February 25, 2025, Boston — International telcos are longing for generative AI options however are struggling to make them work, with solely half of use circumstances assembly enterprise objectives, in line with a brand new report from the consulting agency Altman Solon and Kyndryl.
The report, which included a survey of greater than 100 world telco leaders, reveals that 85% of telcos have at the very least one generative AI use case in manufacturing however solely 30% of all use circumstances are making it to manufacturing. Generative AI has additionally confirmed to be costlier than anticipated, with 80% of respondents reporting increased than budgeted implementations.
“The potential for gen AI has thus far exceeded the truth for world telecommunications suppliers, but it surely’s very early within the growth cycle for this promising expertise,” stated Altman Solon Affiliate Associate Priya Mehra. “We’re already seeing some telcos adapt with price administration options and stronger AI governance to ship higher outcomes.”
“One of many key classes of the report is {that a} ‘one-size matches all’ method to generative AI doesn’t work within the telco area,” stated Altman Solon Associate Diane Leung. “Recognizing – and addressing – stress factors and leveraging third-party specialists may also help telcos sustainably scale gen AI implementations.”
Different findings embrace:
- 50% of respondents set a minimal threshold of 10% ROI of their enterprise case to maneuver their Gen AI use circumstances from pilot to manufacturing.
- Proficiency in knowledge administration and governance is straight tied to realizing success and acknowledged enterprise goal from Gen AI implementations.
- 4 archetypes of telco organizations have emerged, with two, “Broad Experimenters” and “Cautious & Targeted,” reaching increased success charges.
- Telcos are evaluating mannequin deployment decisions and utilizing multi-LLM methods inside workflows to handle prices.
The report, From Prototype to Production: Scaling AI in the Telco Industry, additionally options government interviews and case research from the U.S. and Europe. Click on right here for the complete report and infographic. The report was sponsored by Google Cloud Platform.
