Indian telcos bet on AI networks to drive revenue growth, infras upgrades

Indian telecommunications and network service providers are among the most optimistic globally regarding the financial upside of artificial intelligence (AI), according to a recent survey by high-speed connectivity leader Ciena. The study found that 67 per cent of Indian respondents “strongly agree” that AI-driven network services will be the primary driver of revenue growth over the next three to five years. Market research firm Censuswide conducted the study between July 13 and 23, surveying 100 respondents in each of 12 key markets, including India, the United States, Canada, Brazil and the United Kingdom. Beyond revenue expectations, Indian operators also expressed an urgent need to modernise physical infrastructure to support heavy AI workloads. Consequently, a majority of them are are prioritising immediate upgrades to infrastructure.

 

 

India network trends

 

• 67% of Indian service providers see AI-driven network services as key revenue drivers over three to five years
• 98% expect managed optical fibre networks (MOFN) to boost revenue by connecting AI compute clusters within 3 years
• 88% say optical network upgrades are urgently needed to deliver premium AI services
• 58% of Indian service providers plan to generate revenue from multi-Cloud connectivity services
• 94% consider advanced network automation as ‘absolutely critical’ in capturing AI-driven opportunities
• 88% expect Edge/ localised AI services to drive over 10% of enterprise revenue within 3 years

 

Global view

 

• 90% of service providers see high-capacity AI network services driving revenue over three to five years
• 88% feel an urgent need for optical network upgrades to support premium enterprise AI connectivity
• 96% expect MOFN services to generate revenue connecting distributed AI compute clusters within three years
• 60% expect physical AI ecosystems to generate over 15% of total enterprise AI revenue within five years

 

Source: Ciena survey by Censuswide