A GLOBAL study sheds light on communications service providers' (CSPs) growing optimism toward artificial intelligence (AI). More than half of telecom and IT engineers surveyed believe the use of AI will improve network operational efficiency by 40 percent or more.
A GLOBAL study sheds light on communications service providers' growing optimism toward artificial intelligence . More than half of telecom and IT engineers surveyed believe the use of AI will improve network operational efficiency by 40 percent or more.
In addition, an overwhelming 85 percent of respondents express confidence in CSPs' ability to monetize AI traffic across networks.The research was commissioned by Ciena in collaboration with Censuswide, surveying more than 1,500 telecom and IT engineers and managers at CSPs in 17 countries across the globe.'Understanding emerging technologies like AI is an essential step toward staying competitive in today's constantly changing digital landscape,' said Jürgen Hatheier, Ciena's international chief technology officer. 'The survey highlights the optimistic long-term outlook of CSPs regarding AI's ability to enhance the network as well as the need for strategic planning and investments in infrastructure and expertise to fully realize the benefits.'AI network benefitsA key theme from the study is the opinion that AI will enhance network performance. To achieve this, participants believe new solutions across fiber network infrastructure and operations will be required.According to the study, the most popular strategies believed to improve performance include upgrading networks with new traffic and network analysis software , along with upgrades in switches and routers , and investment in 800G technology , underscoring the multi-faceted approach operators are adopting to bolster network capabilities. In fact, almost all respondents believe they will need to upgrade fiber-optic networks to support more AI traffic.AI-driven revenue opportunitiesGlobally, CSPs believe the sectors that will generate the most AI traffic, and therefore revenue opportunities, are financial services , followed by media and entertainment , and manufacturing .Respondents also see multiple avenues to generate revenue from AI. Specifically, 40 percent believe it will be from opening their networks to third-party integrations; 37 percent believe revenue will come from security and privacy services; the same number believe it will come from new product offerings; 35 percent believe it will be from the creation of tailored subscription packages; and 34 percent believe revenue will be from differentiation on quality of service for connectivity.Private vs public cloudThe research highlights the critical role of cloud in supporting and utilizing AI across networks. 43 percent of CSPs favor private cloud deployment for AI services, while 37 percent lean toward public cloud providers' data centers. Meanwhile, only 21 percent of respondents plan to adopt a hybrid cloud model.Job creationAccording to the study, 67 percent of CSPs anticipate AI to be a force for job creation and identified key areas of expertise necessary for developing and launching AI services, including cybersecurity , followed by machine learning , and programming/coding .Global differencesThe survey yielded interesting results by country, showing how CSPs' confidence in monetizing AI can vary significantly. Of note, CSPs in India are among the most confident , while the US is among the least confident . There were similar differences in the optimism around AI's impact on creating or reducing jobs amongst CSPs, with a 50 percent difference between Mexico seeing the most job creation and Japan seeing the least . The survey also revealed the breadth of sectors that different countries see as driving the growth in AI traffic, with financial services, entertainment, manufacturing, health care and education all coming out on top in at least one market.
Will Improve Network Operational Efficiency
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