Telecommunications giants are making massive investments in artificial intelligence, positioning themselves at the forefront of the AI revolution. At Mobile World Congress Las Vegas, executives from Nvidia and Verizon outlined how AI is fundamentally reshaping the telecommunications industry.
Ronnie Vasishta, senior vice president of telecom at Nvidia, declared that “there has never been a better or exciting time to be in the telecommunications industry,” emphasizing that “AI will revolutionize telecommunications, and telecommunications will revolutionize AI.” The relationship is symbiotic: telecom companies provide the infrastructure and data that power AI systems, while AI optimizes their operations.
Key AI applications in telecommunications include customer care automation, network operations management, and digital assistants. Perhaps most significantly, telecommunications companies are transforming their data centers into “AI factories” that provide essential computing infrastructure for AI models. Verizon’s facility alone processes more than 70 billion data points daily from over 30,000 different data sources, giving telecom companies a unique advantage in the AI landscape.
Shankar Arumugavelu, executive vice president and president of Verizon Global Services, detailed how Verizon leverages AI across its entire operation. The company uses AI computer vision for geospatial intelligent cell site planning, determining optimal locations for network densification while achieving energy optimization and predictive maintenance. Verizon is also building a fully automated supply chain digital twin for inventory monitoring and using AI for workforce planning based on predictive market demand.
Customer service represents the most visible AI implementation. Verizon’s AI systems can predict why customers are calling before they even dial, determine their likely needs, and recommend the best action or offer. For complex issues, the system uses “AI-enabled intelligent agent pairing” that analyzes more than 300 data points per call to connect customers with the most qualified representative. The results are impressive: 28,000 Verizon representatives now use these AI tools, achieving a 95% answerability rate and 96% answer accuracy rate.
Vasishta emphasized that the telecommunications industry has moved beyond questioning whether AI helps: “Now it’s a case of how do I leverage AI?” This shift signals that AI adoption in telecommunications has reached a critical inflection point.
Key Quotes
There has never been a better or exciting time to be in the telecommunications industry. AI will revolutionize telecommunications, and telecommunications will revolutionize AI.
Ronnie Vasishta, senior vice president of telecom at Nvidia, emphasized the symbiotic relationship between AI and telecommunications at Mobile World Congress Las Vegas, highlighting how each industry will transform the other.
The telco industry because of the amount of data, because of the network, the role the network plays, has a specific advantage to be able to take advantage of these generative AI capabilities.
Nvidia’s Vasishta explained why telecommunications companies are uniquely positioned to capitalize on AI, pointing to their massive data volumes and network infrastructure as competitive advantages in the AI landscape.
With AI implemented across each step before a customer even places a call, we can determine where they are likely to contact us, predict what they may need, and specify the next best action or offer for them.
Shankar Arumugavelu, executive vice president of Verizon Global Services, described how AI enables proactive customer service by predicting customer needs before they even make contact, demonstrating the practical applications of AI in telecommunications.
The question mark over where does AI help or does AI help us in our telecom industry is kind of past us now. Now it’s a case of how do I leverage AI?
Nvidia’s Vasishta signaled that the telecommunications industry has moved beyond debating AI’s value to focusing on implementation strategies, indicating that AI adoption has reached a critical maturity phase in the sector.
Our Take
The partnership between telecommunications giants and AI companies like Nvidia represents a strategic alignment that could reshape both industries. What’s particularly noteworthy is the scale of implementation—Verizon’s 70 billion daily data points and 28,000 employees using AI tools demonstrate this isn’t experimental technology but core operational infrastructure.
The concept of “AI factories” is especially significant, potentially positioning telecommunications companies as infrastructure providers for the AI economy, similar to how cloud providers enabled the internet economy. This could create new revenue streams beyond traditional connectivity services.
However, the customer service automation raises important questions about workforce displacement and the quality of human interaction. While 95% answerability sounds impressive, the “oft-maligned digital customer service agent” reference suggests consumer skepticism remains. The telecommunications industry’s AI transformation will likely serve as a bellwether for AI adoption across other infrastructure-heavy industries, making these developments worth watching closely.
Why This Matters
This development represents a critical convergence of two transformative technologies: telecommunications infrastructure and artificial intelligence. Telecommunications companies possess unique advantages in the AI era—massive data volumes, extensive network infrastructure, and direct customer relationships—positioning them as essential players in the AI ecosystem.
The transformation of telecom data centers into “AI factories” has profound implications for the broader AI industry, potentially democratizing access to AI computing infrastructure and accelerating AI deployment across sectors. With Verizon processing 70 billion data points daily, telecommunications companies are sitting on data goldmines that can train and improve AI models.
For consumers and businesses, this means more efficient networks, better customer service, and optimized operations. The 95% answerability rate and 96% accuracy demonstrate that AI in telecommunications has moved beyond experimental phases into proven, production-ready applications. As telecommunications companies continue investing in AI, we can expect improved connectivity, reduced costs, and innovative services that leverage both technologies simultaneously.
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Source: https://www.businessinsider.com/how-ai-changing-business-telecommunications-giants-mwc-2024-10