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What has to happen in IP Networks

Model as of

This page changes IP Networks inside the complete NOK model. Every other vertical, corporate programme and valuation assumption stays in the selected portfolio case.

NOK forward model
Horizon
Consolidated fair value €7.51 all other verticals held in this portfolio case
Final-quarter revenue €1.16B 18% of company revenue
Explicit segment contribution €1.97B EBITDA less segment capex, before corporate items

IP Networks

Basis quarter€679M
Final quarter€1.16B
Implied CAGR+11%
Final revenue mix18%

IP routing and data-centre switching. Net sales grew 16% on a constant-currency basis in 2026 Q2 with, in Nokia's words, strong growth from AI and Cloud partially offset by a decline from Telecommunication Providers - two customer bases moving in opposite directions inside one reported line.

Last four quarters
2025 Q3 €578M Reported
2025 Q4 €783M Reported
2026 Q1 €626M Estimated
2026 Q2 €679M Reported
IP routingData-centre switching
Sequential growth +3.7%/qtr decaying toward +1.7% Deseasonalised Q2'25-Q2'26 trend, 3.7%/qtr; cross-checks the disclosed +16% constant-currency year on year.
IP Networks

Latest: €1.16B (2031Q2E)

Period Value
2025Q1 €646M
2025Q2 €588M
2025Q3 €578M
2025Q4 €783M
2026Q1 €626M
2026Q2 €679M
2026Q3E €704M
2026Q4E €975M
2027Q1E €754M
2027Q2E €778M
2027Q3E €803M
2027Q4E €1.11B
2028Q1E €851M
2028Q2E €875M
2028Q3E €898M
2028Q4E €1.23B
2029Q1E €945M
2029Q2E €969M
2029Q3E €992M
2029Q4E €1.36B
2030Q1E €1.04B
2030Q2E €1.06B
2030Q3E €1.09B
2030Q4E €1.48B
2031Q1E €1.13B
2031Q2E €1.16B

Assumptions & reasoning

  • The telecom-provider half of this line is declining while the AI and cloud half compounds, and Nokia publishes no split between them - the single 3.7% trend rate is the net of two opposite movements.
  • Margin is the Network Infrastructure parent rate, as for Optical and Fixed; Nokia's Q2 2026 segment note gives one gross profit, one operating profit and one depreciation figure for the whole segment.
  • 2026 Q1 is derived as first-half less the disclosed second quarter: 1 305 - 679 = 626, part of the three-line sum that reproduces the recast segment total exactly.
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