Revenue Growth Target

Nokia Corporation
5 December 2000


Nokia extends revenue growth target of 25-35% through 2003

Company identifies major future revenue sources and significant
cost savings
                                 
Nokia today extended the company's revenue growth target of 25-35%
from 2002 to include 2003, with continued high profitability.
Nokia expects first-half 2001 revenue growth to be in the upper
range of 25-35%.

Speaking at Nokia's annual global analyst meeting, Jorma Ollila,
Nokia's Chairman and CEO expressed confidence in the company's
ability to take full advantage of the opportunities offered
through the ongoing evolution in communications.

'In the mobile world, the best is yet to come,' Ollila remarked.
'The opportunities in the future are enormous as we enter an
unprecedented time when mobility, Internet, digitized media and
other content can be combined and become available to almost
anyone, anytime and anywhere.'

As the number of users in networks increases, and new applications
and services are provided, new growth drivers emerge. As the
global market leader, Nokia is set to benefit from new
functionality such as messaging, imaging, other digital services
and applications, by providing the required technology to
consumers as well as operators and other service providers. Nokia
is also expanding 'Club Nokia', a value-added platform for Nokia
handset users to further leverage the Nokia brand, increase
customer loyalty and offer new phone related services.

Nokia's top management also stated that the company is well
positioned to become the world's leading mobile e-business
company. The company has established a cost saving target of over
EUR 1 billion per annum by 2003, which is planned to be achieved
as Nokia transforms itself into an effective e-business company,
with substantially all revenues generated via e-mode.

In networks, management reiterated its belief that future markets
will be driven by end users and their service needs rather than by
technologies. Consumers will need access to content and services
regardless of time and place. This will require significant
expansion of high capacity networks, and the market will be driven
by content, connection and consumption. The company estimates that
its target network markets will grow at about 30% annually over
the next three years, reaching approximately EUR 90 billion in
2003.

Nokia has already gained a strong position in mobile networks, and
management confirmed the company's objective to continue to be a
leading player in third generation networks, targeting an
approximate 35% share of the WCDMA markets. The position of WCDMA
as the primary standard for the third generation was reaffirmed
last week when AT&T Wireless Services (AWS) announced its
technology choice for its nationwide network in the United States.
Nokia will be a major supplier of new network technology to AWS.
The deal represented by the Letter of Intent with AWS is valued at
more than USD 1 billion and is for four years, making it the
largest ever infrastructure supply agreement for Nokia.

Nokia's mobile phone growth has continued to exceed market growth.
The company believes it now has a market share in excess of 30%,
and is close to having achieved twice the market share of the
number two player. Nokia aims to continue strengthening its
leadership in mobile phones, benefiting from strong economies of
scale.

Nokia also accelerated its estimate for future subscriber growth,
stating that the 1 billion milestone for global subscribers may
now be reached during the first half of 2002 rather than by end of
2002.
Nokia also stated that it believes there will be more web-
connected handsets than PC's in the world as early as 2002, versus
its earlier projection of 2003. The company expects the market of
Internet-enabled handsets to reach about 60 million in 2000, of
which WAP-enabled handsets would represent approximately 40
million. For 2001, Nokia estimates that web-enabled handset unit
volumes will increase to around 200 million with WAP handsets
representing some 180 million of the total.

Nokia expects to increasingly benefit from the growing replacement
market, as the proportions between first-time buyers and those
replacing their existing mobile phone are being reversed. The
company said 40-50 percent of this year's buyers will be users
upgrading their existing phones, and that this figure will
increase to 70-80 percent in subsequent years. Nokia also
continued to stress that consumer criteria for upgrading their
mobile phones are extremely varied. There will be an estimated 700
million phone owners worldwide at the end of 2000, and most users
select new phones based on appearance or lifestyle fit rather than
technology alone.

Nokia announced that it is executing its strategy to become a
leader in the CDMA handset business. The company is now shipping
its new tri-mode Nokia 5185i (CDMA1900/800/AMPS) phone in large
volumes and, in 2001, is planning to bring exciting new models to
the market - including Korea. Nokia also announced that a new
mobile phone model specifically for the trend-setting Asia Pacific
markets would be launched before the end of this year.

In addition, Nokia today unveiled the Nokia Connectivity Pack -
its first Bluetooth solution - for wireless connectivity between
mobile phones and personal computers. This Bluetooth wireless
technology pack is designed for the Nokia 6210 model and should be
available in markets in Europe and Asia in the first quarter of
2001.

Nokia also today announced financial estimates for Nokia Internet
Communications, part of Nokia Ventures Organization, which is
targeted to foster new growth opportunities beyond the current
business scope. Nokia said that the markets for network security
and Virtual Private Network solutions are growing fast and that
revenues for Nokia Internet Communications are expected to exceed
EUR 500 million in 2001. Targeted annual revenue growth is at
least 50%, and Nokia Internet Communications is expected to reach
the breakeven point during 2002.

New accelerated earnings release dates for 2001 will be as
follows: first quarter results will be published on April 20,
second quarter results on July 19 and third quarter results on
October 19. Annual 2000 results will be announced as previously
scheduled on January 30, 2001.

It should be noted that certain statements herein which are not
historical facts, including, without limitation those regarding 1)
the timing of product deliveries; 2) the Company's ability to
develop new products and technologies; 3) expectations regarding
market growth and developments; 4) expectations for growth and
profitability; and 5) statements preceded by 'believes',
'expects', 'anticipates', 'foresees', or similar expressions, are
forward-looking statements. Because such statements involve risks
and uncertainties, actual results may differ materially from the
results currently expected by the Company. Factors that could
cause such differences include, but are not limited to 1) general
economic conditions, such as the rate of economic growth in the
Company's principal geographic markets or fluctuations in exchange
rates, including the impact of the weakening Euro; 2) industry
conditions, such as the strength of product demand, the intensity
of competition, pricing pressures, the acceptability of new
product introductions such as Internet-ready phones, the
introduction of new products by competitors, the impact of changes
in technology, including the Company's success in the emerging 3G
market, the ability of the Company to source components from third
parties without interruption and at reasonable prices, demand for
vendor financing and the Company's ability and willingness to
provide such financing, and the success and financial condition of
the Company's strategic partners and customers; 3) operating
factors, such as continued success of manufacturing activities and
the achievement of efficiencies therein, continued success of
product development or inventory risks due to shifts in market
demand; as well as 4) the risk factors specified on pages 21 to 23
of the Company's Form 20-F for the year ended December 31, 1999.

Nokia is the world leader in mobile communications. Backed by its
experience, innovation, user-friendliness and secure solutions,
the company has become the leading supplier of mobile phones and a
leading supplier of mobile, fixed and IP networks. By adding
mobility to the Internet Nokia creates new opportunities for
companies and further enriches the daily lives of people. Nokia is
a broadly held company with listings on six major exchanges.
Further information:
Corporate Communications (Finland)
tel. [phone], fax [phone], email:
[e-mail]

www.nokia.com