By Dominic Chopping

Nokia said Tuesday that network traffic will rise dramatically in the coming years, driven by growth in artificial intelligence, machine learning, extended reality, digital-twin technology, automation, and device use.

Presenting its technology strategy 2030, the Finnish network-equipment maker said networks will need to adapt in order to capitalize on the potential of these new technologies.

Nokia expects end-user data traffic demand to increase at a compounded annual growth rate of 22% to 25% from 2022 through 2030, possibly reaching 32% if there is a higher adoption of cloud gaming and extended reality in the second half of the decade.

"For networks to support the increasing demands of the future, they will need to be more cognitive and automated, utilizing artificial intelligence and machine learning," it said.

Nokia expects mobile subscriptions to grow from 8.5 billion to about 10.3 billion by 2030 in its moderate scenario, with 5G subscriptions reaching 5.6 billion by 2030, accounting for around 50% of total mobile subscriptions. Around 92% of total mobile subscriptions are expected to be on 4G or 5G technology by 2030, it added.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

October 31, 2023 08:18 ET (12:18 GMT)

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