Transforming Telecom Businesses with AI

Artificial intelligence exerts its influence in almost all sectors, including telecommunications. This technology has started to add impressive new dimensions to many industries, accelerating digital transformation. According to Tractica, the annual investment in telecommunications AI software is expected to reach more than $ 11.2 billion by 2025.

The telecommunications industry is at the heart of technological growth and digital transformation. The industry is huge, with 54 telecommunications companies listed on the Forbes Global 2000 list, representing more than $ 3.4 trillion in assets and nearly $ 1.5 trillion in revenue in 2020.

The potential of AI in the telecommunications industry is immense. By leveraging this technology, organizations can create additional revenue streams using business niches that they didn’t even think could be profitable. As the request of best quality telecommunications services and a better customer experience are growing, service providers must seek smarter, more powerful and more innovative technologies to retain their customers.

Today, artificial intelligence is everywhere. He is used to recognize your online business models and recommend what you should buy next, to understand what you are telling virtual assistants like Amazon’s Alexa and Apple’s Siri, to detect spam or fraud, and to conduct a myriad of ‘other activites.

Artificial intelligence is a fairly poorly understood concept. Opinion polls, conducted by Deloitte, show that even business leaders do not have a comprehensive understanding AI, and that a significant percentage of the generic public confuse AI with super powerful robots or very smart devices. And, due to the ambiguity of the term, tech pessimists conspire that AI will conquer humanity, suppress personal freedom and destroy our world.

Put simply, Artificial Intelligence defines the ability to provide intelligence to any artificial object, software, machine or equipment through a programming algorithm in order to perform a specific task. AI is a large branch of computing involved in the development of intelligent machines capable of performing tasks that normally require human intelligence.

AI algorithms are created to enable machines to make decisions, often using real-time data. They are not passive machines that can only generate mechanical or predetermined responses. Using sensors, digital data or remote inputs, AI algorithms are able to combine information from a variety of sources, instantly analyze the material and act on the information derived from that data.

AI is being adopted by service providers around the world and it’s easy to see why.

According to a investigation out of 1,200 global organizations, 66% of telecom companies believe that AI is significantly or very future business, but this technology faces challenges in managing data and regulatory compliance, identifying the most trusted data sources, and ensuring data security.

One of the main uses of AI in telecoms today is to provide a better customer experience and lower operating costs by driving automating. However, improving customer experience and speed of service is only the tip of the iceberg when it comes to AI use cases.

Telecom operators use the power of artificial intelligence to process and analyze large amounts of The data for insightful insights that deliver a better customer experience, improve operations, fight fraud, and increase revenue from new products and services.

According to Gartner, Inc., the number of communication service providers (CSP) investing in AI technologies to improve the planning, performance and services delivered by their infrastructure will increase from 30% in 2020 to 70% in 2025.

Advantage n ° 1: fight against overload

Once the AI ​​is activated, the communication network will be able to respond automatically to any significant congestion that may arise. the network will be able to quickly detect congestion, automatically generate the number of virtual machines needed to handle the amount of traffic received, and route excess traffic through those virtual machines – all without human intervention.

Benefit # 2: network optimization

AI is essential to help telecoms create self-optimized networks (SON), where operators can automatically optimize network quality based on traffic information on a regional and time zone basis. Artificial intelligence applications used in the telecommunications industry use advanced algorithms to research data models that allow them to detect and predict network anomalies, enabling operators to proactively resolve issues without harming customers.

Benefit # 3: Improved Customer Service

Another benefit of AI in telecommunications is the automation of customer service mechanisms. These forms of intelligence, called chatbots or virtual assistants, are increasingly popular in the telecommunications industry. Chatbots can improve, increase or even internationalize customer service. They can increase customer satisfaction by providing faster responses and providing customer support in languages ​​that would not be possible otherwise.

Advantage n ° 4: fraud detection

The area of ​​telecoms that harms millions of consumers every day is fraudulent activity. AI and machine learning (ML) are used to reduce fraudulent activities in the telecommunications industry, such as combating counterfeit profiles, unauthorized access, cloning, behavioral fraud, caller impersonation, etc. Exposing unsupervised machine learning algorithms to a huge amount of customer and operator data enables AI applications to learn the characteristics of normal traffic, thereby helping to detect anomalies and avoid fraud. Algorithms define anomalies and present them as real-time alerts to analysts using data visualization techniques.

Benefit # 5: predictive analytics

All telecommunications service providers have to manage huge amounts of data in their daily operations. Telecom companies use predictive analytics to win knowledge in order to become more efficient, make better data-driven decisions, and generally deliver improved services. Predictive analytics helps sales and marketing perform customer segmentation, customer churn prevention, and customer lifespan value forecasting. By combining a panoramic view of customer data, CSP can provide better and more personalized services to their clients.


There are many possibilities for AI in the telecommunications industry, and the cases described above describe only a few applications.

The amalgamation of AI technology in the telecommunications industry helps various communications service providers to manage, optimize and maintain the infrastructure. Artificial intelligence tools and applications are developing rapidly, and AI will undoubtedly only accelerate its presence and influence in the telecommunications industry.

About Norman Griggs

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