APAC Telcos at AI crossroads: From ambition to execution

Telecom operators across APAC are at a decisive inflection point. Investments in 5G and digital platforms promise growth, yet legacy revenue streams are flat. Meanwhile, artificial intelligence has moved from experimentation to business-critical capability. The question is no longer whether to adopt AI, it’s how to implement it at scale, in a talent-constrained, regulated environment.

AI is no longer optional

Customers in APAC increasingly expect intelligent, frictionless digital experiences. Regulators in Singapore, Australia, Hong Kong, and wider APAC are tightening fraud prevention and data compliance rules, amplifying operational pressure. AI promises to tackle both commercial and regulatory challenges.

Globally, AI impacts around 19% of telecom use cases, expected to reach 48% in two years. In APAC, adoption is slightly ahead, yet scaling remains a challenge.

Talent is the biggest barrier. A 2025 NVIDIA survey of 450+ telecom professionals found 43% cite talent shortages as the main hurdle, even as 84% report AI has already boosted revenues 77% said it had reduced costs.

FDM’s Workforce 2.0 research found that 58% of organisations have limited or early-stage AI proficiency, and only 6% report high proficiency. This gap between ambition and capability reinforces the need for targeted upskilling and talent development.

Where AI is delivering real value

AI is driving measurable outcomes across three critical areas:

• Customer experience: With 24/7 availability Generative AI chatbots and virtual assistants reduce handling times and query resolution rates, and improve satisfaction scores
• Network operations: Predictive models optimise maintenance, help prevent failures, and reduce downtime. Over the past year surveyed telco professionals report network utilisation has improved by 32%
• Fraud detection & security: AI detects anomalies in real time, from SIM swaps to suspicious transactions, helping operators meet compliance requirements

These initiatives are producing tangible results: 77% of APAC telcos report reduced operating costs, and over 80% see revenue gains from AI projects.

The execution gap

Despite clear potential, scaling AI from pilot to enterprise remains difficult, with 90% of AI projects failing to deliver ROI. The challenge isn’t strategy—it’s workforce readiness. Successful AI initiatives require multi-disciplinary talent: engineers fluent in cloud and automation, data scientists with deep telco expertise, and consultants who embed compliance into solutions.

Regional factors intensify the challenge:

• Singapore: Privacy and fraud regulations require compliant-by-design AI
• Australia: Operators must balance competitive pressure with rural coverage commitments
• Hong Kong: Legacy IT systems and investor expectations complicate delivery

Without the right talent and frameworks, AI projects risk stagnation, wasting both investment and opportunity.

Bridging the gap with FDM

FDM’s Skills Lab integrates AI fluency into consultant training, including hands-on sprints in agile Pods. Consultants learn when and how to use AI responsibly, reinforcing human-in-the-loop practices and preparing them for hybrid roles in telecom environments.

“AI fluency is a skill that will be expected in the same way Microsoft applications like Word, Outlook, and PowerPoint are.”

– Gangotri Bhatt, Director, FDM Skills Lab, UK & EMEA

FDM helps telcos move from AI ambition to measurable results with:

• Pre-trained, AI-enabled consultants: Skills such as software engineering, cloud, data, or enterprise platforms (SAP, ServiceNow, Salesforce, Pega), with hands-on AI and automation experience.
• Flexible delivery pods: Teams scale according to project needs—from a single specialist to a multi-functional delivery pod.
• Proof-of-concepts: Rapid pilots, such as real-time AI video translation or secure enterprise messaging, validate solutions before scaling.

This model bridges the talent gap, accelerates deployment, and ensures AI delivers measurable impact.

Get started with FDM

Delivering solutions for telco leaders

FDM delivers next-generation tech talent to drive innovation across the connected technology landscape. From eSim upgrades to satellite communications testing and defence technology solutions, our consultants have supported over 25 telco clients across all key communications functions.

Leading satellite communication service provider: Integration Test Engineers execute acceptance campaigns and develop automation for global airline programmes.

British mass media and telecommunications company: Agile teams develop network automation tools with Java and Django to reduce testing time and modernise applications.

Independent UK full-fibre network provider: Engineers and delivery professionals enhance customer-facing products and internal platforms using AWS, Salesforce, Python, and ServiceNow.

ICT infrastructure provider to UK military: FDM Consultants support secure network connectivity with voice, video, cloud, and WAN services, ensuring compliance and operational excellence.

“I’m responsible for the full suite of test documentation, from planning through to execution, ensuring our solutions are secure and fit for purpose.”

Jack Stephenson, FDM Test Specialist with one of the UK’s largest network providers

Jack performs wide-ranging voice and video communication testing, including playing a key role in delivering a complex 14-month project that laid the groundwork for future innovation.

The future of APAC telecom

FDM’s white paper highlights that over 54% of organisations believe AI fluency will be embedded into all early-career pathways. This aligns with the telco sector’s shift toward autonomous networks and AI-powered services, where early talent must be AI-ready.

The pace of AI adoption will define the market leaders in the next two years

Companies that implement AI early and rapidly can benefit from multiple advantages including:

• Autonomous networks: AI-driven operations moving from pilot to production
• New revenue streams: API monetisation and AI-powered digital services beyond connectivity
• Sustainable AI: Energy-efficient and compliant deployments
• Integrated services: AI-powered customer experience, network optimisation, and security delivered seamlessly

Operators that execute effectively will transform from connectivity providers into innovation platforms. Those that lag risk becoming sidelined as generic providers in a crowded market.

Conclusion

AI is now a core strategic component for APAC telcos to stay competitive.

The main hurdle isn’t ambition, it’s execution. Who will move fast enough to lead? Talent shortages, regulatory pressures, and complex networks demand a partner capable of turning strategy into measurable results.

FDM provides the bridge: AI-enabled consultants, scalable delivery pods, and proof-of-concept capabilities that translate AI ambition into impact.

Book your discovery call with FDM today and unlock the full potential of AI for your business.