"According to the report, titled "KPMG 2025: Technology & Telecommunications," the top operational growth-oriented priority is "digitization and connectivity," which was cited by 26% of respondents. KPMG says these efforts are focused on modernizing infrastructure to support 5G, satellite, and software-defined networks, as well as AI-as-a-service and cloud-as-a-service. CEOs' decisions are "especially influenced by technological disruption" as they integrate AI into network operations, predictive maintenance, chatbots, and responsible frameworks, KPMG said."
"Deployment of such a powerful technology raises many challenges, though. Top among them are ethical concerns, which were cited by 64% as the greatest barrier to successful AI implementation. Potential pitfalls include AI model bias leading to discrimination against customers, unmet data privacy regulations, and copyright violations from unauthorized usage of intellectual property. Trust in AI is also a huge issue. CEOs favor strong governance over who uses AI, caution in determining which areas of the business use it, and where the data is sourced."
84% of telecommunications CEOs expect positive AI ROI within three years, including 22% within a year. Sixty-two percent plan to allocate 10–20% of budgets to AI-related technology. The top operational growth priority is digitization and connectivity (26%), with modernization for 5G, satellite, software-defined networks, AI-as-a-service, and cloud-as-a-service. Two-thirds of CEOs rate AI as a top priority to accelerate big data analytics, optimize networks, and enhance cybersecurity. Expected benefits include improved decision-making, new revenue-generating products and services, and increased innovation. Major challenges include ethical concerns (64%), trust and governance issues, data readiness (59%), and regulatory gaps.
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