Finland's Nokia has appointed Justin Hotard as its new CEO, succeeding Pekka Lundmark, who will step down from his role. Hotard will officially take over the position on April 1, bringing extensive experience in AI and data center markets to the telecom giant.
Currently serving as the executive vice president and general manager of the Data Center & AI Group at Intel, Hotard is well-versed in the technology industry. His appointment comes as Nokia, like other telecom gear makers, grapples with declining sales in the 5G equipment sector and seeks new avenues for growth, including artificial intelligence.
"He has a strong track record of accelerating growth in technology companies along with vast expertise in AI and data center markets, which are critical areas for Nokia's future growth," Nokia's chair Sari Baldauf said in a statement.
Lundmark, who took on the CEO role in 2020, will remain with the company as an adviser to Hotard until the end of the year to ensure a smooth transition. The announcement follows Nokia's prior denial of media speculation in September about a potential leadership change.
"The planning for this leadership transition was initiated when Pekka indicated to the board that he would like to consider moving on from executive roles when the repositioning of the business was in a more advanced stage, and when the right successor had been identified," Baldauf added.
Who is Justin Hotard? 5 Things to Know
- Born in 1974, Hotard brings over 25 years of experience in the technology industry, having worked with major firms such as Intel, Hewlett Packard Enterprise, and NCR Corporation.
- During his tenure at the Atlanta-based IT firm NCR Corporation, Hotard played a crucial role in multiple acquisitions and investments, completing five acquisitions worth a total of $72 million in a year to expand the company's market reach.
- Hotard holds an MBA from MIT Sloan School of Management and a B.Sc. in Electrical Engineering from the University of Illinois Urbana-Champaign.
- In a video message on Monday, Hotard expressed enthusiasm for his new role, stating, "I am excited to get started and look forward to continuing Nokia's transformation journey to maximize its potential for growth and value creation." He also emphasized his commitment to integrating AI into Nokia's operations and establishing the company as a leader in connectivity in the AI era.
- Sari Baldauf highlighted Hotard's expertise in AI and data center markets as crucial for Nokia's future growth. The company is currently evaluating strategic changes, including the future of its mobile network business. According to reports, Nokia is considering various options, such as selling, spinning off, or merging parts of the division to streamline operations and counter slower growth from mobile operators.
As Nokia embarks on this leadership transition, all eyes are on Hotard to steer the company toward a future driven by AI and innovation.
