February 25, 2025, Boston — International telcos are anticipating generative AI options however are struggling to make them work, with solely half of use instances assembly enterprise targets, based on 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 no less than one generative AI use case in manufacturing however solely 30% of all use instances are making it to manufacturing. Generative AI has additionally confirmed to be dearer than anticipated, with 80% of respondents reporting larger than budgeted implementations.
“The potential for gen AI has thus far exceeded the fact for world telecommunications suppliers, however it’s very early within the growth cycle for this promising expertise,” mentioned Altman Solon Affiliate Accomplice Priya Mehra. “We’re already seeing some telcos adapt with value 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’ strategy to generative AI doesn’t work within the telco area,” mentioned Altman Solon Accomplice Diane Leung. “Recognizing – and addressing – strain factors and leveraging third-party consultants can assist telcos sustainably scale gen AI implementations.”
Different findings embody:
- 50% of respondents set a minimal threshold of 10% ROI of their enterprise case to maneuver their Gen AI use instances from pilot to manufacturing.
- Proficiency in knowledge administration and governance is instantly 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 & Centered,” attaining larger 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 govt 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.
