Artificial intelligence (AI) has the potential to revolutionise businesses by increasing efficiency and reducing costs. However, AI is still more hype than reality for many businesses; according to IBM, only one out of four AI projects deliver the anticipated return on investment. The technology itself isn’t the cause, but rather the connectivity that underpins it. Even the most sophisticated AI systems cannot function to their full capacity without a fast, secure network.
According to the latest findings from Ericsson’s annual State of Enterprise Connectivity Report, 88% of European business executives believe that in order to fully reap the benefits of AI, a new era of connectivity is required. This is due to the fact that AI needs a network with high bandwidth and low latency to handle their immense data creation and consumption requirements. Thankfully, 5G and Wireless WAN (WWAN) networks can offer the solution and serve as the key facilitators of creativity, adaptability, and long-term business success.
The connectivity gap stalling AI progress
It can take weeks to upgrade a fibre line, and in crowded cities, the process is disruptive as workers dig up roads and pavements to reach the cables – leading to delays and huge expenses. Outdated networks are not only inconvenient, but they can also quickly become unstable under increased strain, which directly affects productivity.
Over one quarter (28%) of businesses link unreliable connectivity to a loss of revenue, whilst a further 46% say it’s driving up operating costs.
However, many organisations still consider connectivity improvements to be an IT problem rather than a board-level priority. As AI becomes deeply integrated into every facet of business operations, that mindset must change. Poor connectivity restricts advancement at every stage, from cloud migrations to the use of AI. To overcome this, businesses must invest in safe, scalable, and future-ready networks that foster resilience if they want to fully realise the potential of AI. In these situations, 5G and WWAN networks are the answer.
From infrastructure to strategic advantage
Connectivity is no longer merely an IT function; it is now a business enabler. 5G is now viewed by 69% of businesses in the UK as the best investment they can make in the upcoming year, surpassing even AI (42%), robots and automation (23%), and more. In the meantime, 87% of Europeans think 5G is essential for increasing R&D and facilitating enterprise-wide innovation.
AI-driven use cases are rapidly developing, but reliable, secure connectivity is essential to their success. Cellular networks are being used by 66% of UK firms to unlock new possibilities – from live-streaming high-quality videos for first responders to AI-powered security systems in retail. Likewise, the low-latency and high-bandwidth of 5G allows greater visibility and real-time insights into critical operations through its ability to support multiple IoT devices at once. For applications that are time-sensitive, the stakes are especially high. For example, in an emergency situation, even minor delays can have life changing consequences, so a robust network infrastructure is not only advantageous but essential.
The focus is also on sustainability. 71% of companies claim that their capacity to collect emissions data is hampered by unreliable connectivity in remote areas. Laying a fibre cable to these areas is often costly and would take too long to be of use. Whereas cellular connectivity is quick to install and can be controlled remotely through cloud-based tools, enabling monitoring and IoT devices to be installed across facilities, landscapes where needed. Centralised management of the network allows resource-constrained teams to easily install and manage.
AI and connectivity: accelerating each other’s potential
According to 85% of companies, AI is already enhancing network performance, so the advantages are not all one-way. Given its capacity to analyse vast volumes of data and identify anomalies, it can decrease the stress on IT workers and secure networks.
More organisations are turning to AI to transform wireless WAN (WWAN) and private 5G from basic infrastructure into sophisticated systems that maximise performance and improve resilience There are already instances in the market of AI predicting traffic patterns, managing network resources efficiently, and being able to determine root causes of network issues with the recommended remediation. These tasks free up your IT teams to focus on more critical business objectives.
Not only can AI help maintain current WWAN performance, but it can also help top decision makers plan for their network’s future. Using AI for data analysis, automation, and predictive insights will provide more detailed input into network operations decisions covering costs, performance and optimisation.
Building AI’s future on the foundation of reliable networks
Industries could undergo a serious transformation thanks to AI, but only if the necessary infrastructure is in place. Since businesses now need modern, reliable connection, networks like 5G and WWAN are essential growth enablers.
We’re just starting to see what may be achieved when connectivity and AI are combined. In order to foster innovation and increase company value, businesses need to view them as a strategic partnership.
Paul McHugh
Paul McHugh is Head of Sales EMEA at Ericsson Enterprise Wireless Solutions.
An Enterprise sales leader with two decades’ experience in IT software and services, driving growth across global markets and diverse industries, Paul is skilled at building strong client relationships, leading high-performing teams, and negotiating at senior level to deliver sustainable business results.
