Insight
This article was written by VanillaPlus
Increasingly prominent and controversial, in almost equal measure, AI engines are redefining all manner of work functions and human tasks (ChatGPT) and even reinventing our understanding of art (Midjourney, Stable Diffusion, etc.). This technology marks a paradigm shift in our ability to predict, analysis, create and control content, processes and events with far greater potential than current applications suggest, and, extrapolated over time, will almost inevitably redefine every area of our existence.
But what about its role in a 5G enabled world? Indeed, AI is quickly becoming one of the most important technological advancements for the telecom industry. Recent Gartner analysis on AI and its impact on the telecom industry has shed light on the latest trends and themes in this space, including helping product and service leaders gain a better understanding of the realistic adoption times for AI and its subsequent impact on the telecom industry.
With the advent of 5G and other cutting-edge technologies driving rapid technological growth, the telecom industry is undergoing a major transformation. So, to stay ahead of the curve, telecom companies are exploring the use of AI to reduce costs, improve efficiency, and increase their market share.
The potential of AI in the 5G revolution and its role in the telecom industry
Customer Experience
The success of the telecom industry heavily relies on delivering an outstanding customer experience, underperformance loses subscribers with a rapidity that is never experienced on the customer acquisition side of the business. To protect customer retention numbers, Communication Service Providers (CSPs) need to enhance their daily customer interactions and gain a deeper understanding of who these subscribers actually are. This is where AI can make a significant impact.
Chatbots and virtual assistants, powered by AI, are leading the way in transforming customer interactions. These AI applications use machine learning (ML), augmented analytics, and natural language processing (NLP) to turn customer interactions into valuable insights. They enable CSPs to come markedly closer to offering existing and potential customers exactly what they want, when they want it.
Operational Efficiency and Automation
With the deployment of new technologies like 5G and network slicing software, the telecom industry is facing increased network complexity. This brings with it new challenges that demand the real-time capturing, analysis and action on, terabytes of data. To address this, companies need to massively enhance the intelligence of their short and long-term network operations and planning.
AI is playing a pivotal role in this roadmap, principally in the areas of: Fault detection, prediction and resolution; Network optimisation & Network planning and upgrades. Accumulatively, this is massively reducing CSPs’ labour costs, decreasing their mean time to repair and improving customer experience. And, this is not anecdotal, this is all demonstrable against key KPIs.
Edge AI
The growing use of edge devices is transforming the way data is collected and processed. By aggregating sensor data through devices such as modems, routers, and gateways, organisations can gain deeper insights into their operations and make better-informed decisions. This has led to a surge in demand for edge AI solutions that can help manage on-premise data and unlock valuable insights from it.
Edge AI not only improves data management but also offers financial benefits, particularly for cloud service providers, by reducing the cost associated with cloud computing, network transport, and storage. By processing data at the edge, organisations can minimise the amount of data that needs to be transmitted to the cloud, reducing network transport and storage costs.
Cloud service providers are taking notice of this trend and are extending their services to customer premises and private clouds to provide edge AI solutions. Additionally, new players such as communications platform-as-a-service (CPaas) and content delivery network (CDN) vendors are entering the market, offering their versions of near and far-edge solutions.
Potential Dangers of AI
While AI has the potential to bring many benefits to the telecom industry, there are also an almost equal number of risks. One of the main concerns is the risk of human error being replaced by machine error. In addition, AI-powered systems may be vulnerable to hacking and cyber-attacks. Companies must be cautious and adopt strong security measures to mitigate these risks.
Furthermore, there is the human redundancy factor to consider – AI has the potential to potentially decimate workforce numbers as we see them today. Whilst profit margin is king, the ethical debates around the role and control of AI has only just begun.
AI does indeed have a key role in the birth of a 5G enabled world, both commercially and for the consumer. By improving customer experience, operational efficiency, and sales and marketing activity, AI can hugely increase a Telco’s market share. However, companies need to adopt a strategic approach to AI, considering both its potential benefits and dangers at an economic and human level. In doing so, they can ensure that AI is an integral part of their future success.
This article first featured in the VanillaPlus magazine. Subscribe here for your free digital issue: https://www.vanillaplus.com/digital-edition/