Companies are always chasing the almighty dollar, and many of them look for any avenue to do so. Enter AI technology. There’s a long laundry list of ostensible ways that AI can save money, whether they be ethical or sleazy. Well, regardless of what practices businesses are doing, they seem to be working. It looks like telecommunication businesses are making more money thanks to AI.
The moment we heard about the possibilities of AI, we heard something else, the sound of the drool dripping from CEOs’ mouths at the money-saving opportunities. Well, thanks to Nvidia, we can see why. The AI chip megacorporation published a report telling us just how lucrative AI is for telecommunication companies around the world. It released the results of its third annual State of AI In Telecommunications survey.
AI is saving telecommunication companies a ton of money
The company reviewed more than 450 telecommunication professionals from around the world to get a grasp of how AI is benefiting these companies. As per the report, AI integration seems to be benefiting these companies more than you’d think. As per the poll, 84% of the respondents said that AI helped them increase their yearly revenue. That’s immense! We don’t know exactly how the technology has increased their revenue, but it shows that a large portion of the industry stands to gain from the technology. Additionally, 77% of respondents said that it helped them reduce operational costs.
Operational cost reductions and revenue gains go hand in hand, and they help lead to stronger profits. As such, we can expect to see more companies adopt AI into the workplace. One thing to note is that this applies to telecommunication companies. Companies from other industries may not see such significant gains.
Productivity
Along with additional money, the respondents are also reporting that employees are more productive. 60% of them reported that, in fact. Again, we don’t know how this technology is increasing productivity. However, this information is pretty crucial to know. There are certain pillars required for a business to successfully run, and the survey shows that AI is hitting several of them.
We’re already seeing the holy trinity of factors that help support a company: Lower costs, higher revenue, and increased productivity. As such, we know that companies are going to continue to invest in AI technology.
Investments in AI
Speaking of pouring money into AI, 44% of respondents said that they plan on investing in AI technology to help optimize the customer experience. In fact, that’s the no. 1 area of investment.
This is pretty concerning, however. While this may not be true for all of the companies, it sounds like several companies will use AI chatbots in lieu of actual human beings for customer service. We’re all used to calling a company and getting an automated voice that can help us with all of 20% of our problems. As smart as a chatbot can be, we’re not sure they’re at the point where they can help with everything that a customer needs.
In any case, companies are saving more money with AI and spending more on it. This means that the tech is here to stay, despite the factors going against it like the ethical issues, rising costs, factual issues, and more.
37% of folks say that they’re looking to invest in AI to improve network planning and operations while 33% said that they invested in AI for field operation optimization. These telecommunications are banking on AI to help bring in a new age in network connectivity.
AI is here to stay
A whopping 80% of the respondents say that AI is crucial for their business’ future success. This is pretty significant, as it points to a major shift in the industry. It’s not that AI is helpful to companies, it’s that the technology is crucial for these companies to succeed. The word “crucial” is important here, as it means that companies are starting to rely on the technology. We can see them shifting their strategies to better facilitate AI and to better integrate it into their business practices.
We can’t ignore the downsides
Looking at the data available, it seems that many telecommunication companies are looking to implement AI. Also, it seems that it’s having a positive impact on their bottom line. However, there’s always more beneath the surface. While generative AI has been a public mainstay for more than two years, we’re just now starting to see some of the effects of the technology, both good and bad.
The main thing that people worry about is how AI will affect people’s jobs. Companies are already starting to let go of employees and replace them with AI chatbots. As much as we’d like to think that the telecommunication companies in question are using the technology purely to boost productivity and profits, the report doesn’t tell us exactly how these companies are doing so. In all fairness, the report doesn’t have to reveal that, as it’d be impossible.
However, we need to be open to some hard truths. Reducing operational costs could be another way of saying they’re laying off workers and replacing them. Paying fewer employees leads to increased revenue. So, while the report didn’t explicitly say so, we need to acknowledge that it’s a possibility.
Along with that, increasing employee productivity doesn’t only mean that the AI chatbots are “empowering” them, as pretty much every company says. There’s also the possibility of companies overloading their employees with work and expecting the AI to carry the bulk of it. We’ve seen reports of companies doing this.
An AI company revealing AI news
We also can’t ignore the fact that this is a report from Nvidia, one of the biggest AI companies in the world. This is not to say that the company is lying or posting inaccurate information, but we have to acknowledge that the company has cause to only report the positive information. Nvidia makes technology that fosters AI growth, and it wants to build confidence among the greater tech community that AI will build a better future. As such, there’s no motivation to report the bad side of AI.
While it seems that AI technology is benefiting the telecommunications industry, we have to acknowledge that this report only tells half of the story. We’ll need to wait to see the full effects of AI on the industry, not just the positive ones.
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