The economics of autonomous networks: $800M reasons to automate in 2025

As we move closer to 2025, the buzz around autonomous networks is getting louder. The concept isn’t new, but the level of commitment and momentum from communication service providers (CSPs) signals a turning point. Over the past decade, CSPs have invested in cloud, automation, and artificial intelligence (AI) to achieve autonomy in their networks. Now, with 2025 on the horizon, CSPs like MTN Group, Orange, and Telefónica are doubling down on their strategies, targeting advanced automation levels. Even global players such as China Mobile, Vodafone, Telenor, T-Mobile, and Verizon are ramping up efforts to enhance efficiency, sustainability, and reliability.

What’s driving this push? It’s not just ambition; it’s measurable benefits. Research from STL Partners highlights an average annual benefit of $800 million for CSPs that embrace autonomous networks. This includes $300 million in capex savings, $350 million in opex reductions, and $144 million in revenue uplift. Notably, unlocking Levels 4 and 5 of the TM Forum’s Autonomous Network Maturity Model accounts for 30% of these gains. That’s a compelling reason to move beyond early stages of automation.

Fully autonomous networks are still the future of the telecom industry, but the momentum is undeniable…so let’s unpack the factors at play.

Security: the non-negotiable foundation

A fully autonomous network doesn’t just automate operations—it must also secure them. Without a strong security foundation, the autonomous network vision fails. Autonomous networks require a Zero Trust approach that includes encryption, authentication, and real-time threat detection. Every layer, from physical infrastructure to cloud resources and applications, must be designed with security in mind.

At Nokia, we embed security into every facet of our Sense, Think, Act framework. Instead of reacting to threats, CSPs can transition to predictive security, where networks proactively identify and mitigate vulnerabilities. This shift is critical for building trust and resilience in a hyper-connected world. Security can’t be an afterthought; it must be a central part of the conversation as CSPs advance their automation journeys.

Cloud-native networks: the unsung heroes

Amid the excitement about AI and automation, it’s easy to overlook the architecture underpinning autonomous networks. Flexible, cloud-native networks are the backbone of this transformation. These modular, scalable architectures allow CSPs to innovate rapidly while optimizing costs.

Omdia estimates that CSPs are already investing $14.7 billion annually—or 4% of industry capex—on cloudifying network functions. Why? Because cloud-native networks offer unparalleled flexibility and resilience. They enable CSPs to scale services in real-time and adapt to shifting customer demands without breaking the bank.

By embracing cloud-native architectures, CSPs are not just simplifying operations—they’re unlocking new avenues for innovation.

AI + automation: a powerful partnership

AI often steals the spotlight, but automation is truly driving operational efficiency. Together, these technologies form the bedrock of autonomous networks. While AI excels at generating insights and enabling intelligent decision-making, automation ensures those insights translate into actionable, scalable processes.

Looking ahead, investments in AI-driven automation are set to grow. By 2028, AIOps is projected to account for 26% of CSP automation spending, according to Appledore Research. The benefits are already tangible. One Tier 1 CSP in EMEA reported a 75% reduction in incidents after adopting AI-driven service assurance over the past decade.

However, the path to automation isn’t uniform. Factors like cloud maturity, existing automation levels, and AI expertise vary across CSPs. The key takeaway? AI and automation aren’t competing priorities—they’re complementary tools that, when combined, set the stage for advancing automation maturity.

Nokia’s commitment to autonomous networks: Sense, Think, Act

At Nokia, we strive to help our customers with our Sense, Think, Act approach to autonomous networks. This strategy combines advanced observability, AI-powered analytics, and closed-loop automation to create networks that are fast, secure, and reliable.

Here’s how we’re making it happen:

• Security-first design: Embedding advanced threat detection and mitigation at every layer.
• Multi-vendor automation: Ensuring seamless operations across diverse network infrastructures.
• AI-driven insights: Leveraging our expertise in RAN, transport, core, and edge to optimize performance.
• Network monetization: Enabling CSPs to unlock new revenue streams through innovations like Network as Code.

The result? A path to zero-touch, zero-wait, zero-trust networks that meet the rising expectations of today’s customers.

Autonomous networks are no longer a distant goal—they’re within reach. For CSPs, 2025 represents an inflection point. By embracing AI, automation, and cloud-native architectures, the industry can transform operations, unlock new revenue opportunities, and deliver a new level of personalized services.