Nokia invests $30 million to expand chip production in Pennsylvania

Nokia has announced a significant $30 million investment to expand its semiconductor operations in Allentown, Pennsylvania.

This project focuses on increasing the production of photonic chips, which are essential for AI and high-speed telecommunications infrastructure.

Beyond manufacturing, the project promises a substantial economic boost, aiming to generate over $500 million in economic impact over the next five years.

Furthermore, the company plans to create 250 new jobs, nearly doubling its local workforce to over 500 people.

Nokia views this as a vital response to the growing 'AI supercycle,' noting that these advanced optical technologies can improve data transmission speeds while reducing energy consumption by as much as 75%.

New production lines are expected to be fully operational by the third quarter of 2026, solidifying Pennsylvania's position as a hub for modern telecommunications technology.