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AI Innovation: Transforming Telecommunications into Tech Companies

In a world where technology is evolving at an unprecedented rate, organizations must adapt to stay relevant, particularly in the telecommunications sector. At the recent conference in Barcelona, James Chen, the General Director of Huawei Carrier Business, delivered an inspiring keynote speech titled "AI Innovation: Transforming Telecommunications into Tech Companies to New Heights." His insights offered a glimpse into how telecommunications operators can transition into tech companies and create sustainable value through advanced technologies like AI, 5.5G, and cloud computing.

The Drive Towards Digital Transformation

Chen emphasized that transformation is not merely about change—it is aimed at generating significant value. As operators evolve from traditional service providers into digital service organizations (DSOs), they must embrace new technologies that allow them to continually create value. One of the pivotal frameworks introduced was the "Five Ones" capabilities model, which serves as a guiding principle for facilitating this transition. This strategy enables operators to restructure their business and operational models while enhancing their technological infrastructure.

The goal is to meet changing consumer needs and adapt to emerging digital landscapes. By leveraging AI, telecom companies can accurately recommend tailored service packages to users, dynamically adjust network experiences based on real-time needs, and intuitively convey improvements to users as they occur.

New Monetization Models for Unique Service Experiences

Chen discussed how new scenarios for personal services are emerging, including live streaming, business travel, and gaming. To provide a differentiated network experience and monetize these services, telecommunications operators need to strategically rethink their service models. The introduction of experience-based pricing is gaining traction among global operators, with over 35 already implementing schemes that focus on user experience rather than traditional pricing methods.

AI-Driven Smart Home Services

As homes become smarter, telecom operators are uniquely positioned to offer personalized smart home services. By establishing unified service portals for smart home interactions, they can transition from being mere bandwidth providers to comprehensive AI service providers. Examples from China and South Korea illustrate the successful launch of AI home centers that provide seamless integration across various smart devices, using multimodal interactions to anticipate user needs effectively.

Robust B2B Cloud Platforms

To capitalize on industrial digital transformation opportunities, telecom operators need to launch comprehensive cloud platforms that support a wide array of B2B services. These platforms should be rich in features such as cloud marketplaces and intelligent code generation. This enables operators to swiftly integrate into broader ecosystems and facilitate quicker innovation and app deployment for developers. A notable success from North Africa demonstrates how a multicloud platform has successfully assisted thousands of businesses across more than ten industries in their digital transformation journeys.

Applying AI for Operational Efficiency

Chen argued that basic AI technologies can fundamentally change operations and maintenance strategies. By creating digital twins of networks and services, operators can transform raw data into actionable insights. This involves integrating AI agents and models into these digital frameworks, continually training and optimizing operations. An example of this approach showcased how AI technologies were employed to diagnose network issues rapidly, significantly reducing problem resolution times to under 30 minutes.

Building a Collaborative Infrastructure

In an era dominated by AI, a cohesive communication infrastructure is critical. This architecture must integrate multiple operational resources, including networks, storage, cloud, and computing power. It should support intelligent connectivity, ensuring deterministic security and lossless connections, and cater to diverse service demands.

Ultimately, James Chen concluded that AI-driven innovation will be vital in accelerating the transformation of operators into tech-centric businesses. By harnessing Huawei's cutting-edge products and solutions, they aim to co-create ongoing value while navigating the vast opportunities presented by the AI era. As telecom companies embark on this transformative journey, they not only enhance their operational efficiencies but also redefine their roles in the digital economy.