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Jeff Kagan: How AI is impacting telecom, wireless, broadband and pay TV

By: Equities.com
Jeff Kagan: How AI is impacting telecom, wireless, broadband and pay TV

Ever since the first phone call from Alexander Graham Bell in 1876, the telecommunications industry has been with us. Over the past 150 years it has grown from telephone to pay TV to wireless to broadband and the internet and more. Today, AI looks to be the next and most impactful growth and change event ever imagined… and it is just beginning.

Investors see this as potentially the biggest new growth opportunity and challenge of their lifetime. And it may very well be, at least for some AI sectors.

That being said, knowing the right companies in the right new segments is always key to success for everyone. AI has many different segments. Only some will be hot at any one time. Since we cannot see into tomorrow, knowing the next, big AI space is the problem for every investor, executive, worker and competitor today.

So, what is hot today and what’s next?

Let us take a closer look at how artificial intelligence in all its segments is starting to impact telecom in all its segments.

Segments like wireless, the internet, broadband, satellite, private wireless, private networks and more. How all these segments are improving their operations and innovating with changes thanks to this new technology.

AI will improve operations of telecom, wireless, pay TV, broadband

Example, parts of AI let’s telecom network companies detect problems, reroute traffic while it fixes the problem, then restores traffic flow to normal. This is something telecom networks continually do, manually. This has always taken time, money and human resources. Going forward, this ongoing task can be all automatically managed by different kinds of AI technology.

Remember, AI has quite a few different sectors. AI is the general term over and above the actual different types of technology like Generative AI, General AI, Artificial Superintelligence and much more.

Looking ahead, most problems are taken care of by AI as they arise. That means better quality and fewer problems for customers and users, and the ones we do face will be corrected more quickly.

The good part is this brings a better quality of service to users. That helps with retention of customers and growth. This also supercharges innovation. The bad part is the cost of AI is very high and ongoing. Another bad part is this automation using AI replace work done by people today. That means job loss.

How will all this good and bad impact the economy, performance, market share and more, going forward? As you can see, like with the internet, broadband, smartphones and more, there is both good and bad to this major transformation thanks to artificial intelligence. And this AI transformation has only just begun.

AI Shift will transform every sector, company and service

One question is who will the winners and losers be going forward? Some leaders of today will remain leaders. Many consider them too big to fail. Although, some may struggle for a while to transform and to be successful in these new spaces. But these are large players, and most should remain that way.

There are also new players. These are often small companies with big, industry-reshaping ideas. Some of these will win as they rewrite the rules of play going forward. Others will struggle financially even as their ideas are important. Many of these will ultimately partner or be acquired by larger competitors looking for new thinking and new ideas.

What can we expect from the telecommunications industry which is on the verge of a massive AI shift. Every sector and every company will face this threat and growth opportunity. This means wireless carriers like AT&T, T-Mobile, Verizon and resellers as well like Comcast Xfinity, Charter Spectrum, Altice USA, Cox and so many others.

This also means network builders like Qualcomm, Ericsson, Nokia, Cisco, Netgear, Motorola and more. Plus, the hundreds, even thousands of other competitors in the wireless, telecom, broadband space. Plus, business and consumer hardware from assorted companies like Apple iPhone, Google Android, Samsung, Motorola and others.

A massive change-wave is coming

As I travel and visit with many different players and see how they are using AI to transform and to win tomorrow, I see a massive change-wave coming straight at us. This is a good time to take a longer-term, historical perspective on the changing industry. To know where to take the next step in your sector.

You think AI is already transforming our lives, and depending on who you are, you may be right. However, the AI ride has only just begun. Going forward companies will either be in the early stage: a player. Or they will be in the second stage: a follower. Or they will sit this dance out thinking they can survive tomorrow without it. In my opinion, that one is a mistake.

As time moves forward, different hot spots will appear as others fade away. That’s the story of every living, breathing, new technology. As two examples, just think of how the internet and smartphones have grown, changed and expanded over time.

Investing in the right companies, the leaders or the followers, and avoiding the others is always the smart way to proceed. Knowing which-is-which today is always the important and often mysterious key to success which most people do not yet understand.

More from Jeff Kagan: Boingo is a quiet, private networks, Wi-FI powerhouse

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