Global Artificial Intelligence in Telecommunication Market

Artificial Intelligence In Telecommunication Market Size, Share, Growth Analysis, By Application(Network Security, Network Optimization, Customer Analytics, Virtual Assistance), By Region - Industry Forecast 2025-2032


Report ID: SQSG45H2012 | Region: Global | Published Date: February, 2024
Pages: 165 | Tables: 39 | Figures: 74

Artificial Intelligence In Telecommunication Market Dynamics

Artificial Intelligence in Telecommunication Market Driver

  • Some of the important areas that service providers want to concentrate on while using artificial intelligence and preparing their networks for the move to 5G technology are lowering operating costs and increasing returns on network investments. The growth of artificial intelligence in the telecommunications market will accelerate during the projection period due to its widespread usage for better network performance management.
  • The demand for widespread AI adoption is increasing quickly due to the growth of OTT platforms and the changing nature of audio and video content. The need for greater bandwidth increases as more customers switch to OTT platforms, driving up operational expenses for telecommunications firms. By reducing the need for human intervention in network configuration and maintenance, AI can assist in lowering these operational expenses. Automation can also help businesses reach out to more clients more quickly and offer new services more quickly. As a result, during the projection period, there will be an increase in demand for AI in the telecom industry.

Artificial Intelligence in Telecommunication Market Restraint 

  • Artificial intelligence can support rapid and effective fraud detection. As a result, AI is increasingly being used for fraud analytics across numerous industries, including telecom. If AI notices any suspicious activity, it has the ability to completely block that person or service, preventing the action from developing into a fraud. During the projected period, increasing cyberattacks on enterprises and the growing demand for self-optimizing networks will further boost the expansion of artificial intelligence in the telecommunications market.
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Artificial Intelligence In Telecommunication Market size was valued at USD 0.85 Billion in 2023 and is poised to grow from USD 1.22 Billion in 2024 to USD 14.88 Billion by 2032, growing at a CAGR of 43.1% during the forecast period (2025-2032).

Through a variety of tactical approaches, including partnerships, M&A, and collaborations, market vendors are concentrating on growing their clientele. For instance, IBM Corp. and Vodafone Ltd. inked an outsourcing agreement. It is envisaged that this relationship will give the previous business access to a hybrid cloud-based digital platform that will facilitate better customer engagement and increase operational effectiveness. In the telecommunications industry, some of the major artificial intelligence players are: 'IBM Corporation', 'Microsoft Corporation', 'Intel Corporation', 'Google Inc.', 'Huawei Technologies Co. Ltd.', 'Infosys Limited', 'Cisco Systems Inc.', 'Nokia Corporation', 'Salesforce.com Inc.', 'Amazon Web Services Inc.', 'AT&T Inc.', 'H2O.ai', 'NVIDIA Corporation', 'Wipro Limited', 'Ericsson AB', 'Baidu Inc.', 'Orange Business Services', 'NEC Corporation', 'Verizon Communications Inc.', 'Ciena Corporation'

Some of the important areas that service providers want to concentrate on while using artificial intelligence and preparing their networks for the move to 5G technology are lowering operating costs and increasing returns on network investments. The growth of artificial intelligence in the telecommunications market will accelerate during the projection period due to its widespread usage for better network performance management.

Governments all over the world are accelerating the rollout of 5G because they recognise how important it is for the digital transformation and want to drive automation and AI in the telecom sector. The Internet of Things (IoT), which is powered by edge computing and AI, and digital transformation are likely to be fueled by fifth-generation technologies across the wireless communication industry. The adoption of AI in the telecom business is probably driven by rising consumer demand for better services and a smooth customer experience.

North America accounted for the largest market share and is predicted to maintain its leadership throughout the forecast years. Due to its dominance for being among the first to adopt cutting-edge technology. The expansion of the region will also be aided by the increasing number of telecom businesses that use automation and AI for network optimization and customer care. For instance, AT&T Intellectual Property introduced edge AI computing-powered mobile 5G in the United States. The AI network security solutions from CUJO LLC are being used by telecom service providers in the US to secure their networks.

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Global Artificial Intelligence in Telecommunication Market

Report ID: SQSG45H2012

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