A new report by HCLTech, in partnership with Mobile World Live, reveals a significant execution gap in the telecom industry’s adoption of Artificial Intelligence (AI). While 60% of telecom leaders identify AI as a key revenue driver, only 25% believe their organizations are ready to scale AI deployments, hindering the shift to AI-native operations.
Telecom Industry Faces AI Execution Gap
HCLTech, a leading global technology company, has released findings from its latest Telecom Pulse Survey Report, co-developed with Mobile World Live. The report highlights a critical disconnect between the telecom industry’s ambitions for AI and its actual readiness to deploy AI-native, autonomous, and cloud-native services at scale.
Key Survey Findings
The survey, which gathered insights from nearly 200 senior executives across network operators, MVNOs, communication service providers (CSPs), and OEMs globally, indicates that while 60% of leaders view AI as a primary driver for future revenue, a mere 25% feel their organizations are prepared to operationalize AI effectively. This readiness gap poses a significant barrier to transitioning from traditional telcos to AI-native TechCos.
Persistent challenges identified include the need for modernization of legacy infrastructure, insufficient cloud-native adoption, and a lack of skilled personnel. These factors are collectively slowing down the industry’s progress in preparing for an AI-driven future.
Pressure on Business Models and Innovation
The findings also underscore the increasing pressure on traditional telecom business models, with approximately 70% of respondents acknowledging the commoditization of connectivity services. This drives a stronger need for differentiated digital services and platform-led growth strategies.
Innovation velocity remains a concern, as nearly 80% of companies launched fewer than five new digital products or services in the past year, pointing to ongoing difficulties in product engineering and achieving faster time-to-market.
Ecosystem Collaboration and Success Metrics
Ecosystem collaboration is recognized as a crucial enabler, with nearly half of telecom leaders emphasizing the importance of partnerships with hyperscalers, AI platform providers, and software vendors. Despite this focus on collaboration, success metrics for AI and digital transformation remain heavily skewed towards cost optimization and operational efficiency.
HCLTech’s Perspective
Anil Ganjoo, Chief Growth Officer and Global Head of Telecom, Media and Technology at HCLTech, commented, “The telecom industry is at a defining moment as AI transforms networks into intelligent, platform-driven ecosystems and this research recognizes that connectivity alone is no longer sufficient to sustain growth.” He added, “HCLTech’s AI-intrinsic approach helps telcos accelerate the shift to become TechCos, further scaling innovation and embracing AI-native and autonomous operations.”
The full report is available for download on the HCLTech website.
Source: BSE
