Nokia Hires Intel Executive To Lead Push Into AI Data Centers

Nokia Oyj has created a new artificial intelligence department and hired a former Intel Corp. executive to lead a push into the technology, as part of a strategic shift under new Chief Executive Officer Justin Hotard.

Pallavi Mahajan will lead Nokia’s newly created Technology and AI Organization, which will house its research and development center, Nokia Bell Labs, the Finnish company said in a statement on Wednesday. Mahajan was previously corporate vice president and general manager of Intel’s data center and AI group. Hotard, who also joined Nokia from Intel, formerly led that group.

Espoo-based Nokia is hoping to tap into the AI boom and compete with networking companies such as Ciena Corp. by connecting data centers. Hotard, who took over Nokia in April, believes this new push will diversify the company’s customer base and alleviate a drought in spending by telecommunications operators. 

The new department will work with the company’s network infrastructure division to develop the technology that connects data centers.

Nokia also hired Konstanty Owczarek as chief corporate development officer to oversee a new unit encompassing mergers and acquisitions and its investment vehicle, NGP Capital. Owczarek previously held executive positions at Hewlett Packard Enterprise Co.

Mahajan and Owczarek will join the Nokia leadership team on Oct. 1. The company’s current head of technology and strategy, Nishant Batra, will step down at the end of September.