How AI agents will reshape telecoms

Published: 14 Apr 2025 | By Edwin Lin

OpenAI recently closed a $40bn funding round, the most ever raised by a private tech company. Its ability to attract capital despite challenges like US president Donald Trump’s tariffs highlights the transformative potential of artificial intelligence (AI) in business.

For telecoms companies, the stakes are higher than ever. The future of network operations is no longer about maintaining legacy systems but about embracing AI to stay competitive. AI has evolved from a futuristic concept into a business-critical tool, and for telecoms, it’s no longer a luxury—it’s a necessity.

The Rise of AI Agents

At the heart of AI’s transformative impact on telecom is the rise of AI agents. These software entities can pursue long-term objectives autonomously, interact with environments, process data from diverse sources (text, images, video, audio), and make complex decisions by breaking them down into manageable steps. They also create feedback loops to continuously improve their output.

Leading telcos are already exploring this technology in various ways:

• Network optimisation: AI agents analyse network traffic and performance data to identify bottlenecks, enabling dynamic resource allocation.
• Predictive maintenance: AI agents monitor infrastructure to predict failures and proactively schedule maintenance, reducing downtime and costs.
• Resource allocation: AI agents optimise bandwidth distribution to adapt to fluctuating demands.

At Mobile World Congress 2025, agentic AI was a major talking point. Deutsche Telekom and Google Cloud announced plans to develop an agentic AI for autonomous networks, while Ericsson and Telenor are working on a proof-of-concept to reduce energy consumption in radio access networks. SK Telecom also unveiled AI-powered services, including telco AI agents and infrastructure assistants.

A New Era for Telecoms

The introduction of AI agents signals a new era for telecom operators. Autonomous networks will reshape how telcos deliver services, manage infrastructure, and interact with customers. As networks grow more complex, traditional rule-based automation will struggle, making AI agents essential for reducing latency and improving service delivery.

However, challenges remain:

• Data privacy and security: AI agents process vast amounts of sensitive customer data, raising concerns.
• Legacy system integration: Telcos must ensure seamless compatibility with older systems.
• Skill gaps: Staff will need training to collaborate effectively with AI-driven decision-making systems.

Looking ahead, AI agents will evolve from niche tools into central components of telecom operations, driving cost reductions, efficiencies, and new service offerings. The key for operators will be to not only deploy AI agents but also foster an ecosystem that supports continuous innovation.

For telcos that execute well, AI agents will be a game-changer.

Edwin Lin is principal consultant at Omdia, part of Informa TechTarget.