult Apple flashing investment pledges worth hundreds of billions of dollars since January.

Commerce Secretary Howard Lutnick gushed: “Nokia’s $4 billion investment is another Trump administration win for America. Its investment in manufacturing, packaging and R&D for optical chips means the most innovative technologies that power AI, data centres and critical national security applications will be developed and built here in the USA.”

The push comes as Nokia tries to muscle into the AI boom under Nokia chief executive officer Justin Hotard, who took the reins in April. The Wall Street Journal reported that network infrastructure orders from AI and cloud punters have picked up nicely, which will no doubt please the cocaine nose jobs of Wall Street.

The Journal claimed the company planned to slim operations, juggle its leadership and hunt for more joint innovation deals as it leans harder into AI and cloud computing.

Nvidia grabbed a $1 billion stake in Nokia late last month as part of a tie-up on AI networking technology, the Journal said.

Nokia chief executive officer Justin Hotard said Friday that the new investment would boost network infrastructure in a market drowning in AI cash.

“Our expanded investment will help strengthen the nation’s capacity to deliver greater security, productivity and prosperity through AI-optimised connectivity at scale, while advancing the newest research and innovation that will shape the future of networking for the years to come,” he said.