The telecommunications industry stands at a pivotal crossroads as emerging technologies and evolving business models transform how service providers operate. Drawing on expert insights from Dario Talmesio, Research Director at Omdia specializing in Service Provider Strategies this article explores three critical developments reshaping the telco landscape: the structural reorganization of telecommunications companies, the revolutionary potential of 6G networks, and the transformative impact of AI and network APIs.

The Evolving Structure of Telecommunications Operators

Today's telecommunications landscape is witnessing a fundamental shift in operating structures. According to Omdia's market analysis, the industry is moving away from traditional integrated operators toward three distinct models:

• Utility Operators: Focus primarily on infrastructure and connectivity provision
• TechCo Operators: Position themselves as technology players offering services beyond basic connectivity.
• Orchestrators: Operate in the middle ground, coordinating various telecommunications services

This evolution represents more than the traditional Servco/Netco separation. The TechCo model particularly emphasizes telecommunications companies becoming technology providers that deliver services extending beyond connectivity in both consumer and enterprise segments. As Talmesio notes, the enterprise side has seen more prominent development with offerings like security and cloud services.

Meanwhile, infrastructure separation continues across the industry with many operators pursuing strategiesranging from simple separation to divestment or co-investment models. This trend toward specialized operating structures is expected to continue as telecommunications companies seek operational efficiency and strategic focus. But there will be cases where telecom operators will want to get back into the economics of ownership.

6G: Building Intelligence Into Networks From Day One

The early discussions around 6G reveal several significant departures from previous network generations:

• AI Integration From The Start
• Unlike 5G, which is incorporating AI as an afterthought, 6G will have artificial intelligence embedded in its core architecture from the beginning. This fundamental difference promises networks that are easier to manage, more cost-effective to operate, more energy-efficient, and potentially less expensive to run.
• Non-Terrestrial Networks (NTN)
• Satellite networks will be an integral part of the 6G standardization process from its inception. While 5G has begun incorporating some satellite capabilities, 6G will address this feature comprehensively from the start, enabling truly global coverage.
• Regional Perspectives
• There's a notable contrast in enthusiasm for 6G between regions. Asian operators and some North American companies show significant excitement about 6G's potential for transformative change, while European operators demonstrate less appetite for 6G, particularly regarding the introduction of new core technologies.
• New Device Form Factors
• While previous mobile networks were designed primarily for smartphones, 6G will take a broader approach from the outset. With the rise of AI traffic and XR (extended reality) devices, 6G networks will be architected to support diverse device types and traffic patterns beyond traditional mobile usage.

Talmesio also highlights an important lesson from 5G regarding consumer services. While 5G heavily emphasized enterprise applications, it largely ceded digital consumer services to hyperscale operators and big tech companies. For 6G to succeed where 5G has struggled to excite consumers, telecommunications companies must ensure the technology isn't developed exclusively for enterprise applications.

Agentic AI: Beyond Simple Automation

The telecommunications industry is moving beyond basic automation toward truly intelligent network operations through agentic AI. Unlike traditional automation systems that follow prescribed rules, agentic AI systems act independently, make decisions, collaborate with other systems, and apply intelligence rather than following predefined options.

This represents a significant step change in how networks are deployed, run, and operated. However, implementing agentic AI comes with substantial challenges:

• Skill gaps within telecommunications organizations
• Data quality concerns
• Privacy and security considerations
• Governance questions around agent operations and alignment with corporate values

Despite these challenges, successful implementation of agentic AI could revolutionize telecommunications operations, creating unprecedented efficiency and innovation opportunities for service providers.

Network APIs: Bridging Telecommunications and Developers

Network APIs represent a critical development for the telecommunications industry's future relevance. While significant progress has been made, substantial work remains in both northbound (application-facing) and southbound (network-facing) implementations.

Industry alliances are creating aggregation layers between service providers and the market, but the focus must remain on the core value proposition: enabling application developers and enterprises to enhance their processes, security, and user experiences through telecommunications capabilities.

Market forecasts from Omdia suggest the network API market could reach approximately $9 billion, but achieving this potential requires:

• Making APIs easily discoverable by developers
• Ensuring APIs are simple to implement
• Creating commercially viable operating models
• Reaching the "long tail" of developers who need access to these capabilities

For telecommunications companies, network APIs represent not just a revenue opportunity but an existential necessity to remain relevant in the digital ecosystem.

Dario Talmesio's Perspective

As Research Director at Omdia focusing on Service Provider Strategies and Regulation, Talmesio brings valuable insights to these telecommunications trends. His expertise spans structural business models, next-generation networks, artificial intelligence applications, and API strategies. While not specifically mentioned in relation to the Network X Content Council, his thought leadership clearly influences industry understanding of these critical developments.

The telecommunications industry is undergoing profound transformation across multiple dimensions. Service providers must navigate structural reorganization, prepare for 6G's AI-centric approach, implement intelligent operations through agentic AI, and develop accessible network APIs. For telecommunications executives, these interconnected developments demand strategic vision and operational agility to position their organizations for success in an increasingly complex digital landscape.