Networks with intelligence
In this Capgemini Research Institute report, we provide comprehensive insights into the importance of autonomous networks for telcos and how these autonomous networks are best implemented.
The telecom sector is embarking on a journey towards autonomous networks.
In this Capgemini Research Institute report, ranked No 3 by Source Global among 400+ reports in 2024, Networks with intelligence: Why and how the telecom sector should accelerate its autonomous networks journeys, we provide comprehensive insights into the importance of autonomous networks for telcos and how these autonomous networks are best implemented.
The report found that some of the biggest obstacles hindering progress toward autonomy are the mindset of employees, integration issues, and regulatory concerns around data sovereignty.
Despite these – and other – challenges, there is no denying that autonomous networks offer significant benefits to telcos. Over the past two years, operators have already realized a 20 percent improvement in operational efficiency and an 18 percent reduction in network operation expenditure (OpEx) through autonomous networks initiatives. Additionally, 71 percent of operators have reduced energy consumption during this period, while they expect to lower greenhouse gas emissions by 30 percent over the next five years.
Our research also found that telcos anticipate investing an average of $87 million in autonomous networks over the next five years, with estimated OpEx savings of $150 million-$300 million per organization during this period. The return on investment (ROI) of autonomous networks initiatives ranges from 1.7x to 3.4x, with a payback period of between 2.9 to 1.5 years in conservative and optimistic scenarios, respectively.
To accelerate and sustain their autonomous networks journeys, telcos must also adopt a comprehensive autonomous network transformation strategy, complete with well-defined goals and target timelines. However, only 17 percent of telcos have done this so far. Over half (51%) of operators have a roadmap that covers only the next one to two years, leaving them with limited visibility into the future.
Telcos must also formulate the right talent strategy to support the scale-up of network autonomy. This includes appointing a dedicated leader for autonomous networks. Only 15 percent of organizations have already made this appointment, while a further 31 percent are in the process of finding the right person. This delay could hinder progress, as having a dedicated leader can significantly accelerate the adoption of autonomous networks.
Successfully implementing an autonomous network involves investing in key technology and data/AI initiatives, setting the pace of the transformation in line with the networks’ maturity, and innovating continuously to stay at the forefront of autonomous networks development.
Read the full report to learn more about how telco operators can unlock the full potential of autonomous networks and transform their networks for the better.
