Midway through 2025, the industry finds itself at a crossroads where once-promising buzzwords collide with unexpected realities, forcing operators to question which innovations will truly define the next decade.
The year began amid fervent debate over artificial intelligence’s potential to revolutionise networks and customer service, yet the first half has exposed a more nuanced truth: while almost half of telco professionals have channelled budgets into AI for customer experience optimisation and network planning, not every experiment has delivered transformative results. Giants such as Telstra and SK Telecom have amassed hundreds of use cases, from chatbots to self-healing network trials, yet even they must temper expectations as Gartner reports many firms retreat from full AI-only customer support. Meanwhile, Apple’s recent paper on the architectural limits of large language models and emerging legal challenges against image generators underscore that raw hype cannot substitute for robust underlying technology. These early missteps, however, are nudging telcos to recalibrate, shifting from viewing AI as a silver bullet to treating it as another tool in a broader digital toolkit.
At the same time, low-Earth orbit satellites have flung open a long-standing coverage dilemma. T-Mobile’s beta of its satellite-to-cellular service, powered by Starlink, is slated for full rollout this October, and Vodafone’s partnership with AST SpaceMobile delivered the industry’s first in-orbit mobile video call. Even Amazon’s Project Kuiper has progressed beyond concept with an initial 27-satellite launch, though recent delays offer a sober reminder that space remains unforgiving. From the EU’s IRIS² secure communications contract, an €1.8 billion commitment for 18 medium-Earth orbit satellites, to China’s SpaceSail courting Brazil for a 15 000-satellite constellation, the scramble to dominate non-terrestrial networks is intensifying. This scramble suggests that operators who dismiss satellite connectivity risk missing out on a potent lever for rural expansion and resilience.
Behind the scenes, the migration to open, modular architectures known as ODA has quietly gained traction. The TM Forum’s Open Digital Architecture standard has moved from aspirational blueprint to operational reality, with Verizon and stc Group joining the ranks of operators officially “Running on ODA.” The launch of component-level certification by TM Forum promises to accelerate microservice deployment and cut integration costs, while Cerillion’s own “Ready for ODA” accreditation highlights how BSS and OSS vendors are racing to support this shift. As legacy stacks give way to cloud-native, API-driven ecosystems, those who cling to monolithic platforms may find themselves unable to innovate at the speed demanded by both customers and competitors.
Digital engagement, once limited to basic app updates, has also morphed into a battleground for personalisation and stickiness. AI-driven recommendation engines in mobile portals now suggest tailored bundles based on real-time usage, while “superapps” like Klarna’s nascent phone-plan venture hint at a future where telecom providers double as financial and lifestyle platforms. At MWC 25, partnerships between Whale Cloud and Alipay showcased solutions for mobile wallets across emerging markets, and Verizon Business’s GenAI assistant for SMEs exemplified how telcos can leverage generative AI to enhance support. Yet, for all the progress, few operators have closed the gap on seamless omnichannel experiences, leaving room for digitally native challengers to poach dissatisfied subscribers.
Customer centricity has emerged as the sleeper trend of the year. In the US, both AT\&T and T-Mobile now empower users to switch plans on demand within their apps, while industry-first “bill-shield” guarantees from multiple carriers aim to eliminate surprise charges. Across Europe, regulatory pressure has forced greater transparency in roaming and contract terms, and easy-cancel features from Telecom Italia to Orange demonstrate that putting the user in control can become a powerful differentiator. Virtual assistants capable of troubleshooting and plan upgrades without agent intervention are rolling out, and T-Mobile’s recent self-service SIM swap function underscores how self-empowerment can reduce support costs and drive loyalty.
In stark contrast to the customer-first narrative, cybersecurity has vaulted to the forefront as a critical battleground. The unprecedented leak of over 16 billion credentials across major platforms has jolted the sector, and high-profile breaches, such as the theft of SIM-authentication data for 25 million SK Telecom subscribers, have underscored telcos’ vulnerability. In response, leading operators are embracing AI-driven anomaly detection and zero-trust frameworks, while Europe’s new regulations mandate end-to-end encryption and expedited breach disclosures. As boards demand accountability, those who fail to treat security not as a checkbox but as a core offering risk not only regulatory penalties but the erosion of customer trust.
Taken together, these six quiet revolutions underline a simple truth: telecom’s evolution will be shaped as much by cautious pragmatism as by bold experimentation. For investors, the winners will be those who navigate the tension between hype and reality, who can balance innovation with operational resilience, and who put the customer’s experience and security at the heart of every decision.
Cerillion plc (LON:CER) is a leading provider of billing, charging and customer management systems with more than 20 years’ experience delivering its solutions across a broad range of industries including the telecommunications, finance, utilities and transportation sectors.
