There are several generative AI tools emerging in the market
The immense popularity gained by ChatGPT since its launch in November 2022 has brought generative AI tools under the spotlight, prompting many companies cutting across industries to aggressively explore their capabilities and use cases. Telcos are no exception to this trend and are quickly warming up to their benefits, says GlobalData, a leading data and analytics company.
Pradeepthi Kantipudi, Telecom Analyst at GlobalData, comments: “There are several generative AI tools emerging in the market, capable of generating conversational text, and customized content like images, music, or codes based on a given prompt, with ChatGPT especially drawing attention for its instant and near accurate output. For telcos, ChatGPT could bring disruption in several business functions, including customer service, network management, fraud detection, sales, and marketing.”
Samrat Volam, Technology Lead Analyst at GlobalData, adds: “For instance, integrating ChatGPT with telecoms’ traditional customer service channels can help deliver instant, automated support round-the-clock, provide information on the product and service portfolio, handle wide-ranging customer inquiries and issues quickly and efficiently, reduce wait times, and boost customer satisfaction. To better serve a geographically diverse customer base, telecom companies can also employ ChatGPT to provide translation for customers who speak different languages. In this way, AI-powered tools can help telcos in enhancing customer experience and cutting costs.”
By presenting customers with tailored product recommendations and exclusive offers based on previous purchases and interests, ChatGPT can also aid in boosting sales and revenue of telecom companies. Additionally, ChatGPT can be used to identify and monitor fraudsters, even build a database of information that can be used to prevent fraud attempts.
Pradeepthi continues: “With several telcos testing and exploring new use cases for ChatGPT, investment in the telecommunications sector is set to increase in the short to medium term. This is put into perspective by GlobalData’s market opportunity forecasts for AI, which estimate enterprise AI spending in the communications sector at $US1.6 billion in 2022 and project it to increase up to $US2.9 billion by 2026.”
Another interesting trend emerging is that the telcos have already started working on their own ChatGPT-like versions. KT, a South Korean telecommunications company, is working on its own version of the OpenAI model. SK Telecom is also planning to launch its own AI chatbot and launched a beta version called “A.” (pronounced “A dot”) in South Korea in May 2022. Also, China Telecom announced plans to build an AI foundation model to develop an industrial ChatGPT version for the telecommunications industry.
Samrat concludes: “The benefits of ChatGPT as a useful tool for customer care and technical support in the telecommunications industry are evident. As the technology matures and companies explore novel applications, the telecom companies stand to benefit by offering an enhanced customer experience and thereby reducing churn and improving their sales and profits.”
Tags: AIChat-GPTGlobalData
