Telecom operators, known as Communication Service Providers (CSPs), are increasingly confident that the next wave of industry growth will be driven by artificial intelligence (AI) and 5G-powered use cases. However, a significant gap remains between strategic ambition and actual implementation across the sector.
A new global research study from Ericsson highlights this disconnect, based on insights from 455 senior telecom executives worldwide.
Strong Confidence in Future Revenue Growth
According to the study:
- 90% of telecom executives are confident in their ability to unlock new revenue streams
- More than 80% believe future growth depends on rapidly scaling services
- Flexibility and ease of experimentation are seen as key competitive advantages
Despite this optimism, most operators have yet to translate plans into real deployments.
70% of CSPs Have Not Started Key Technology Implementation
The research reveals that around 70% of CSPs have not yet begun implementing technologies they themselves consider critical to future growth.
This includes core capabilities needed to support AI-driven and next-generation digital services.
Top Growth Opportunities in the Telecom Sector
The study identifies three leading areas for future expansion:
- Private 5G networks and enterprise connectivity (49%)
- Tailored digital services for consumers and enterprises (44%)
- Wide-area IoT connectivity (40%)
These segments are expected to shape the next phase of telecom industry transformation.
Key Technologies Lagging Behind Industry Ambitions
Despite clear opportunities, implementation of enabling technologies remains limited:
- 66% have not implemented AI-driven network operations
- 61% have not deployed advanced 5G capabilities, including 5G Standalone and network slicing
- 68% have not adopted SaaS-based IT platforms
This delay highlights a widening gap between strategy and execution.
AI and 5G Increasing Pressure on Telecom Infrastructure
The rise of AI-powered applications is placing new demands on telecom networks, requiring higher performance, greater flexibility, and more scalable infrastructure to support evolving digital services.
Ericsson: Execution Gap Will Decide Industry Winners
Speaking on the findings, Razvan Teslaru, Head of Strategy at Cloud Software and Services within Ericsson, said the opportunity for telecom operators is clear, spanning AI-driven services, private 5G, and IoT-enabled solutions.
However, he emphasized that success will depend not on identifying opportunities, but on execution speed.
He noted that CSPs are aligned on required capabilities, but adoption remains limited — and this “execution gap” will determine which companies successfully convert ambition into real growth.
Conclusion: Ambition vs Execution Defines Telecom’s Next Era
The findings from Ericsson underscore a critical moment for the telecom industry. While operators are confident in their ability to grow through AI, 5G, and IoT, slow implementation of enabling technologies risks delaying or limiting that growth unless execution accelerates significantly.
