As the year 2023 comes to a close, industry analysts, consultancy firms, and commentators are making predictions for telecoms in 2024. A common theme among these forecasts is the anticipated impact of artificial intelligence (AI) on various aspects of the industry, including networks, data centers, internet-of-things (IoT), devices, semiconductors, customer service, and more.
AI’s influence is expected to pervade the telecom industry, bringing potential benefits along with challenging and potentially disruptive implications. Analysts hope that 2024 will provide further clarity on how and where AI can be effectively employed.
Here are some key predictions and trends for 2024:
- AI Impact Across Industries: AI is expected to impact networks, data centers, IoT, devices, semiconductors, customer service, data security, marketing, and business transformation.
- 5G Monetization Challenges: Monetizing 5G beyond fixed wireless access use cases remains a challenge for service providers. Commercialization of key technologies in 3GPP Release-17 during 2024, including RedCap IoT technology, may improve 5G monetization prospects.
- Satellite 5G: Satellite-based 5G is expected to play a critical role in private networks, IoT, and mobile broadband, providing improved service coverage in underserved areas. Increased satellite launches and collaboration between satellite and mobile network operators are anticipated.
- Home Wi-Fi Upgrades: The expansion of fiber deployments in fixed broadband markets is driving the need for upgrades to home Wi-Fi networks. Trends like cloud gaming services are expected to boost demand for high-speed and low-latency connectivity, leading to the adoption of Wi-Fi 6E and Wi-Fi 7.
- Telecom’s Carbon Footprint: The telecom sector aims to reduce its carbon footprint in 2024, focusing on transitioning from copper wire networks to energy-efficient fiber optics, decommissioning power-intensive 3G networks, and using power-saving technologies in 5G radio gear.
- 6G Development: The official start of the 6G race is predicted for 2024. The ITU’s World Radiocommunication Conference (WRC23) will identify spectrum frequency bands to support 6G services.
- Global Economic Impact: The global economy’s depressed state and geopolitical uncertainty are expected to continue impacting the telecom sector in 2024.
While these trends present opportunities for expansion and improvement, challenges such as ensuring AI’s responsible use and addressing environmental concerns will be critical for the industry in the coming year.
