The telecom industry has reached a point where integrating AI technologies and capabilities is no longer the primary goal. Telecoms are looking for operational readiness.
For many leaders, AI experimentation has evolved into a very real mandate for ROI. Telecom companies (telcos) are shifting the conversation from what AI can do to how fast they can scale platforms. It is a transition from the unglamorous, high-impact work of making AI usable at scale to the pragmatic reset where buyers seek proof over promises.
Let’s take a look at how the telecom industry is utilizing AI now and how telcos can best prepare for what’s on the technological horizon.
Where Are We Seeing AI in Telecom?
The global AI in telecom market is projected to grow from $4.73 billion in 2025 to $6.73 billion in 2026. Growth this fast suggests massive investment from telecom companies in data centers, AI platforms, and AI professionals.
AI is becoming the connective tissue between software, data, and field operations. With 49% of telcos actively using AI in day-to-day operations, systems are moving beyond simply providing insights to autonomously observing and acting within defined guardrails.
But where are the biggest shifts happening with AI?
Agentic, Generative, & Sovereign AI
Agentic AI becoming more prevalent this year, and AI use is shifting from mostly individual to team usage. This will allow for greater flexibility and control at a higher level than before.
Generative AI is widely used, and 2026 will likely bring a shift towards wider use of agentic AI systems and processes. Sovereign AI—AI used on a national scale with the intent of greater security—is becoming a priority on a global scale, with countries hoping to reinforce national sovereignty in areas like military cybersecurity and supply chains. These infrastructures will allow countries to shape AI policy and development according to their priorities.
Cybersecurity
As AI tools become more prevalent, AI is expected to be one of the biggest drivers of cybersecurity moving forward. The share of organizations actively assessing the security of their AI tools has nearly doubled, jumping from 37% in 2025 to 64% in 2026. While this is a significant jump already, cybersecurity measures will likely increase as AI continues to get bigger and better.
Human Involvement
This surge in activity has created a unique set of challenges. While the technology is advancing at breakneck speed, the “human gap” remains a significant hurdle. Organizations are finding that the biggest barrier to scaling isn’t the code itself but the lack of integrated teams who understand both legacy telecom protocols and modern AI orchestration.
Success in 2026 is less about making splashy breakthroughs and more about the everyday work of integrating these tools to drive measurable, secure outcomes.
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Practical AI Use in 2026
While the headlines often focus on chatbots, the heavy lifting in 2026 is happening deep within the network. Telcos are moving away from fragmented, ground-up “crowdsourced” AI initiatives toward top-down, organizational strategies that target high-value workflows.
Here is how AI is practically being used across the landscape today:
1. AI-Powered Self-Healing Networks
The dream of a zero-touch network—an autonomous system that would automate routine network tasks—is becoming a reality through closed loop automations. Instead of engineers manually chasing alarms in a Network Operations Center (NOC), agentic AI systems can now identify congestion, tune radio parameters, and resolve faults before a customer even notices a drop in bars. These agents can detect faults, reroute traffic, and restart failing elements autonomously, though impactful changes to live configurations often still have a human-in-the-loop for oversight.
One of the most practical applications of these systems is in energy management. According to Nokia, AI‑optimized “Extreme Deep Sleep” modes in its AirScale radios can cut energy consumption by up to 95% during zero‑traffic periods compared to active mode, enabling near–zero‑energy operation when the network is idle.
2. AI in Fraud Detection & Prevention
AI has evolved far beyond simple FAQ automation into hyper‑personalization and intent prediction, which enables systems to analyze more signals and anticipate customer needs. These same AI capabilities now play a critical role in securing streaming and OTT systems. Real‑time models detect and stop fraud patterns such as SIM‑swap attacks, subscription fraud, and account takeover.
According to the Communications Fraud Control Association’s latest survey, global telecom fraud losses climbed to $41.82 billion by 2025. This sharp rise is likely driven by increasingly sophisticated, AI‑enhanced scams. This underscores the urgent need for AI‑driven fraud prevention across digital services.
3. The Monetization of the New AI Edge
With 5G‑Advanced, telecom providers are shifting from traditional connectivity to becoming full AI infrastructure partners. Telcos across the globe are now building NVIDIA‑powered Sovereign AI Clouds to support national AI initiatives and deliver high‑performance, secure computing capacity for businesses and governments. At the same time, many operators are offering GPU‑as‑a‑Service (GPUaaS), using their edge networks to run AI workloads closer to users. This setup reduces lag by 15–35 milliseconds, an advantage for real‑time needs like video analytics, robotics, and autonomous systems.
As telcos combine 5G‑Advanced with edge computing, they’re positioning themselves as trusted, low‑latency AI providers who are able to support workloads that centralized cloud regions can’t handle as efficiently. In the movement towards 6G, those who can best utilize AI will lead the way.
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2026 Outlook: What’s on the Horizon?
As we look ahead, 2026 marks a shift from experimenting with AI to operationalizing it. Telecom leaders are no longer asking what AI can do. They’re asking how quickly they can scale AI across their networks while keeping performance, trust, and security intact. Here are some of the themes shaping what’s next:
- Scaling AI responsibly: Telcos are moving from one‑off pilots to enterprise‑wide deployment, focusing on stability, governance, and real ROI.
- Strengthening infrastructure: Investment is flowing into edge computing, sovereign AI environments, and next‑generation data centers that support AI at massive scale.
- Elevating cybersecurity: As AI tools become more capable, so do threats. Carriers are adopting secure‑by‑design approaches and tighter human‑machine oversight to stay ahead.
- Bridging the talent gap: The biggest barrier to AI is finding teams that understand both legacy telecom systems and modern AI orchestration.
- Prioritizing measurable outcomes: Success will depend on integrating AI into everyday workflows in a way that improves reliability, efficiency, and customer experience.
These trends show an industry preparing for a future where AI is the backbone of how telecom operates, innovates, and competes.
Your Strategic Partner for the AI Era
The telcos that thrive in 2026 will be those that realize AI is more than a technical challenge. It’s a human capital opportunity. As the industry moves from experimentation to execution, the need for a partner who can bridge the gap between visionary strategy and operational reality has never been greater.
Insight Global goes beyond staffing to provide excellent talent and professional services. We deploy both AI experts and services to help you stay at the forefront of innovation. Whether you’re securing platforms against next-gen cyber threats or re-engineering your NOC for autonomous operations, we’re ready to help you build what’s next in telecom. Reach out to our experts today to start a conversation.
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