Investment in Generative AI Grows in Telecom Sector

Generative artificial intelligence (AI) is finding a home in organizations such as telecommunications companies — and most are increasing their investments in the technology, according to a report from the Capgemini Research Institute.

The firm’s report, “Harnessing the Value of Generative AI: 2nd Edition,” revealed that 80% of organizations increased their investment since last year and 20% have kept it at the same level.

The researchers found that 24% of organizations have integrated AI into some or most of their locations and functions. This compares to 6% that were doing so a year ago.

Generative AI — AI that produces (or generates) data such as text, images, or video — is being used in all sectors, according to the report. Only 3% of organizations enforce a complete ban on the use of publicly available generative AI tools in the workplace.

Respondents think that it is paying off: 82% of organizations plan to integrate AI agents in one to three years and will employ them to do tasks such as email generation, coding and data analysis. Their status will also change; they formerly were supportive tools and now have autonomy to complete their tasks.

The company advises organizations to deploy safeguards to ensure transparency and accountability for AI-driven decisions.

In the telecom sector, use cases include:

  • Creation of new personalized services and offerings, and customer-service interactions (28% pilot/proof of concept, 18% implementation)
  • Generative network design and architectures that identify the most efficient and effective network configuration (28%, 32%)
  • Restoration of old media (27%, 31%)
  • Call-center analytics (37%, 24%)
  • Text-to-video generation/filmmaking (27%, 27%)

“Generative AI is starting to transform business and organizations are already seeing concrete growth in revenue, whilst also accelerating innovation,” said Pascal Brier, Capgemini’s chief innovation officer and a member of the Group Executive Committee. “As a result, rather than solely focusing on cost optimization, businesses are actively exploring new avenues to leverage its capabilities and drive value creation.” 

The report was based on a survey of 1,100 executives from organizations with more than $1 billion in revenues spread across 14 countries and 11 industries and sectors.

In April, TechSee, a vendor of AI agents for customer service, released a report that suggested generative AI can be a game changer for customer service, but must be implemented carefully and gradually.

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