Nokia is a Business Reporter client
Meet dynamic customer demands with Telco AI.
For ambitious telecom leaders, the future is bright. Customers are demanding more: instant gratification, flexible choice and personalized experiences. They expect desired content to be available immediately and services to be easily tailored. This shift mirrors trends in the entertainment industry, where companies have revolutionized service delivery to meet this “on-demand” mentality. The telecom industry must follow suit, moving away from static packages and adopting a more dynamic, service-oriented approach.
This represents a golden opportunity for communications service providers (CSPs) to transform beyond the limitations of traditional “all-you-can-eat” plans and fixed pricing. The key to unlocking this potential lies in harnessing the exponential potential of artificial intelligence (AI) and generative AI (GenAI) and evolving to become digital experience providers.
The power of AI and next-generation connectivity
The convergence of AI and the 5G era is the driving force behind the delivery of personalized services in telecom. AI-powered systems will enable real-time adjustments to network resources, creating dynamic business models with external partners. This means that AI-driven experience providers can power services such as on-demand, high-viewership webcasts for enterprises, instant gaming sessions for students, or personalized map applications that prioritize network connectivity. GenAI further drives this evolution by automating the development and maintenance of these diverse and dynamic services. In essence, 5G and GenAI enable telecom leaders to become architects of a completely new way of delivering connectivity experiences.
Are CSPs ready to become digital experience providers?
While the potential is clear, many CSPs are not fully prepared today for the transition to experience providers. The primary challenge lies in data, the lifeblood of AI applications. Traditional data infrastructure within many CSPs is fragmented and siloed, making it difficult to create trusted insights. This lack of insight translates into slow response times, hampering efforts to meet customer demands and optimize network performance. Additionally, legacy reporting tools often provide limited insights, forcing a reliance on manual analysis for critical issue resolution.
The business consequences are severe if CSPs are unable to adapt. Declining revenues, limited margins, and dissatisfied customers are already a challenge for industry players. Outdated data infrastructure further restricts the ability of operations and marketing teams to leverage AI for transformative solutions that drive revenue and user engagement.
The way forward: AI-based solutions
The answer lies in taking a data-centric approach. Data products built on a unified information model and data mesh architecture can revolutionize data management within CSPs. AI and machine learning (ML) can be used to analyze this data to identify network anomalies, generate prescriptive solutions, and automate tasks such as reporting. This frees up valuable resources for network engineers, allowing them to focus on more complex issues.
Nokia's approach
At Nokia, we understand the unique challenges CSPs face. We have a comprehensive software portfolio spanning analytics, automation, monetization, and security. By leveraging our networking expertise along with cutting-edge AI tools, we empower our customers to accelerate their path to AI-driven operations and business models. The results are clear: increased revenue, improved customer experience, and reduced operating expenses.
Our solutions deliver tangible results. For example, our prescriptive analytics applications boast over 90 percent accuracy in detecting most network issues and can identify many performance degradation events up to a week in advance. Additionally, we have used network data to identify over 80 percent of potential customers churning from fixed wireless access (FWA) services, enabling operators to address customer concerns and prevent customer churn.
The future
Over the next three to five years, we will witness deeper integration between the telecom industry and enterprises. We can expect the emergence of bundled services that combine network access with specialized offerings tailored to specific customer needs. In addition, the rise of edge computing will bring consumer applications to the edge of the network, offering on-demand experiences based on user needs rather than predetermined subscriptions.
By embracing AI and GenAI, CSPs will evolve into digital experience providers to deliver personalized connectivity in a future where customer needs are met instantly, services adapt seamlessly, and the network becomes an enabler of entirely new experiences.
Click here to discover more about Nokia's AI software and solutions.
