The telecommunications industry is abuzz with excitement as it explores the vast potential of generative artificial intelligence (AI). At this year’s MWC Barcelona, two major Chinese equipment suppliers, Huawei Technologies and ZTE, unveiled their own industry-specific AI models, signaling a revolution in the telecom sector.
Huawei introduced its Huawei Telecom Foundation Model, a self-developed AI model designed specifically for the telecom industry. The model aims to provide more intelligent business solutions for consumers and enterprises while helping carriers optimize their network resources. It can also enhance operational efficiency by reducing the time it takes to resolve network issues after receiving customer complaints.
Philip Song Xiaodi, Chief Marketing Officer of Huawei’s carrier business group, shared his enthusiasm for the model during a media briefing at the event, stating, “We have this kind of capability, and we have to work with our partners to explore it.” Although Huawei has not specified a timeline for commercialization, the telecoms AI model is built upon the company’s self-trained Pangu AI model, which focuses on industrial uses in various sectors.
ZTE, Huawei’s Chinese rival, also showcased its own AI model called the Nebula Telecom Model. The model demonstrated its ability to support communication services at the Hangzhou 2022 Asia Games, including live-streaming on platforms such as Douyin (the Chinese sister app of TikTok). ZTE claims that Nebula reduced 80% of the workload for operations and maintenance while improving overall efficiency, making it a promising solution for telecom operators.
Generative AI projects have already been initiated by global telcos to enhance business and explore new revenue streams. China’s three major operators, China Mobile, China Unicom, and China Telecom, launched their own self-trained large language models in 2023. Ethan Qi, Associate Director at Counterpoint Research, notes that by leveraging AI capabilities, telecom operators can offer new services to their existing enterprise clients, opening up more commercialization opportunities.
It’s not just Chinese companies that are embracing AI in the telecom industry. Partnerships between Western industry players are being formed to further explore AI’s potential. Nvidia, a US chipmaker, joined forces with tech giant Microsoft and telecoms gear vendors Ericsson and Nokia to establish the AI-RAN Alliance. The alliance aims to integrate AI into radio access network (RAN) technology and mobile networks. Other founding members include UK-based Arm, Amazon Web Services, Samsung Electronics, and T-Mobile USA, among others.
However, these partnerships and advancements come at a time when the US has imposed stricter restrictions on the development of China’s AI industry. Nvidia, for example, faces trade sanctions that prevent it from exporting advanced GPUs to China. As a result, Chinese companies such as Huawei have been developing their own AI chips, further intensifying competition in the market.
Despite these challenges, Huawei remains committed to collaboration with global partners in Europe and the Middle East to promote the adoption of AI in the telecom industry. Yang Chaobin, President of ICT Products and Solutions at Huawei, emphasized the importance of industry-wide collaboration during the launch of the company’s industry-specific AI model.
The introduction of AI models by Huawei and ZTE at MWC Barcelona marks a new era for the telecom industry. With the potential to enhance business solutions, optimize network resources, and improve operational efficiency, AI is set to revolutionize the way telecom operators provide services to consumers and enterprises. As the industry continues to embrace AI, partnerships and collaborations will play a crucial role in driving innovation and shaping the future of telecommunications.
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