Latest News- Generative AI In Telecom Market: Solutions is expected to lead the Component segment during 2025-2029

The Generative AI In Telecom Market is being driven by Imperative for hyper-automation and operational efficiency

The Generative AI In Telecom Market is expected to grow at a CAGR of 42.7% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 2716 million. In the dynamic telecom market, there is a discernible trend toward the adoption of proprietary, telecom-specific generative AI models. While foundational models offer a strong foundation, telecommunications companies recognize the need for AI solutions that intimately understand the nuances and complexities of their industry. This necessitates the training or fine-tuning of models on extensive, industry-specific datasets, encompassing network telemetry, operational support systems data, billing system information, customer interaction logs, and technical engineering documentation. The primary objective of this shift is to enhance model accuracy and minimize the risk of model hallucinations, thereby securing a competitive edge in the telecom sector. 

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Which Factors Are Causing a Surge in Market Growth?

The market is segmented based on

• Component
  • Solutions
  • Services
• Deployment
  • Cloud-based
  • On-premises
• Application
  • Customer services
  • Network management
  • Sales and marketing
  • IT support
• Geography
  • North America
    • Canada
    • US
  • APAC
    • China
    • India
    • Japan
    • South Korea
  • Europe
    • Germany
    • UK
    • France
  • South America
    • Brazil
  • Middle East and Africa

According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

• Imperative for hyper-automation and operational efficiency
• Intensifying demand for hyper-personalized customer experiences
• Acceleration of innovation and new service development cycles

However, the market also witnesses some limitations, which are as follows:

• Navigating data security, privacy, and complex regulatory landscape
• Ensuring model accuracy and mitigating risk of hallucinations
• High implementation costs and scarcity of specialized talent

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Market Scope in Generative AI In Telecom Market Research Report

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Research Analysis Overview

In the telecom market, Generative AI is revolutionizing network intelligence by employing data augmentation techniques and model explainability methods. Amidst data privacy regulations, telecom companies ensure cybersecurity through network resilience strategies and AI bias mitigation. Operational efficiency gains and revenue enhancement strategies are achieved through telecom regulatory compliance, network virtualization platforms, cloud-native infrastructure, containerization technologies, microservices architecture, and API integration strategies. Service orchestration tools, automation frameworks, and devops methodologies facilitate agile development processes in telecom infrastructure modernization. Network performance management and customer experience optimization are enhanced with network security automation and AI explainability techniques.

Market Research Overview

In the telecom sector, Artificial Intelligence (AI) is revolutionizing network optimization and maintenance through predictive analytics and generative AI. AI-driven network optimization utilizes machine learning algorithms to analyze historical data and identify patterns, enabling proactive network management and improved performance. Predictive network maintenance leverages AI to anticipate potential issues and schedule preventative measures, reducing downtime and enhancing customer experience. Furthermore, AI-powered chatbots streamline customer interactions, offering personalized solutions and reducing response times. The IT software market encompasses companies providing application software, including those specializing in telecom solutions utilizing AI for network optimization and maintenance. According to Technavio, the global IT software market size is determined by the consolidated revenue of all software providers, including those offering cloud-based solutions.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.

Technavio Research
Jesse Maida
Media & Marketing Executive
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UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/