Nokia forecasts AI will drive 44% of global network traffic by 2035

Nokia projects that artificial intelligence will account for nearly half of all global network traffic by 2035. According to the company’s Global Network Traffic Report, total monthly network traffic is expected to quadruple from 2026 levels, reaching approximately 3,789 exabytes by 2035.

The report highlights a significant shift in network requirements due to the rise of agentic and physical AI. Unlike traditional download-heavy traffic, AI workloads—including autonomous agents, robots, and vehicles—will drive massive demand for uplink capacity and low latency. Physical AI applications are projected to generate over 90% of their traffic via the network uplink by 2035.

To support these demands, Nokia anticipates a move toward a more distributed infrastructure known as the AI grid. While much AI data will remain in central clouds, edge and metro core infrastructure is expected to handle 36% of all AI-native traffic to meet real-time processing needs.

In related business developments, Moody’s has upgraded Nokia’s credit rating to Baa3 with a positive outlook. Additionally, Hotwire Communications has selected Nokia to build an AI-ready network in North Carolina, with operations expected to begin in early 2027.