The use of AI is transforming telecom operations and allowing businesses to transition beyond traditional connectivity services. AI-driven automation is optimizing network efficiency, lowering operational costs, and delivering better customer experience through predictive maintenance and smart chatbots. Telecom businesses are ensuring smooth operations, stronger security, and quicker response times by incorporating AI-led solutions.

Makoto Takahashi, president and CEO of Japanese telecom giant KDDI, spoke about plans to build a smart city dubbed Takanawa Gateway City in Tokyo and to roll out direct-to-cell satellite internet connectivity in partnership with Elon Musk’s Starlink venture.

The Evolution from Dumb Pipes to Smart Networks

Telecom operators have been accused for years of being “dumb pipes”—operators that simply delivered network infrastructure while technology giants collected the revenues from online services. But that is changing as the transition from dumb pipes to smart networks is now well underway. AI-powered analytics, machine learning, and automation are enabling telcos to transform into intelligent service providers that can offer personalized solutions, ranging from cloud computing to edge computing and IoT services.

With AI, telcos are shifting towards predictive network management, where networks can identify and fix problems before they affect users. This proactive strategy not only enhances service quality but also enables operators to minimize downtime and maintenance expenses.

Ralph Mupita, the CEO of Africa’s largest mobile network operator MTN, “The telco business has served us well. It has iterated since. But the future is really about the future of platforms.”

The Role of Satellite Internet Providers in Telecom

As telcos adopt AI, satellite internet providers within the telecom industry have been significantly contributing to extending connectivity. Organizations such as SpaceX’s Starlink and Amazon’s Kuiper are using AI-based analytics to ensure improved satellite coverage and data transmission speeds. Such development is highly impactful in rural and far-flung regions, where traditional infrastructure within a network is still poor.

Despite these innovations, these developments have greatly affected telecom companies so that their role has become more similar to infrastructure providers than as central players in the industry. Therefore, they are perceived more as relics that only fix and construct network connectivity. Such a view has characterized the telecom industry as “dumb pipes.”

Hatem Dowidar, CEO of UAE state-owned telecom company e& said, “I remember early in the industry, even before mobile internet when SMS used to be the killer app. All this over the years got disrupted by over-the-top players, to the point that today, a lot of telcos around the world are reduced to being a pipe of packets just getting data across the networks. And competition is not staying still. They have the scale, they have the investment to go and disrupt even further.”

The Telco to Techco Transition

The telco to techno evolution is no longer a choice—it’s a survival imperative in a digitally driven world. Telecom behemoths like Verizon, AT&T, and Vodafone are making significant investments in AI, cloud computing, and IoT to reframe their business models. As telcos adopt AI-based solutions, they are increasing the scope of their products and services beyond classic voice and data offerings, venturing into cybersecurity, cloud offerings, and enterprise solutions.

Over the last two decades, the big tech companies such as Meta, Google, Amazon, Apple, Microsoft, and Netflix have flourished in a world where content is available instantly, communication is easy, and storage or streaming of data occurs easily—all thanks to innovations like the internet, smartphones, and cloud computing.

The AI transformation is changing the sector, allowing companies to move away from legacy network providers to become technology-driven companies. As evolution from dumb pipes to smart networks, AI-powered automation, and the growing role of satellite internet providers in telecom, the sector is undergoing a huge shift. AI will continue to be at the center of innovation, propelling new possibilities and defining the future of global connectivity.

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The entry of Starlink satellite internet into the Indian market comes at a time when US and Indian officials are discussing a trade deal. The US has said it will impose retaliatory tariffs on India starting April 2.

Expanded Internet Coverage

By the close of 2024, Starlink had about 4.6 million subscribers across the globe. SpaceX wanted to launch Starlink broadband services in India in 2021. However, the company encountered regulatory challenges that delayed its debut in the Asian country.

Analysts have taunted the Jio and Airtel Starlink deals as critical in expanding satellite internet coverage in India. However, the agreements between SpaceX and the two telcos remain conditional and await Starlink’s approval in India before commencing operations. Bharti Airtel and Jio plan to leverage Starlink and their mobile networks to make broadband internet services accessible to businesses and communities in remote regions.

Jio says it will facilitate supply of Starlink equipment in India through its retail outlet network and digital stores. The company will also provide installation services. Although Airtel plans to do the same, it will be leveraging its deal with Eutelsat OneWeb to expand connectivity. Eutelsat OneWeb is a Starlink rival. Prior to the latest deal, Jio was considered Starlink’s major rival in India’s satellite internet market.

Musk’s Influence

Tech analyst Prasanto K. Roy says the decision to allocate satellite spectrum as opposed to auctioning it may have been influenced by Musk’s proximity to the US government. Globally, India ranks second in terms of internet market size. However, about 48% of the 1.4 billion people in the country have no access to the internet.

Previously Airtel and Jio owners billionaires Sunil Bharti Mittal and Mukesh Ambani had opposed Musk’s request to allocate satellite spectrum administratively. Musk wanted the spectrum to be allotted to ensure alignment with global standards. On their part, the telco owners wanted the spectrum actioned as opposed to being bid competitively.

Musk got his way when the government of India announced that the satellite spectrum would be assigned administratively. The decision came after Musk met Prime Minister Narendra Modi last month in Washington. During the meeting, the two discussed potential cooperation in mobility and space technology.

The Pricing Factor

If the Indian government approves SpaceX’s deal with the big telcos, Musk could access up to 70% of mobile users in the Asian country. The tech billionaire has been looking to enter the Indian market for some time now.

“Starlink is a clear winner here, Musk has been eyeing a presence [in India] because its size will also give him economies of scale,” Counterpoint Research Analyst Tarun Pathak says.

The two partnerships also provide an easy avenue for Starlink to comply with data localization regulations in the country. But pricing of internet services will be key considering that mobile data in the country is among the lowest across the world.

Satellite broadband internet plans are quite high – about $150 per month. Mobile data, on the other hand, costs about $2. SpaceX partnership with Jio and Airtel may help reduce satellite internet plans downs.

“Pricing may be better from Musk’s point of view and not rock-bottom, with Jio and Airtel offering the same services. Jio was hoping that it would raise the entry barriers for others by pressing for the auction route. But since that hasn’t happened, they must have felt it is better to change tack and do a tie-up,” Roy added.

Starlink provides broadband internet access areas within the satellite’s coverage. This makes satellite internet more reliable in rural or remote areas where conventional services like DSL that rely on telephone lines or cable to transmit data.

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Brazil is also in discussions with project Kuiper Internet service initiated by Bezos and Telesat, a Canadian satellite internet firm.

The Starlink Advantage

Musk-owned Starlink Communications has been launching satellites into low-Earth orbit (LEO), an altitude that’s less than 2,000km away. All its competitors have been installing satellites at higher altitudes. At the low altitude, satellites are extremely efficient at transmitting data. This enables the company to take nex-gen satellite connectivity to communities in remote areas, militaries during war, and seafaring vessels.

“The space world is moving fast and busy experimenting. Pioneers are enjoying this relative freedom and are shaping it to their advantage to claim key positions before rules become more stringent – like the wild west,” Global Head of Space at Analysys Mason Consultancy, Antoine Grenier said.

Beijing sees Musk’s dominance in space as a big threat as it finances military research, invests heavily in rivals and tracks satellite constellations. According to tech consulting firm Analysys Mason, China launched 263 LEO satellites last year alone.

The Brazilian government has welcomed the emerging Starlink competition as the country seeks to bring high-speed internet connection to communities living in far-flung areas. The south-American country has previously had a standoff with Musk over politics and commerce.

Starlink vs. Chinese Satellite Internet

The attention of military researchers in China has been captured by Starlink’s fast expansion and its use by the Ukrainian military. This has prompted significant financing of rival satellite networks by the Chinese government.

For instance, Hongqing Technology is working on a 10,000 satellite constellation. Founded in 2017, this company raised about 340 million yuan this month from investors who are mostly affiliated to the state.

In 2024, a financing round that was led by an investment fund that’s owned by the state raised about $930 million for SpaceSail. The focus of this fund is to upgrade China’s manufacturing capacity. Researchers in China, particularly those that are linked to the People’s Liberation Army are increasingly interested in satellite internet.

In 2023 alone, China published 2449 patents relating to LEO satellite technology, compared to the 162 published in 2019. Majority of these patents related to low-latency communication and cost-efficient networks.

Some of China’s published research hits out at Starlink with one of them terming Musk’s system a threat to data, network, and military security. The Chinese government is creating tools to monitor and track Starlink’s satellites. Last month, researchers from two institutes indicated that they had developed an algorithm for monitoring huge constellations like Starlink.

“With the growing trend of space militarization, developing tools to monitor and track these mega constellations is critically important,” the researchers in one of the studies published in the Chinese engineering journal.

The Global Satellite Internet Race

Few Starlink rivals are as ambitious as China’s SpaceSail. Controlled by the municipal government of Shanghai, this satellite internet company plans to deploy up to 648 LEO satellites by the end of 2025 and about 15,000 satellites by the year 2030. Currently, Starlink has deployed about 7000 satellites and is targeting to launch 42000 more by the end of this decade.

“The endgame is to occupy as many orbital slots as possible,” Space Technology Expert Chaitanya Giri said.

Last year, a Chinese newspaper reported that SpaceSail “capable of transcending national boundaries, penetrating sovereignty and unconditionally covering the whole world, a strategic capability that our country must master.”

China has three other satellite internet constellations under development. Beijing plans to launch an additional 43,000 LEO satellites in the next decades. China also plans to invest in rockets that have the capacity to carry multiple satellites.

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According to Reuters, President Eiichi Yonekura, SKY Perfect JSAT said, “The firm will most likely see deeper ties with SpaceX.” after announcing the investment of $230 million in Planet Labs’ Pelican. Pelican is a low Earth orbit satellite to support the expansion of its satellite imagery business.

SpaceX Satellite Launches

President Donald Trump has supported private space ventures in his previous term as well. This makes industry players believe that in his second term, Trump may bring better administration policies on space. These new policies improve the regulatory support and funding for commercial spaceflight activities. Such conditions will create satellite operators’ new business opportunities worldwide.

SpaceX’s satellite launches have played an important role in increasing global connectivity, and further government support is likely to fuel more development of space infrastructure. This aligns with the aspirations of Asia’s largest satellite company, which views a close collaboration with Internet giant SpaceX as an important factor in the expansion of satellite-based internet services. Even though the failure of the SpaceX Starship test in Texas launch has raised concerns.

In earnings briefing Yonekura said, “The rapid advancement of SpaceX is never a negative factor for our growth.” talking about the dependence of SKY Perfect JSAT on Space X.

SpaceX’s Expansion

Industry leaders believe SpaceX will continue to develop more space technologies under Trump. This means that better market access can be provided to international partners. The agreement between global satellite companies and internet giant SpaceX already changed the structure of communication networks; further development can enhance services reliability and price competitiveness in the Asian region.

Talking about the IQPS, which JSAT owns a minority sharein, Yonekura said, “we are probably the biggest SpaceX customer in Asia … and Planet’s Pelicans basically use Falcon 9 for launches.”

A spokesman for Asia’s largest satellite firm said the greater availability of satellite launches from SpaceX would provide increased satellite access to more remote locations, benefiting business and consumers there. Increased investment in space-based communications could potentially strengthen digital infrastructure and economic development across Asia.

Trump Administration Space Policies

The first Trump presidency was characterized by significant deregulation in the space sector, whose policies were focused on encouraging private investment and the reduction of bureaucratic barriers. Analysts predict a second term that would continue this trend by further accelerating commercial launches and deep-space exploration initiatives.

Key elements of the Trump administration space policies have included support for NASA’s Artemis program and a focus on public-private partnerships. Sources say that Musk’s closeness to Trump could also result in the axing of the National Space Council.

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Lay the Foundation for
Stronger Data Security

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CAMBRIDGE UNIVERSITY –
DATA INTENSIVE UNIVERSITY
RESEARCH FINDS VALUE WITH
OPEN STORAGE

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Fox Turns to TrueNAS for
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of TV Shows and Movies

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Growing Pains Turn into Great Gains - Fostoria City School District’s Early Adoption of Fiber Networking Pays Off

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Regulator Concerns

The two companies unveiled their merger plans, which involves a $19 billion transaction, in June 2024. The CMA initiated its first probe in January 2024 before conducting an in depth scrutiny in the month of June. Prior to the scrutiny, the CMA collated industry feedback and conducted market analysis.

The CMA later released its provisional findings in the month of September. In the findings, the regulator stated that the Vodafone-Three mobile merger could push prices up for customers, reduce investment in British mobile networks, and diminish mobile network services. Even with these findings, the regulator did not block the deal. Instead, it proposed remedies to fix its concerns.

“Having carefully considered the evidence, as well as the extensive feedback we have received, we believe the merger is likely to boost competition in the U.K. mobile sector and should be allowed to proceed- but only if Vodafone and Three agree to implement our proposed measures,” the CMA said in a statement.

Conditions for Approval

The CMA approved the UK telecom merger subject to various conditions. The regulator stated that the two merging parties have to sign binding agreements to invest billions of pounds towards expansion of 5G in the UK. In the short run, the CMA wants the newly merged entity to cap specific mobile tariffs over the next three years.

During this period, Mobile virtual network operators are to continue with pre-set contractual terms. Vodafone expressed optimism in the new merger, saying that it paves way for the entry of a new force in the British telecom market.

“Consumers and businesses will enjoy wider coverage, faster speeds and better-quality connections across the UK, as we build the biggest and best network in our home market. Today’s approval releases the handbrake on the UK’s telecoms industry, and the increased investment will power the UK to the forefront of European telecommunications,” Vodafone Group CEO Margherita Della Valle said in a statement.

On its part, the CMA underscored the need to maintain competition in the telecommunication sector. “It’s crucial that this merger does not harm competition, which is why we’ve spent time considering how it could impact the telecoms market,” CMA Inquiry Committee Chair Stuart McIntosh said.

Both the CMA and UK’s regulator for telecommunication competition, Ofcom, will oversee implementation of the agreed conditions.

Behavioral vs Structural Changes

The remedies that the UK regulator agreed with Vodafone and Three were more behavioral as opposed to structural. Legal experts argue that structural changes would have included proposals like disposing off infrastructure or divesting specific business units. The CMA had previously suggested structural changes. It later dropped the idea.

“CMA’s decision is not a surprise, it has signaled for some time that it was receptive to approving the merger subject to appropriate concessions from the parties,” Fladgate Law Firm Partner Alex Haffner said.

Haffner added that CMA’s decision to approve the Vodafone-Three merger based entirely on behavioral remedies appeared to be a departure from the norm- not just in the UK, but also in Europe. He said in the last decade, several ‘4-3’ mobile network mergers were approved only on the basis of serious structural changes agreed upon by the merging parties.

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Cybersecurity
Compliance:
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Cybersecurity
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Cybersecurity
Compliance:
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