EY: How Telcos Are Driving Enterprise AI Transformation

At MWC Barcelona 2026, one message emerged with striking clarity: telecommunications operators are reclaiming their position at the centre of digital innovation, powered by AI that could reshape both network operations and customer engagement strategies.

For Julie Linn Teigland, EY's Global Vice Chair for Alliances & Ecosystems, the telco sector represents more than just another vertical. In an interview at MWC Barcelona 2026, she outlined how AI is enabling operators to unlock value that extends far beyond traditional connectivity services, positioning them as orchestrators of customer experience.

EY brought its enterprise transformation expertise to Barcelona with a clear focus on how operators can leverage AI across their entire value chain. According to Julie, the convergence of network intelligence and customer distribution channels could mean telcos are uniquely positioned to capitalise on the AI revolution.

Telcos reclaim their innovation lead

"Telco is back because of AI," Julie says. On the network side, AI is enabling efficiencies in how network utilisation is managed and optimised. But the opportunity extends well beyond infrastructure improvements.

Julie explains that operators are recognising they control something increasingly valuable: direct access to customers through their distribution channels. "They can do so much more with it, which means customer support has reached its lowest point in history. It's only going to get better from here," she adds.

This repositioning could mark a significant shift for an industry that has grappled with commoditisation pressures and regulatory challenges. Where telcos once competed primarily on price and coverage, AI-powered customer engagement tools now offer pathways to differentiation through experience and value-added services.

EY's work with operators at MWC 2026 showcased practical applications of this vision. The firm demonstrated solutions from voice AI integrated into customer support platforms to tools that fundamentally redesign how support functions operate.

Julie notes that telco remains a major sector for EY, with the firm's more than 120 technology alliances now prioritising emerging tech companies that can accelerate operator transformation journeys.

Building the AI ecosystem

The complexity of deploying AI at telco scale requires careful orchestration of technology partnerships, according to Julie. "No one technology partner is going to do it all," she says. Operators must stack partners into ecosystems that bring together capabilities across their entire technology infrastructure.

EY's approach involves partnerships with providers including NVIDIA, Microsoft and Snowflake, but Julie emphasises the firm is constantly seeking emerging players. "We're onboarding many more emerging tech companies to support our journey," she adds. Solutions that can bolt onto client services, such as voice AI for customer support or tools for redesigning support functions entirely, represent areas of particular focus.

This ecosystem thinking could prove essential for telcos navigating AI implementation. Unlike other sectors, telecommunications operators must consider how AI impacts network operations, customer service, marketing, product development and regulatory compliance simultaneously.

Responsible AI deployment matters

For telcos deploying AI across customer-facing and network-critical functions, responsible governance cannot be treated as an afterthought. "AI responsibility has to be baked in from the beginning; it is not something you tack on at the end," Julie explains. She argues that boards must establish governance rules and guidance from the top down, with ethical guidelines treated as non-negotiable.

This perspective takes on particular weight in telecommunications, where operators handle vast quantities of customer data and provide services that populations depend upon for connectivity.

Julie also highlights that leadership capabilities must evolve alongside technology deployment. Adaptability and empathy emerge as critical traits as organisations navigate rapid change. "People are going through massive change and we need to take them with us," she says.

The cultural dimension of AI transformation presents specific challenges when agent-human teams become standard. Julie questions how leaders can ensure they drive the desired organisational culture when AI handles recruitment processes. "How are you really certain that you're driving the culture that you want if you're not even personally hiring the people most important for your team?" she asks.

Beyond telecommunications, Julie observes other sectors approaching AI with different priorities. Financial services organisations require higher levels of back-office support due to compliance burdens. Retail faces questions about how to market to AI agents rather than human shoppers.

Yet telcos may hold advantages in moving quickly. Their existing customer relationships, network infrastructure and data assets provide foundations that other industries must build from scratch. The narrative around AI in telecommunications need not focus solely on cost reduction, Julie argues. "There's a whole lot of talk about productivity gains and efficiency in the market – it's almost like a doomsday speak," she explains. "I would love to help us change that narrative because gen AI is going to provide so much upside in terms of new business models and new jobs."

Julie urges the industry to remember historical technology transitions. "When the washing machine was invented, do you think people thought they'd be out of a job, or do you think people celebrated it?" she asks. The internet created entirely new categories of employment that were impossible to predict beforehand. AI could follow similar patterns, particularly for telcos positioned to enable new services and business models. "I think we're too focused on cost takeout efficiency and not enough on new business models, what this means and how many more of us could be entrepreneurs in the future versus today," Julie adds.