Thursday, 6 March 2025

Telcos look to capitalize on the AI Revolution

Streaming Media

‘In the new era, thought itself will be transmitted by radio’ prophesied inventor Guglielmo Marconi and it seems telcos allied with Big Tech are nearing that promise.

article here

It’s been three years since ChatGPT opened people’s eyes to the potential of AI yet many telcos and their enterprise customers have struggled with how to get a return on investment. The dial is now switching from proof of concept to deployments at scale, according to executives at Mobile World Congress in Barcelona.

“AI has passed the experimentation phase and now is the time for industrialization,” declared Elena Gil Lizasoain, Director of Telefonica’s AI & Data Business Unit. “That said, it is easier to do pilots than to embed AI in real world operations. You need to combine LLMs with your own data which is a process of change management, of training employees how to work with new tech and of navigating ethical and privacy issues.”

KPMG’s Mark Gibson, a partner in its TMT division, shared that contrary to popular belief, 76% of global CEOs believe AI will not reduce headcount and that the overwhelming majority (92%) expect headcount to grow with upskilling and redeployment.

“89% of the highest performing organisations say their business is using AI to fill skill gaps among knowledge workers,” he said.

Results from the survey found 72% of business leaders confident about the economic outlook that will come from digitization and connectivity and that two thirds said they would continue to invest in AI regardless of economic conditions.

The biggest impact of AI at this stage will be in automating operations, both within customer service including marketing and sales, and in the network.

“There are still big questions about how reliable the technology is and how we deploy it in ways that drive actual business value,” noted Lori Driscoll, PwC, Global TMT Consulting Leader.

Mitchell Gunnels, AVP Technology at AT&T explained that AI is transforming his company to be digitally efficient.  “We started with AI primitives - basic things like copyright protections, a rock solid AI policy and abuse monitoring built into the platform. Once we’d laid that foundation we could run applications on the platform.”

The telco has trained its AI on 20 years of legacy code to bring new software delivery requests forward from weeks to just 15-30 minutes.

“Beyond our internal IT we are now looking at external revenue generation,” Gunnels said. “This area is exploding within AT&T.

“In order to get GenAI to do tasks for you, you need to understand how to work with a co-intelligence,” he advised. “That’s something we will all have to do.  Don’t think about a standard chatbot GUI. You need to embed AI in your workflows and your networks.”

Enter the Agents

On the customer service side, a quick win for telcos is to introduce AI-powered agents.  So called Agentic AI are persona-based agents that operate with a high degree of autonomy.

“It is hard to understate the importance that this is the year of agents,” said Calum Chace, CMO, Conscium. 

In one sense agents have been around for a while. Alexa is part of the furniture for many households, albeit one that is extremely simple, Chace said. “It can’t reason a series of activities and carry them out without human intervention. We can now create agents that do that. Everyone concerned about AI safety is saying let’s not develop AI agents because once out in the world we cannot control them. But it’s too late. The horse is half way out of the stable.”

He said his company which he described as a “conscious AI research organisation” can verify that agents “will do what want them to do and will not go rogue.”

On the Agentic front, Chinese consumer electronics brand Honor said it was investing U$D10 billion on transitioning into an “AI-first device ecosystem company”, away from solely building smartphone hardware. Orange, Telefonica and Vodafone have partnered with Honor in the shift. With Google Cloud and Qualcomm Honor will launch “an intelligent smartphone” later this year which will feature a personal AI agent capable of managing schedules, making reservations, and optimising daily tasks using contextual awareness and adapting to user behaviour.

Autonomous AI are “clearly the future” in the burgeoning space industry, said Kimberly Washington, Co-Founder & CEO at Deep Space Biology whose clients include NASA, but more was needed from a regulatory perspective. “The space sector needs to establish a governance system but we are not quite sure who owns the moon nor the planets beyond it,” she said.

Everything connected

In a conference session asking ‘Are Telcos Prepared for 35 Billion Devices by 2030?’ the consensus was that this figure was too low.

“There are already more people with mobile devices (8 billion) than with toothbrushes in the world today,” said Mikael Bäck of Ericsson.

Noting that at two decades ago no-one in the telco industry saw much business in everyone owning a smartphone, Ray Dolan, CEO of Cohere Technologies said, “The number of business models that have collapsed because of failing to bet on what we now take for granted means that we should be open to disruption. But for innovation to scale there needs to be a common control plane with a diversified user plane on top.”

One application riding a wave of mobile connectivity is expected to be esports. According to Dario Betti, CEO of trade body Mobile Ecosystem Forum, “Mobile gaming, already a dominant segment of the gaming market, is increasingly becoming a cornerstone of the esports ecosystem.

“YouTube, Twitch, Huya and Trovo will continue to host massive audiences for esports events, with mobile players and creators playing a central role. This may drive demand for smartphones with superior cameras, high-quality microphones, and robust editing software, as aspiring esports players and streamers look to produce professional-grade content.”

Wearing a pair of Orion AR glasses Meta’s Rafael Camargo, VP, Wearables Systems, Reality Lab, said that his company is on a mission to merge the physical and digital world.

“Today our digital screens are isolated from the rest of world. Yet our digital life is as important as our physical life. In Reality Labs we work on how to merge them in ways that are familiar.”

An example: A realtime conversation between people who speak and understand differently languages could be enabled by Meta’s AR headgear. Another example: Conversations between two people in a crowded noisy ambient environment could be enhanced to enable the two to chat without raising their voices.

“The next question is how we develop social norms that ensure you have agency and control. As we get more sensors in glasses it will give you super powers close to your senses, your eyes and ears but society will need standards around this. Should we, for example, enable facial recognition? We could, but we don’t today. It will be a process of social norms and etiquette about how to use the tech. That is a moving path and will take a little while to establish.”

Going Quantum

Quantum computing will take AI to the next level but there is some way to go yet. Nokia’s Mikael Rylander explained, “We are evolving a new platform for digitisation in the world – which will be a mix of compute for AI and traditional compute and communication. We need to be at the Edge and also have central compute capability for rapid inferencing.

When we start to get the first Quantum compute online we will plug that into this digital platform. we call Network Cloud Continuum.

Rylander caveated, “We must also realise that Quantum compute right now is very error prone. A lot of work is going in to handle error correction and get the qubits much more stable. Right now, Quantum can do very advanced compute on very little data which is contrary to where we are with AI.”

With 6G capabilities set to be released in 2028 we are moving into a future where AI is intrinsic to network infrastructure. “AI will be an integral component of network orchestration and management, signal processing and network optimization, structurally changing how we think about and design our communications systems,” said Andreas Roessler of Rohde & Schwarz.

In other words, there will be a shift from AI as a performance enhancement to AI as a key technology component: from AI-assisted to AI-native.

 

No comments:

Post a Comment