Global AI in Telecommunication Market - 2025-2032

Global AI in Telecommunication Market reached US$ 2.63 billion in 2024 and is expected to reach US$ 35.69 billion by 2032, growing with a CAGR of 38.54% during the forecast period 2025-2032.

The demand for artificial intelligence in telecommunications is increasing since telecom businesses can quickly identify problems using AI. Telecom businesses are embracing IoT to accelerate the deployment of artificial intelligence in telecommunications. As a result, the increasing usage of AI solutions in various telecom applications drives the growth of AI in the telecommunications industry.

For instance, in June 2023, Amdocs launched Amdocs amAIz, a telco generative AI platform. This cutting-edge solution uses carrier-grade architecture and open-source technology in conjunction with substantial language AI models. Furthermore, in October 2022, Nokia launched an AI maturity evaluation tool. This tool is intended to assist communication service providers in developing and implementing effective artificial intelligence strategies. As a result, these variables will present significant profitable potential for the growth of AI in the communications business.

Market Dynamics

Driver - Rising Focus on Improving Customer Experience

Telecommunications is one of the most rapidly growing sector and it employs artificial intelligence (AI) in many parts of its operations, including customer experience and network stability. Telecom businesses generally use artificial intelligence for customer service applications.

Chatbots and virtual assistants handle a large number of installation, maintenance and troubleshooting inquiries. Virtual assistants can also scale and automate claims responses, thereby increasing customer experience and lowering business costs. For example, Vodafone Ltd. saw a 68% boost in customer experience after implementing its TOBi chatbot to handle customer inquiries.

Restraint: interoperability issues

Interoperability difficulties have a substantial impact on market demand for AI in the telecommunications sector. The integration of AI systems into existing telecommunications infrastructure frequently presents issues in assuring seamless compatibility. Telecommunication networks are often made up of several technologies, protocols and legacy systems, making it difficult to integrate AI effectively.

Market Segment Analysis

The global AI in Telecommunication market is segmented based on offering, deployment type, technology, application and region.

Solutions in the global market is expected to drive the market.

In the AI in telecommunications market, the solution category includes a collection of AI-powered solutions designed to address specific difficulties in the telecommunications sector. Trends in this field show a growing emphasis on solutions that improve network efficiency, consumer experiences and cyber security. For example, at Mobile World Congress Los Angeles in October 2021, IBM collaborates and expands partner partnerships to advance the company's capabilities in hybrid cloud, AI, network automation and security. These breakthroughs emphasize IBM's role in helping the telecommunications industry grow as 5G and edge computing transform how businesses and consumers connect.

Market Geographical Share

Rapid Technological Advancements in Asia-Pacific.

Asia Pacific is predicted to expand at fastest CAGR during the forecast period. This expansion is due to significant technical improvements in rising economies like China and India. For example, Huawei Technologies Co., Ltd., a global telecommunications equipment and consumer electronics company, collaborates with China Telecom Corporation Ltd., a supplier of internet access and mobile telecommunications services. This partnership will investigate radio cell capacity prediction and wireless network cell anomaly detection using the Network AI Engine (NAIE). Additionally, in February 2023, Bharti Airtel teamed with NVIDIA to build an AI solution focused at improving customer experiences for all inbound calls handled at its contact center.

Sustainability and Green Technology Analysis

The global AI in telecommunications industry is quickly evolving, driven by the demand for automation, predictive analytics and increased network efficiency. However, sustainability concerns have arisen as a result of the high energy consumption of AI-powered systems, data centers' carbon footprint and e-waste management issues. To decrease their environmental impact, telecom corporations are transitioning to data centers fueled by renewable energy. For example, Google and AT&T are building carbon-neutral AI data centers powered by wind and solar energy. Investing in renewable energy, smart AI solutions and circular economy projects allows telecom businesses to integrate technological growth with environmental responsibility.

Major Global Players

The major global players in the market include AT&T, Cisco Systems, Inc., Google LLC, IBM Corporation, Infosys Limited, Intel Corporation, Microsoft, Nuance Communications, Inc., Salesforce, Inc. and ZTE Corporation.

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Target Audience 2024

Manufacturers/ Buyers

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Research Professionals

Emerging Companies


1. Methodology and Scope
1.1. Research Methodology
1.2. Research Objective and Scope of the Report
2. Definition and Overview
3. Executive Summary
3.1. Snippet by Offering
3.2. Snippet by Deployment Type
3.3. Snippet by Technology
3.4. Snippet by Application
3.5. Snippet by Region
4. Dynamics
4.1. Impacting Factors
4.1.1. Drivers
4.1.1.1. Rising Focus on Improving Customer Experience
4.1.2. Restraints
4.1.2.1. Interoperability issues
4.1.3. Opportunity
4.1.4. Impact Analysis
5. Industry Analysis
5.1. Porter's Five Force Analysis
5.2. Supply Chain Analysis
5.3. Value Chain Analysis
5.4. Pricing Analysis
5.5. Regulatory and Compliance Analysis
5.6. AI & Automation Impact Analysis
5.7. R&D and Innovation Analysis
5.8. Sustainability & Green Technology Analysis
5.9. Cybersecurity Analysis
5.10. Next Generation Technology Analysis
5.11. Technology Roadmap
5.12. DMI Opinion
6. By Offering
6.1. Introduction
6.1.1. Market Size Analysis and Y-o-Y Growth Analysis (%), By Offering
6.1.2. Market Attractiveness Index, By Offering
6.2. Solution*
6.2.1. Introduction
6.2.2. Market Size Analysis and Y-o-Y Growth Analysis (%)
6.3. Service
7. By Deployment Type
7.1. Introduction
7.1.1. Market Size Analysis and Y-o-Y Growth Analysis (%), By Deployment Type
7.1.2. Market Attractiveness Index, By Deployment Type
7.2. On-premises*
7.2.1. Introduction
7.2.2. Market Size Analysis and Y-o-Y Growth Analysis (%)
7.3. Cloud-based
8. By Technology
8.1. Introduction
8.1.1. Market Size Analysis and Y-o-Y Growth Analysis (%), By Technology
8.1.2. Market Attractiveness Index, By Technology
8.2. Machine Learning*
8.2.1. Introduction
8.2.2. Market Size Analysis and Y-o-Y Growth Analysis (%)
8.3. Natural Language Processing (NLP)
8.4. Data Analytics
8.5. Others
9. By Application
9.1. Introduction
9.1.1. Market Size Analysis and Y-o-Y Growth Analysis (%), By Application
9.1.2. Market Attractiveness Index, By Application
9.2. Customer Analytics*
9.2.1. Introduction
9.2.2. Market Size Analysis and Y-o-Y Growth Analysis (%)
9.3. Network Security
9.4. Network Optimization
9.5. Self-Diagnostics
9.6. Virtual Assistance
9.7. Others
10. By Region
10.1. Introduction
10.1.1. Market Size Analysis and Y-o-Y Growth Analysis (%), By Region
10.1.2. Market Attractiveness Index, By Region
10.2. North America
10.2.1. Introduction
10.2.2. Key Region-Specific Dynamics
10.2.3. Market Size Analysis and Y-o-Y Growth Analysis (%), By Offering
10.2.4. Market Size Analysis and Y-o-Y Growth Analysis (%), By Deployment Type
10.2.5. Market Size Analysis and Y-o-Y Growth Analysis (%), By Technology
10.2.6. Market Size Analysis and Y-o-Y Growth Analysis (%), By Application
10.2.7. Market Size Analysis and Y-o-Y Growth Analysis (%), By Country
10.2.7.1. U.S.
10.2.7.2. Canada
10.2.7.3. Mexico
10.3. Europe
10.3.1. Introduction
10.3.2. Key Region-Specific Dynamics
10.3.3. Market Size Analysis and Y-o-Y Growth Analysis (%), By Offering
10.3.4. Market Size Analysis and Y-o-Y Growth Analysis (%), By Deployment Type
10.3.5. Market Size Analysis and Y-o-Y Growth Analysis (%), By Technology
10.3.6. Market Size Analysis and Y-o-Y Growth Analysis (%), By Application
10.3.7. Market Size Analysis and Y-o-Y Growth Analysis (%), By Country
10.3.7.1. Germany
10.3.7.2. UK
10.3.7.3. France
10.3.7.4. Italy
10.3.7.5. Russia
10.3.7.6. Rest of Europe
10.4. South America
10.4.1. Introduction
10.4.2. Key Region-Specific Dynamics
10.4.3. Market Size Analysis and Y-o-Y Growth Analysis (%), By Offering
10.4.4. Market Size Analysis and Y-o-Y Growth Analysis (%), By Deployment Type
10.4.5. Market Size Analysis and Y-o-Y Growth Analysis (%), By Technology
10.4.6. Market Size Analysis and Y-o-Y Growth Analysis (%), By Application
10.4.7. Market Size Analysis and Y-o-Y Growth Analysis (%), By Country
10.4.7.1. Brazil
10.4.7.2. Argentina
10.4.7.3. Rest of South America
10.5. Asia-Pacific
10.5.1. Introduction
10.5.2. Key Region-Specific Dynamics
10.5.3. Market Size Analysis and Y-o-Y Growth Analysis (%), By Offering
10.5.4. Market Size Analysis and Y-o-Y Growth Analysis (%), By Deployment Type
10.5.5. Market Size Analysis and Y-o-Y Growth Analysis (%), By Technology
10.5.6. Market Size Analysis and Y-o-Y Growth Analysis (%), By Application
10.5.7. Market Size Analysis and Y-o-Y Growth Analysis (%), By Country
10.5.7.1. China
10.5.7.2. India
10.5.7.3. Japan
10.5.7.4. Australia
10.5.7.5. Rest of Asia-Pacific
10.6. Middle East and Africa
10.6.1. Introduction
10.6.2. Key Region-Specific Dynamics
10.6.3. Market Size Analysis and Y-o-Y Growth Analysis (%), By Offering
10.6.4. Market Size Analysis and Y-o-Y Growth Analysis (%), By Deployment Type
10.6.5. Market Size Analysis and Y-o-Y Growth Analysis (%), By Technology
10.6.6. Market Size Analysis and Y-o-Y Growth Analysis (%), By Application
11. Competitive Landscape
11.1. Competitive Scenario
11.2. Market Positioning/Share Analysis
11.3. Mergers and Acquisitions Analysis
12. Company Profiles
12.1. AT&T*
12.1.1. Company Overview
12.1.2. Product Portfolio and Description
12.1.3. Financial Overview
12.1.4. Key Developments
12.2. Intel Corporation
12.3. Cisco Systems, Inc.
12.4. Google LLC
12.5. IBM Corporation
12.6. Infosys Limited
12.7. Intel Corporation
12.8. Microsoft
12.9. Nuance Communications, Inc.
12.10. Salesforce, Inc.
12.11. ZTE Corporation
LIST NOT EXHAUSTIVE
13. Appendix
13.1. About Us and Services
13.2. Contact Us

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