NOK's AI Solution Leveraged by Indosat to Optimize Energy Use

By Zacks Equity Research | July 07, 2025, 10:33 AM

Nokia’s NOK Energy Efficiency solution, part of its Autonomous Networks portfolio, is being leveraged by Indosat Ooredoo Hutchison (“IOH”), Indonesia’s leading digital telecommunications company, to reduce energy consumption and carbon dioxide emissions across its nationwide radio access network (RAN).

Nokia’s Energy Efficiency solution intelligently analyzes real-time traffic patterns and automatically powers down idle or unused radio equipment during periods of low demand, leveraging advanced AI and machine learning. It also incorporates intelligent thermal management to optimize cooling and further cut energy usage. Delivered through a Software-as-a-Service (SaaS) model, the solution eliminates the need for large upfront capital investment and on-site maintenance, enabling faster deployment and greener operations.

Nokia Corporation Price and Consensus

Nokia Corporation Price and Consensus

Nokia Corporation price-consensus-chart | Nokia Corporation Quote

This solution can be rapidly deployed within weeks and delivers measurable reductions in both energy costs and environmental footprint. Importantly, it maintains high-quality network performance and ensures seamless customer experiences throughout the optimization process.

The collaboration builds on a successful pilot project, where the AI-powered system demonstrated significant energy savings in live network conditions. Following the pilot project, Nokia expanded the deployment across IOH’s Nokia RAN infrastructure in regions including Kalimantan, Sumatra, Central and East Java.

This initiative is a key milestone in Indosat’s broader evolution into an AI-driven technology company, centered on cloud-native platforms, intelligent automation and a deep commitment to sustainability. By embedding Nokia’s autonomous network solutions, Indosat is achieving new levels of efficiency, agility and environmental responsibility.
IOH’s ongoing sustainability efforts have already received industry acclaim, including becoming the first Southeast Asian telecom operator to earn ISO 50001 certification for energy management.

Nokia’s broader Autonomous Networks portfolio, including the Autonomous Networks Fabric, utilizes Agentic AI to deliver enhanced analytics, security and automation. This unifying intelligence layer enables holistic, real-time network observability, allowing operators to reduce costs, improve agility and deliver superior user experiences across any vendor or architecture.

Management highlighted that they are proud to support IOH in its mission to drive sustainability and operational excellence. Their Energy Efficiency solution is a result of continued R&D investment, enabling operators to strike a balance between energy savings and performance.

Apart from this, the company is witnessing healthy momentum in its focus areas of software and enterprise, which augurs well for the licensing business. It is poised to benefit from copper and fiber deployments of passive optical networking. The company seeks to expand its business into targeted, high-growth and high-margin vertical markets to capitalize on growth opportunities beyond its traditional primary markets. Its installed base of high-capacity AirScale products, which enables customers to upgrade to 5G quickly, is a tailwind.

NOK’s Zacks Rank & Stock Price Performance

Nokia currently carries a Zacks Rank #3 (Hold). Shares of Nokia have gained 12.5% over the past six months compared with the Wireless Equipment industry’s growth of 7.7%.

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Stocks to Consider From the Computer and Technology Space

Some better-ranked stocks from the broader technology space are Clearfield, Inc. CLFD, NETGEAR, Inc. NTGR and Ubiquiti Inc. UI. CLFD and NTGR sport a Zacks Rank #1 (Strong Buy), while UI carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Clearfield’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 90.52%. In the last reported quarter, CLFD delivered an earnings surprise of 147.37%. Its shares have increased 17% in the past year.

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Ubiquiti earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 29.93%. In the last reported quarter, UI delivered an earnings surprise of 61.29%. UI shares have skyrocketed 182.2% over the past year.

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This article originally published on Zacks Investment Research (zacks.com).

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