AI and 5G
A Force Multiplier, or Lost Opportunity? (Part 2)
Yesterday we shared an idea, today we’ll go deeper on the why, what, how, and who. Ecosystems are critical to the success of platforms. As we shared yesterday, this initiative is possible because of the pioneering support from 5G OI Lab alumni such as Archetype AI, Radium Cloud and Graphiant in addition to partners such as Accenture, Dell Technologies, Amdocs, and SamsungNEXT. The launch of our skunkworks lab KhasmX, fosters unconventional ideas, free from the constraints of traditional corporate structures and necessary for initiatives like this to be developed and market tested.
Partnerships through SamsungNEXT’s strengthens KhasmX’s position. “KhasmX is the only place that knows solution developers, has the ecosystem startups, and can generate easy-to-use solutions that unlock rev ops for telcos. KhasmX is uniquely positioned to address the hurdles telcos face in evaluating startup innovations. Their reference architectures combine their expertise in systems integrations and global ecosystem of startups into prepackaged solutions, making it easy for telcos and startups to work together” says Raymond Liao, Managing Director at Samsung NEXT. We agree Raymond, thank you!
The Blue Ocean of AI & Telco
When we first launched the Lab in 2019, a Telco executive once told us that there’s “simply no way” a Telco would enter the Cloud market. Given the current market opportunities, it’s time to challenge past norms and redefine the role of Telcos. The software ecosystem has fundamentally transformed various industries — from how Netflix disrupted the entertainment sector to how Amazon revolutionized retail and cloud computing. Tesla has redefined the auto industry, not just by mass-producing electric vehicles but by revolutionizing the entire driving experience through software. No industry is immune to change.
As W. Chan Kim and Renée Mauborgne eloquently wrote in Blue Ocean Strategy, “In the red ocean, industry boundaries are defined and accepted, and the competitive rules of the game are known. Here, companies try to outperform their rivals to grab a greater share of existing demand. As the market space gets crowded, prospects for profits and growth are reduced. Products become commodities, and cutthroat competition turns the red ocean bloody. Blue oceans, in contrast, are defined by untapped market space, demand creation, and the opportunity for highly profitable growth.” It’s time for Telcos to explore their blue ocean and seize the opportunities within the software ecosystem. Telcos are exploring GenAI capabilities for improving network automation and enhancing customer service experiences. These are fantastic opportunities for improving their operations, but why stop there? The market conditions for GenAI as it relates to mobile applications will play out much faster than we anticipate. If Telcos don’t invest now, it will be much harder and more expensive to catch up.
Why now matters
The AI ecosystem is seizing the opportunity to integrate AI capabilities directly into devices, creating a paradigm shift in how we interact with technology. Canalys projects that “19% of PCs shipped in 2024 will be AI-capable, escalating to 60% by 2027, with a strong inclination towards commercial adoption”. This rapid growth is driven by the incorporation of specialized AI chipsets, such as Qualcomm’s Hexagon Tensor Accelerator, Apple’s Neural Engines, Intel’s Movidius VPU, and AMD’s APUs. The trend began with the Huawei Mate 10 in 2017, the first mobile device to feature an NPU within its Kirin 970 chipset. The hardware ecosystem recognized this shift over seven years ago and has been preparing for the future. Mirroring this hardware evolution, the software ecosystem is also adapting, with companies like Latent AI and Nimble Edge, the latter developing software-defined neural networks for AI/ML workloads on devices. Clearly both hardware and software ecosystems have read the memo on the AI potential and have invested in positioning for it.
Ecosystems act like canaries in the coal mine, serving as early indicators of what lies ahead. There’s no question AI has a bright future, the question the Telco industry has is whether jumping in the stream of opportunity is where they want to play or sit on the shores watching others enjoy the float.
What’s in the Telco AI Cloud “stack”?
A key design principle of the stack is that AI data traffic should be separated and routed outside the Telco core network. To optimize infrastructure and reduce the burden on core network operations, it is essential to direct AI data traffic directly to and from the service, bypassing the core entirely. This approach brings cloud capabilities to the Telco network without necessitating heavy investment in new architecture. We believe a Telco’s commitment is limited to providing ping, power, pipe, rack space, and location(s). If strong market signals and demand prove out, this scalable architecture can be extended to additional locations; think scale units of compute across a network fabric.
What’s next?
Thanks to our partnership with Dell Technologies, we have secured the initial server hardware to launch the platform. We’ve worked hand in hand with Archetype, Radium, and Graphiant to integrate their platforms, ensuring readiness for deployment within a Telco network in the coming months. This relocation will enable us to fully test and refine the platform in a real-world environment.
As you can imagine, developer outreach and engagement are critical to our success. To support this, we will be hosting virtual developer training sessions, providing in-depth tutorials and hands-on experience to familiarize developers with our platform’s capabilities.
We know what we know, and we don’t know what we don’t know. This initiative is about pushing boundaries, learning through experimentation, and uncovering the true potential of AI in telecommunications. The future of AI and 5G convergence is vast and largely uncharted, and we are excited to navigate it together. By experimenting with how much of the AI opportunity makes sense to run on Telco networks, our goals is to unlock new advantages for developers and create significant impacts for end consumers of mobile apps.
Insights from Archetype AI and Radium Cloud
As we dig into the opportunities that AI and 5G present, it’s crucial to understand the implications for Telcos and the importance of acting now. We recently spoke with two Lab-Alumni: Nick Gillian, Co-Founder & Head of AI at Archetype AI, and Vijay Gadepally, Co-Founder & CTO at Radium Cloud, who shared their perspectives on the future landscape and the pivotal role Telcos can play.
Archetype AI: Amplifying the Impact of Real-World AI
Archetype AI emphasizes that the most significant problems humanity faces are rooted in the real world. The surge in generative AI capabilities is pulling us into real-time sensing through cameras and mobile devices, resulting in a massive influx of data traffic. This transformation positions Telcos to become more than just conduits for data. By providing the infrastructure to manage edge workloads and streaming data, Telcos can evolve from being “dumb pipes” to key players in the AI ecosystem.
Imagine AI models not only developed but also deployed at the edge via Telco networks. This integration would enable real-time processing and decision-making, driving innovation across various industries. Telcos could leverage their extensive networks to offer edge AI services, making them indispensable in the AI-driven future.
Radium Cloud: Embracing a Hybrid Solution
Radium Cloud underscores the necessity for Telcos to adopt a hybrid approach, combining the strengths of both edge and central cloud computing. Given the rapid evolution of AI models, pushing everything to the edge can be cost-prohibitive. Instead, Radium proposes a centralized hub that exposes raw compute and services to Telcos. This setup allows GPUs to aggregate data at the edge while utilizing the central cloud for more intensive processing.
This hybrid model offers scalability and flexibility, enabling Telcos to manage latency-sensitive applications at the edge while handling large-scale data aggregation across multiple geographic locations. Radium Cloud, with its expertise in running these services, exemplifies how Telcos can optimize their infrastructure to balance between network and cloud computing efficiently.
Call to Action: Come sandbox with us!
The insights from Archetype AI and Radium Cloud highlight the need for Telcos to rethink their strategies and embrace the AI revolution. Our new KhasmX site will launch tomorrow (Wednesday July 10th). In the interim send us an email at telcoaicloud@khasmx.com to be added to our mailing list.
Reach out to Archetype AI to see how you can transform the data from any real-world sensor into value; transforming security cameras from mere video recorders into intelligent safety monitors that can understand and act; expanding every CO2 sensor into a respiratory health monitor; and supercharging every vehicle’s motion sensor to map and report potholes across a city before they become a problem.
Radium Cloud is at the forefront of transforming Telco networks with cutting-edge AI solutions. Don’t miss out on the opportunity to revolutionize your network infrastructure and unlock new revenue streams. Join Radium Cloud today and be part of the AI-driven future. Visit Radium Cloud now to learn more and sign up.
Join us at the forefront of AI and telecommunications innovation. Sign up now to be a part of the Telco AI Cloud initiative and shape the future of connectivity by experimenting with endless possibilities.
