Nokia Oyj will replace Chief Executive Officer Pekka Lundmark with Intel Corp.’s recently appointed head of artificial intelligence Justin Hotard in a surprise announcement as the network equipment maker works to exit a prolonged slump in orders from phone operators.

Justin Hotard, Intel’s head of data-center and AI operations, is leaving to head up Nokia. Shares of the telecom-gear maker rallied over 2% in Europe; U.S.-listed Intel shares edged higher premarket.

“ [Hotard] 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," commented Sari Baldauf, Chair of Nokia’s Board of Directors.

Nokia has announced that CEO Pekka Lundmark will step down. He took up the position in 2020. He will be replaced by Justin Hotard, who is currently Intel’s Chief Data Center Officer and has previously held executive positions at technology companies such as Hewlett Packard Enterprise and NCR Corporation.

Nokia has hired its first CEO from America in a renewed pivot to AI designed to arrest years of low valuations and stagnant revenue growth. The Finnish telecoms group announced the appointment of Justin Hotard,

The head of Intel’s artificial-intelligence operations is leaving to take the top job at Nokia, just months after former Intel CEO Pat Gelsinger abruptly retired from the company. Justin Hotard, the executive vice president and general manager of Intel’s Data Center and AI Group,