What is the tangible impact of AI on our bottom line?

The integration of Agentic AI is projected to drive a 30% long-term reduction in operational costs through the implementation of automated network management. This efficiency gain is a primary lever for improving the industry's historically low Return on Invested Capital (ROIC).

How much of our customer service can actually be automated?

Projections indicate that AI will resolve 68% of all customer service interactions by 2028. This shift allows operators to enhance personalization while simultaneously reducing the overhead associated with manual support desk operations.

What are the primary risks to a successful AI rollout?

Implementation is currently hindered by data quality silos and legacy architectures that lack industry standardization. Furthermore, operators must maintain human-in-the-loop protocols to satisfy regulatory oversight as services become increasingly autonomous.

Should we buy ready-made AI tools or build our own?

A hybrid model is necessary to ensure competitive differentiation while managing costs. While off-the-shelf solutions provide speed, custom development is required to achieve the 30% operational cost reductions promised by autonomous, adaptive network services.

Telecom

Digital Infrastructure

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Telco AI will help address demands of industry investors

AI integration offers a path to overcome low Return on Invested Capital by automating networks and enhancing customer experience.

David Kennedy · Venture Insights17 July 2025Period: July 20254 min read

30%↓

Projected long-term reduction in operational costs via Agentic AI (TM Forum)

68%↑

Projected portion of customer service interactions AI could resolve by 2028 (CISCO)

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Abstract

The telecommunications industry is currently experiencing rapid advancements in Artificial Intelligence (AI). This shift is moving networks and services towards being inherently autonomous, adaptive, and deeply integrated into our digital lives. For telecommunications operators, AI presents opportunities to enhance customer experience, drive operational excellence, and optimise network investment. It is also an opportunity to create new value for investors. Low Return on Invested Capital (ROIC) has been an industry bugbear for years. If AI can deliver on its promise, then the Industry will find it easier to attract continued investment needed to underpin national digital transformation.

Key Takeaways

The telecommunications industry is shifting toward autonomous, adaptive services integrated into digital lives.
AI presents a critical opportunity to improve Return on Invested Capital (ROIC), a long-standing industry issue.
Agentic AI is expected to drive a 30% long-term reduction in operational costs through automated network management.

What's Inside

AI’s potential for telecommunications operators

Challenges in Implementing Telco AI

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2-section deep analysis · stakeholder implications · PDF download

Abstract

Key Takeaways

What's Inside

AI’s potential for telecommunications operators

Challenges in Implementing Telco AI

Frequently Asked Questions

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