Nokia Plans Major India Push with Enterprise and Data Centre Expansion

Finnish telecom giant Nokia is strengthening its presence in India with a major focus on enterprise, data centre, and hyperscaler markets. The company aims to diversify beyond its traditional service provider business and capitalise on India’s rapid digital transformation. This expansion plan includes new products, partnerships, and investments to enhance connectivity and infrastructure.

Nokia Targets Growth Beyond Core Telecom Business

Nokia plans to introduce millimetre-wave fixed wireless access (FWA) products in India within the next 6 months, signalling a broader diversification strategy. The company also aims to double its enterprise and hyperscaler business within the next 3 years. This strategic move is designed to capture demand from sectors such as banking, utilities, defence, and technology, where digital infrastructure investment is rising sharply.

Expanding Partnerships Across Key Sectors

According to Prashant Malkani, Country Head for Network Infrastructure, APAC, Nokia is finalising major partnerships across critical verticals, including banking, utilities, and defence. Several of these agreements are expected to be completed by the end of the current calendar year. Despite its expansion into new domains, service providers will remain Nokia’s primary business focus in India.

India’s Booming Tech and Data Centre Market

India’s enterprise networking market, valued at $16 billion in 2024, is projected to reach $22 billion by 2030. The private 5G segment is forecasted to grow from $3.86 billion in 2025 to $17.5 billion by 2030. 

Data centre capacity, which was 350 MW in 2019, is expected to surpass 3.5 GW by 2030, supported by investments worth $25–30 billion. This surge in demand is being driven by hyperscalers, global and domestic data centre operators, telcos, and technology companies.

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Strategic Priorities Driving Nokia’s Expansion

To harness these opportunities, Nokia has outlined 3 core priorities: enhancing network security with quantum-safe technologies, improving the scalability and reliability of enterprise systems, and ensuring ultra-low latency for data centre and private 5G operations. Its global R&D centre in Bangalore and manufacturing facilities in Noida will play key roles in achieving these goals.

Outlook: Growth Potential and Execution Challenges

Nokia’s target of doubling its enterprise and hyperscaler business in 3 years is ambitious but realistic given India’s fast-evolving 5G and private network ecosystem. With the enterprise 5G market projected at $2 billion by FY27, early partnerships and strong local integration could drive success. However, execution speed and ecosystem collaboration will be crucial to achieving this vision.

Conclusion

Nokia’s renewed India strategy underscores its confidence in the country’s digital growth potential. By aligning with key sectors and leveraging advanced technologies, Nokia aims to establish itself as a pivotal player in India’s expanding enterprise and data centre landscape.

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