Analysis: Nvidia–MediaTek Deepen AI Platform Collaboration -What it Means for AI RAN & DCI

Executive Summary:

Nvidia has expanded its partnership with Taiwan based semiconductor firm MediaTek, committing $3.5 billion to a bond investment the two companies describe as a deepening of their “longstanding collaboration to build the next generations of AI computing platforms.” The move extends Nvidia’s pattern of strategic capital deployment across its compute ecosystem, this time reaching into custom silicon and advanced packaging.

According to the announcement, the collaboration couples Nvidia’s accelerated computing, AI, graphics, and software stack with MediaTek’s capabilities in custom silicon, high-performance computing (HPC), system-on-chip (SoC) design, and advanced packaging. MediaTek vice chairman and CEO Rick Tsai framed the investment as reinforcing a relationship spanning “cloud AI infrastructure, local AI computing and automotive in the era of physical AI,” combining Nvidia’s accelerated-computing and AI software ecosystem with MediaTek’s AI technology portfolio and custom-silicon resources.

Over the past several years, MediaTek has repositioned itself from a supplier of predominantly mid- and low-tier handset chipsets into a presence across smartphones, AI data centers, automotive, and IoT. Securities firm Yuanta Financial Holdings expects the closer alignment to accelerate MediaTek’s transition from edge AI into data-center infrastructure, device-based AI computing, and automotive platforms.  Trading in MediaTek shares was suspended on the Taipei exchange Tuesday after the stock hit its daily 10% upside limit. The shares closed at NT$4,315 (about US$136.05), reflecting investor enthusiasm for the deepening of the collaboration.

NVIDIA and MediaTek are collaborating in three major areas:

  • AI infrastructure: MediaTek will work with NVIDIA’s NVLink Fusion ecosystem to enable customers to develop custom AI infrastructure designed to integrate with NVIDIA rack-scale systems and AI factories.
  • Local AI computing: The companies will continue to collaborate on multiple generations of NVIDIA RTX Spark™ and DGX Spark™ PC chips, powering consumer PCs, AI developer supercomputers and enterprise-class workstations, that integrate NVIDIA GPUs with MediaTek SoCs.
  • Automotive: MediaTek and NVIDIA will continue developing platforms for AI-powered, software-defined vehicles in the era of physical AI.

“AI is transforming every computing platform — from the world’s largest AI factories to the PC and the car,” said Jensen Huang, founder and CEO of NVIDIA. “MediaTek is one of the world’s great semiconductor companies, with exceptional expertise in system-on-chip design, connectivity, leading performance and power efficiency. Together, we’re building platforms that bring NVIDIA accelerated computing to new markets and give customers the freedom to create differentiated AI systems at enormous scale.”

“MediaTek and NVIDIA share a vision for making advanced AI computing pervasive across the technology landscape,” said Rick Tsai, vice chairman and CEO of MediaTek. “NVIDIA’s investment strengthens a collaboration that spans cloud AI infrastructure, local AI computing and automotive in the era of physical AI. By combining NVIDIA’s leadership in accelerated computing and AI software ecosystem with MediaTek’s expertise in a diverse AI technology portfolio from edge to cloud, and our leadership position in custom silicon, we can accelerate innovation for our customers.”

Yuanta identified MediaTek’s participation in Nvidia’s NVLink Fusion as the most consequential element of the arrangement. Through that linkage, MediaTek could support the design of custom AI chips for clients while connecting them directly into Nvidia’s AI infrastructure — a complementary rather than competing role alongside the GPU vendor’s proprietary interconnect fabric.

The scale of the bond purchase also signals Nvidia’s long-term commitment to the relationship. Nvidia, currently the world’s most valuable company at roughly a $5 trillion market capitalization, has been deploying capital aggressively across both upstream and downstream partners. This latest deal, however, inevitably risks overlapping with other Nvidia investments — notably its $2 billion partnership with Marvell, which is also heavily oriented around NVLink Fusion and pitch-for the RAN with a one-chip architecture.

NVLink Fusion and Ethernet-based scale-out interconnects target fundamentally different layers of the AI fabric, and the distinction turns on memory semantics rather than raw link rate. NVLink Fusion sits in the scale-up domain: it delivers memory-coherent, tightly coupled attachment for custom XPUs into Nvidia’s rack-scale NVLink fabric, with point-to-point GPU/XPU-to-GPU/XPU connectivity and an integrated high-bandwidth-memory interface (NVHBM) that trades die area and power for latency and bandwidth. It is proprietary, closed, and full-coherency by design — precisely the properties that make it hard for open standards to clone. Ethernet scale-out, by contrast, is the scale-out workhorse governing traffic between racks, pods, and clusters; it is loss-based, coarser-grained, and standardized through Ultra Ethernet and the broader IEEE 802.3 ecosystem.

The real contest is not NVLink against Ethernet so much as how much of the memory-coherent scale-up domain Ethernet-based challengers can capture. Standards-backed alternatives — UALink 2.0, Ultra Ethernet, and Broadcom’s Scale-Up Ethernet (SUE) — are pressing into scale-up territory, but they lack NVLink’s memory coherency and direct XPU-to-XPU connectivity, and SUE explicitly does not wire GPUs directly to GPUs. Meanwhile Nvidia’s strategy with NVLink Fusion is to co-opt custom XPUs (AWS Trainium4, and now MediaTek- and Marvell-designed silicon) into its fabric rather than let them migrate to those open scale-up paths. The practical outcome in the data center is a layered model — Ethernet surging in scale-out, and NVLink Fusion consolidating the latency-sensitive, memory-coherent scale-up spine — with Nvidia working to keep its proprietary layer the mandatory gateway that custom accelerators must pass through to reach the wider Ethernet-based world.

What It Means for Data Center Interconnect (DCI):

The $3.5 billion convertible-bond investment is best read not as a portfolio decision but as a defensive move within the AI rack-scale interconnect stack. The technical centerpiece is MediaTek’s adoption of the NVLink Fusion platform. Nvidia positions it as the connectivity technology and intellectual property that lets hyperscalers and AI-native operators drop custom accelerators (“XPUs”) and CPUs directly into its NVLink scale-up fabric.

MediaTek will now build against the three subsystems that define NVLink Fusion: the NVLink Fusion chiplet, which bridges a customer’s custom XPU to the NVLink scale-up domain over photonic or electrical interconnects (the chiplet itself carries up to ~1.8 TB/s of bidirectional bandwidth); NVLink-C2C, the high-bandwidth die-to-die link between XPUs, Nvidia’s Vera/Rosa CPUs, and other compatible processors; and NVHBM, a customized high-bandwidth-memory interface that trades off die area and power efficiency. The strategic significance is that Nvidia is effectively licensing its interconnect and memory layer as a licensable subsystem rather than enforcing a closed, all-Nvidia island — which lets it absorb “frenemy” silicon into the fabric instead of fighting it.

Two implications stand out for interconnect strategy:

  • A hedge on hyperscaler in-house silicon. AWS has already integrated its Trainium4 custom ASICs with NVLink Fusion for rack-scale deployment, and Google, Meta, Microsoft, and OpenAI are all advancing private accelerators. By standardizing the interface (NVLink Fusion, NVLink-C2C, NVHBM, chiplets, and rack-scale integration) that these custom XPUs must speak, Nvidia keeps chiplets, packages, memory, and racks—the connective infrastructure itself—inside its own revenue funnel. MediaTek, in turn, becomes the design conduit that helps hyperscalers and frontier model firms get to that tape-out without building an independent scale-up stack.

  • The scale-up vs. scale-out contest sharpens. NVLink remains essentially the only mature, memory-coherent scale-up fabric in production, whereas Ethernet is consolidating its dominance in scale-out (front-end and increasingly AI back-end) fabrics, and standards like Ultra Ethernet, UALink, and Broadcom’s Scale-Up Ethernet (SUE) are pressing into the scale-up domain. UALink and SUE, notably, lack NVLink’s memory coherency and point-to-point GPU-to-GPU connectivity, so NVLink Fusion’s positioning — co-opting custom XPUs rather than competing with them — lowers the attack surface those open standards could otherwise exploit.

The buy-in therefore consolidates Nvidia’s grip on the two layers that are hardest to commoditize: the latency-sensitive scale-up interconnect and the custom-silicon design flow that feeds it. What operators and chip partners give up is architectural independence — the bond structure and NVLink Fusion licensing effectively bind MediaTek into Nvidia’s ecosystem rather than allowing it to become an independent AI data-center silicon house.

What It Means for AI-RAN:

For the RAN, this is arguably a more consequential signal than the data-center economics. Nvidia’s AI-RAN play, via the AI Aerial software-defined accelerated-computing platform and its founding role in the AI-RAN Alliance, is built on having vRAN and AI workloads share the same GPU-accelerated infrastructure — what the community variously calls “AI for RAN,” “AI on RAN,” and “AI-and-RAN” on common hardware.nvidia+1

Here the MediaTek deal intersects directly with Nvidia’s earlier $2 billion Marvell partnership, which last year wired Marvell into the same NVLink Fusion platform for both the AI factory and AI-RAN ecosystem — Marvell supplying custom XPUs and NVLink Fusion-compatible scale-up networking, while Nvidia contributes the Vera CPU, ConnectX NICs, BlueField DPUs, Spectrum-X switches, and the rack-scale AI compute. The two arrangements are complementary in practice but overlapping in intent: Marvell owns the scale-up networking and the “one-chip-to-rule-the-RAN” custom silicon angle, while MediaTek brings SoC design, advanced packaging, and stronger reach into edge, automotive, and device-grade silicon. Together they give Nvidia two design houses capable of producing custom XPUs that plug into both data-center racks and AI-RAN infrastructure.

The operative question for IEEE readers is whether this broadens the AI-RAN supplier base going forward. Ericsson and Samsung have indicated their vRAN software built for Intel could be ported to AMD or Arm silicon with relatively modest effort, and Dell’Oro projections already have AI-RAN taking a significant share of the broader RAN market. Nvidia’s strategy is to ensure that, however the RAN silicon shakes out, the scale-up fabric and the custom-XPU design path remain NVLink Fusion-based — extending its data-center interconnect franchise into the radio access domain itself. The risk, flagged in the news report, is over-concentration: stacking Marvell and MediaTek onto the same NVLink Fusion foundation concentrates architectural leverage in Nvidia’s hands and could crowd out the open, multi-vendor fabric choices that O-RAN advocates would prefer to see served by standard Ethernet and UALink-style paths.

References:

https://nvidianews.nvidia.com/news/nvidia-and-mediatek-deepen-long-standing-partnership-to-build-ai-edge-to-cloud-computing-platforms

https://www.lightreading.com/finance/nvidia-tips-3-5b-into-mediatek-in-latest-tech-partnership

Analysis: Nvidia’s $2 billion investment in Marvell; NVLink Fusion ecosystem & RAN vendor silicon strategy

Ericsson and MediaTek Demonstrate 3GPP-Based GNSS RTK Positioning with Sub-30cm Accuracy Over a Commercial 5G Network

5G infrastructure moves from coverage and speeds to cloud-native, orchestration, automation and AI-assisted networks

MediaTek overtakes Qualcomm in 5G smartphone chip market

AI Compute Has a Switchboard Problem: Orchestration & Data Center Fabric Explained

by Gaurav Sharma with Alan J Weissberger

Introduction:

Anthropic [1.] earned more revenue in the second quarter of 2026 than it did in all of 2025. The Claude AI maker company raked in $11.5 billion between April and June 2026, up from $787 million in the year-earlier quarter, $4.73 billion in Q1-2026 and up from ~ $10 billion for the entire previous year.  CEO Dario Amodei told CNBC that the growth had been “just crazy” and “too hard to handle,” with demand far outstripping the company’s ability to build infrastructure with demand racing ahead of the company’s ability to scale infrastructure.

Anthropic is not alone. Bank of America projects that AI compute demand will outstrip supply through 2029. GPU lead times now stretch to 36–52 weeks.

Note 1. Anthropic is an American artificial intelligence startup founded by former OpenAI members that focuses on developing safety-oriented, steerable, and interpretable large language models like the Claude AI assistant.

This is happening even as the industry throws historic capital at capacity. Global data-center capital expenditure (capex) is on track to surpass $1 trillion in 2026, according to Dell’Oro Group. Yet the teams building with AI still cannot procure the compute they need, when they need it, at a price that lets them survive long enough to validate their thesis. The AI compute market has a switchboard problem — and fixing it calls for the same kind of thinking that transformed telecommunications.

The Access Gap:

AI-first startups now devote 40 to 50 percent of revenue to GPU hosting and inference compute, and their gross margins sit between 25 and 60 percent — versus 75 to 85 percent for traditional software companies. Compute has become the single largest cost line for most AI businesses, and it dictates what a team can afford to build.

Meanwhile, meaningful enterprise GPU capacity sits dormant. Teams hoard hardware for fear of losing access, locking accelerators into long-term reservations that sit underused overnight and between training runs. The capacity exists; the coordination does not.

The burden lands hardest on those who cannot afford the reservation game. Founders step down to cheaper hardware that slows their research. Teams cut experiments because they cannot secure enough accelerators. Projects stall while usable compute sits idle behind someone else’s contract. In this environment, access — not merit — decides which ideas reach the market and which never get tested.

From Switchboards to Packet Switching:

The early telephone network was run by hand. Every call required an operator to connect the subscriber — and each call claimed a dedicated circuit for its entire duration, even during silence. It worked, but it was slow, labor-intensive and wasteful.

GPU procurement works the same way today. An AI team identifies the hardware it wants, negotiates a reservation with a hyperscaler — AWS, Microsoft Azure or Google Cloud — and waits for capacity to become available. Each commitment locks a slice of the fleet to a single customer. The process is manual, slow and wasteful.

Telecommunications escaped this model in stages. Automated switching removed the operator; packet switching removed the dedicated circuit. Instead of reserving an entire line for one conversation, the network segmented each message into packets and routed them over whatever path had spare capacity, allowing many conversations to share a single trunk through statistical multiplexing. The same physical infrastructure carried far more traffic because capacity was allocated dynamically rather than reserved in advance.

AI compute needs an analogous shift: an orchestration plane that discovers available accelerators across multiple sources and routes each workload to suitable hardware — without the customer negotiating each connection individually.

It is already taking shape. Vendors are building orchestration systems that aggregate capacity from owned infrastructure, data centres and distributed GPU providers, then present it to the customer as a single service. The customer submits a job; the orchestration layer selects suitable hardware, assembles a cluster and delivers it.

Different Workloads, Different Routing:

Orchestration must be workload-aware. Pre-training the largest frontier models requires thousands of accelerators coupled over low-latency fabrics with precise topology; these jobs will continue to demand dense, purpose-built clusters.

Inference, fine-tuning and research are far more elastic. They tolerate geographic spread and run across a wider, more heterogeneous hardware pool. This mirrors how packet-switched networks treat traffic types differently while carrying them on shared infrastructure: a voice call needs bounded latency and continuity, while an email is routed over whatever path has spare capacity.

That differentiation opens the door for network operators. Data-centre operators and carriers already own much of the physical connectivity — fibre, points of presence, interconnection — needed to knit scattered compute into a coherent supply system. Rather than letting AI infrastructure consolidate into a small number of hyperscalers, the industry can use existing transport and edge assets to link regional data centres and GPU providers into a broader, more liquid market.

Robust Data Center Fabric Required:

The trillions in planned capex should be judged by more than the number of GPUs installed. If new capacity flows mainly to customers who can lock in multi-year reservations, the supply of compute grows even as the population of companies able to use it shrinks — fewer experiments, fewer competing hypotheses, a smaller set of teams shaping what AI becomes.

A healthier market would let AI teams reach compute from multiple providers through a single, well-connected service, with the network doing the work of matching each job to the right hardware — the telecoms discipline of statistical multiplexing applied to the GPU fleet.

Telecommunications offers the template. Every forward step it took made the same physical infrastructure serve more users. AI compute looks ready for the same move. The hardware is there, but is the network that connects it robust enough?

The physical network that connects AI compute servers (GPUs/TPUs) to each other and to high-performance storage is collectively called the Data Center Network (DCN) Fabric.  The physical network is split into two primary layers depending on what is being connected:

1. The Backend Network (Compute-to-Compute):

This is the ultra-high-speed, lossless network that connects AI compute servers (or individual GPUs) to one another. It handles “East-West” traffic—such as gradient exchanges and parameter updates—during massive parallel AI training.InfiniBand: Long considered the gold standard for high-performance computing (HPC). It relies on dedicated, high-speed physical switches and host channel adapters (pioneered largely by NVIDIA/Mellanox). It features native Remote Direct Memory Access (RDMA), allowing systems to exchange data directly from memory to memory without involving the host CPU.AI-Optimized Ethernet (RoCEv2): A highly popular open alternative that uses traditional physical Ethernet cabling and switches but runs RDMA over Converged Ethernet (RoCEv2).

Platforms like NVIDIA Spectrum-X utilize optimized Ethernet hardware to achieve lossless, low-latency performance comparable to InfiniBand.Ultra Ethernet: Driven by the Ultra Ethernet Consortium (UEC), this next-generation physical transport standard optimizes Ethernet specifically for massive scale-out AI environments.

2. The Frontend / Storage Network (Compute-to-Storage):

This network connects the AI compute servers to centralized, high-performance storage arrays (like NVMe-oF, SAN, or NAS systems) to stream massive datasets into the GPUs.High-Speed Ethernet: The physical storage network is predominantly built on high-bandwidth Ethernet (moving rapidly up to 400G and 800G per port).Storage Protocols: It leverages protocols like NVMe-oF (NVMe over Fabrics) or RoCEv2 to pull unstructured data (images, text corpuses) from storage units into the compute cluster at lightning speeds without stalling the GPUs.

Direct Comparison of the Data Center Network Technologies:

Feature InfiniBand Fabric AI Ethernet (RoCEv2 / UEC)
Primary Use Case Tightly coupled GPU-to-GPU training Compute-to-Storage & open scale-out clusters
Physical Hardware Dedicated, specialized switches & optics Standard, widely available Ethernet switches
Data Flow Style Lossless by design (Credit-based flow control) Lossless via configuration (PFC / ECN mechanisms)
Ecosystem Proprietary / Closed ecosystem Open standard, multi-vendor interoperability

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References:

Telecom data centers must be redesigned for the AI era with rack scale architectures, enhanced power & cooling requirements

Analysis: Ethernet gains on InfiniBand in data center connectivity market; White Box/ODM vendors top choice for AI hyperscalers

Will AI clusters be interconnected via Infiniband or Ethernet: NVIDIA doesn’t care, but Broadcom sure does!

Cisco’s Silicon One G300 as the dominant AI networking fabric, competing with Broadcom’s Tomahawk 6 series

Big tech spending on AI data centers and infrastructure vs the fiber optic buildout during the dot-com boom (& bust)

Structured Error Analysis: The Missing Pre-Deployment Step for Machine Learning in Telecom Operations

By Priyank Jain with Alan J Weissberger

Introduction:

Machine learning now sits inside telecom operations. Models predict equipment failures before they become outages, forecast traffic for capacity planning, flag telemetry anomalies, and estimate quality of experience from indirect signals—decisions that carry real financial weight. Yet most teams still approve a model for deployment on a single number: accuracy, AUC, or a concordance index computed once on a held-out set. That number is a poor predictor of production behavior. This post argues that structured error analysis belongs before deployment, and walks through five failure modes a single aggregate metric reliably hides.

Terms:

Training fits parameters on historical data; inference applies the fitted model to new data in production. These are two different software environments, and that difference causes more production failures than bad modeling does. Train-serve skew is any gap between training and serving conditions [10]. A fault-prediction model trained on offline-cleaned, gap-filled, five-minute telemetry may encounter a streaming collector that handles missing samples differently and closes its window a few seconds early. A feature named mean_utilization_5m exists in both places and means something slightly different in each. Nothing errors; accuracy just quietly drops.

Censoring matters whenever a model predicts time-to-event. An asset that has not failed yet is censored: we know it survived to now, not how long it will last. Censored observations are legitimate training data; mislabeled ones are poison [4], [5]. Data drift is a change in the model’s inputs—a firmware release that changes how a counter is reported [1], [2]. Concept drift is a change in the underlying relationship—say, a topology change that makes a predictive signal meaningless [3]. Both degrade a validated model, and neither appears in the original evaluation. The residual—the gap between prediction and outcome for one case—is the raw material of error analysis.

Five Failure Modes:

Environment mismatch. Models rarely fail because the mathematics was wrong; they fail because training misrepresented production. A feature computed one way offline and another online, a timezone off by an hour, a normalization constant recomputed over the wrong window—each is trivial, and together they are the most common reason validated performance does not survive deployment. The defense is computing features once and consuming them in both paths. Where that is impossible, run an automated comparison: sample cases, compute features through both paths, and assert agreement within tolerance. Sharing one feature pipeline and persisting trained preprocessors prevents this.

Wrong population. A time-to-failure model over a fleet defines the population by a rule such as “decommission date is empty.” That looks reasonable but is wrong whenever a status field and a date field disagree. An asset marked failed that never had a decommission date written satisfies the rule; the model treats it as healthy and learns that dead things are alive. Survival estimates come out optimistic, worst where data hygiene is worst. Every model-side metric looks fine because the model faithfully learns its labels. When a result contradicts domain knowledge, interrogate the population definition before touching the model.

Metric too good. If a feature table is assembled alongside the outcome, the outcome—or a near-copy such as observed duration—can end up in the feature set, and the model reports near-perfect discrimination. The same happens with fields populated only after the event, such as a diagnostic code set once a fault is confirmed. These are not predictive features; they are the answer arriving late. Treat an unexpectedly excellent score as a bug report and audit whether each feature would be available at scoring time and could have been influenced by the outcome.

The average hid the failure. A single metric over an evaluation set is an average, and averages destroy structure. An anomaly detector at 94% accuracy nationally is consistent with 97% on dense urban sites and 61% on rural sites with sparse telemetry. The aggregate is not wrong; it just does not answer where the model can be trusted. Networks are heterogeneous—multiple hardware generations, uneven telemetry coverage—and model performance is almost never uniform across that variation. The weakest segments usually have the least training data and matter most operationally.

Wrong objective. A model minimizes a loss that stands in for the outcome you care about. When the two drift apart, the model optimizes the stand-in faithfully and fails the objective—Goodhart’s law inside a training loop [6], [7]. In operations the common form is class imbalance: a maintenance model drives aggregate loss down by predicting no failure for a rarely failing class, learning to ignore the cases it was deployed to find [8], [9]. A subtler form ignores cost asymmetry—a missed fault causing an outage and a false alarm wasting a site visit are not equally expensive, but a symmetric loss treats them as equal. State the operational objective in plain language before training, then ask whether the loss actually rewards it.

The Procedure:

Structured error analysis characterizes where and how a model is wrong, not how often. The output is a map of competence. Five steps: build an evaluation set that looks like production, deliberately including every hardware generation, site class, and traffic regime; score and keep everything—prediction, outcome, residual, and full feature vector; stratify by operationally meaningful dimensions and recompute performance within each segment; cluster the residuals to find signatures in data quality, configuration, or thinly sampled regions; and write a disposition for each cluster—fix, accept and document, or exclude from operating scope. That document, the explicit statement of where the model can and cannot be trusted, is the actual artifact of validation.

The artifact also builds operator trust. Engineers dispatching a crew want to know when to believe the model; an aggregate figure is not actionable. A ranked risk score with its two or three drivers attached becomes a claim network operators can check, agree with, or push back on. Models are ignored far more often for being unexplainable than for being inaccurate.

Figure 1. Validation architecture. Features are defined once and consumed by both the training and inference paths (the train-serve control point). Model scoring feeds structured error analysis, whose results decide whether a model clears the deployment gate.

Conclusions:

If a model reports a quantity over a horizon longer than the observed data, part is measurement and part is assumption—report the split, test against several tail assumptions, and decline horizons where extrapolation dominates. That omission matters because the two parts carry very different risk: a precise-looking figure can be almost entirely assumption, and any decision anchored to it—capital planning, replacement schedules, contractual commitments—inherits a fragility nobody has accounted for. Reporting the split is the difference between acting on evidence and acting on a guess wearing a decimal point.

Figure 2. Reporting beyond the observed window, shown for an equipment time-to-failure (survival) model. Up to the last observed point the fraction of assets still in service rests on data (solid); beyond it, the curve rests on a chosen tail assumption (dashed). When such a model reports remaining useful life over a long horizon, the assumed portion can dominate the reported number.

Second, validation expires: because of drift, a model is only validated as of a date. Repeat the error analysis on a fixed cadence against recent data, compare segment-level results to baseline, and give every deployed model a named owner, a review date, and documented dependencies [10], [11]. The absence of a decommissioning plan turns a stale model into a permanent liability.

For telecom operations, where networks are heterogeneous and the consequential cases are usually the rare ones, the recommendation is blunt: require the error map, not the accuracy number, before deployment.

About the Author:

Priyank Jain is a Data Scientist II at Boost Mobile, where he builds production machine learning across retail and telecom, including subscriber survival and churn models, demand and traffic forecasting, and location recommendation systems. He has over seven years in applied machine learning, is an IEEE graduate student member, and has authored peer-reviewed journal and conference papers.

LinkedIn: https://www.linkedin.com/in/priyankjn7/

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References:

[1] “What is data drift in ML, and how to detect and handle it,” Evidently AI, Jan. 9, 2025. [Online]. Available: https://www.evidentlyai.com/ml-in-production/data-drift

[2] “What is data drift in machine learning,” Chalk AI, Apr. 9, 2026. [Online]. Available: https://chalk.ai/blog/data-drift

[3] “Concept drift,” Wikipedia. [Online]. Available: https://en.wikipedia.org/wiki/Concept_drift

[4] “Survival analysis and interpretation of time-to-event data,” PMC/NIH, Jul. 13, 2018. [Online]. Available: https://pmc.ncbi.nlm.nih.gov/articles/PMC6110618/

[5] “Survival analysis,” Wikipedia. [Online]. Available: https://en.wikipedia.org/wiki/Survival_analysis

[6] “Measuring Goodhart’s law,” OpenAI, Apr. 13, 2022. [Online]. Available: https://openai.com/index/measuring-goodharts-law/

[7] “On Goodhart’s law, with an application to value alignment,” arXiv:2410.09638, Oct. 12, 2024.

[8] “Class-imbalanced datasets,” Google Machine Learning Crash Course. [Online]. Available: https://developers.google.com/machine-learning/crash-course/overfitting/imbalanced-datasets

[9] “5 effective ways to handle imbalanced data in machine learning,” MachineLearningMastery, Apr. 20, 2025. [Online]. Available: https://machinelearningmastery.com/5-effective-ways-to-handle-imbalanced-data-in-machine-learning/

[10] “MLOps: Continuous delivery and automation pipelines in machine learning,” Google Cloud, Aug. 28, 2024. [Online]. Available: https://docs.cloud.google.com/architecture/mlops-continuous-delivery-and-automation-pipelines-in-machine-learning

[11] “MLOps lifecycle: Stages, workflow, and best practices,” LaunchDarkly, May 30, 2026. [Online]. Available: https://launchdarkly.com/blog/mlops-lifecycle/

After Bell Labs: Telecom Industry Funds Only a Fraction of the Innovation Needed

Many telecom analysts have noted former Bell Labs CTO and President Marcus Weldon scathing linkedin post, sharply criticizing deep staff cuts and warnings of “erasure” at the iconic research division. Weldon said he believes Bell Labs staffing has been cut to nearly half of the 1,200 strong workforce that was in place during his tenure (2013-to-2021). While he acknowledged that restructuring could account for some of those changes, he argued a 50% reduction in force in five years “is both shocking and unprecedented.”

An unidentified Nokia spokesperson told Fierce that Bell Labs “remains a deeply important part of Nokia, with a long track record of turning world-class research into technologies that deliver commercial impact and move our industry forward.”  However, the company acknowledged that the hundred-year-old Bell Labs is “entering a new chapter.”

It’s important to recognize that Bell Labs is not the only big research house that’s disappeared.  There’s also Bellcore/Telcordia, Nortel Networks R&D (Bay Street Labs),  Xerox PARC, HP Labs, Telco labs (e.g. Pac Bell/SBC, Ameritech, Bell South, Bell Northern Research, GTE Labs, Sprint Labs, and many more).

Meanwhile, telecom analyst Sebastian Barros states “the $1.3 trillion telecom industry is funding only a fraction of the innovation it will need for whatever comes after 6G.”  It appears to us that the industry’s economic model is badly failing to fund future innovation needed for growth.

Image Credit: Sebastian Barros

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Our Analysis:

The core problem — R&D was outsourced and never replaced. After the 1984 Bell System breakup and liberalization in Europe and Asia, operators pivoted to customers, spectrum, deployment, and operations, while Ericsson, Nokia, Huawei, Qualcomm, ZTE, Samsung, and a long tail of suppliers took over most technology development. Operators became buyers of innovation rather than creators of it.

The Bell Labs model that produced the transistor, information theory, Unix, and modern AI is gone. That institution ran on an economic engine that no longer exists: in 1974 AT&T booked about 1.4% of US GDP, with Bell Labs alone spending roughly 2% of revenue on nonmilitary R&D — over four cents of every AT&T dollar. That stable, massive funding let researchers pursue problems that wouldn’t become products for fifteen years. Expecting a vendor like Nokia (€19.9B annual sales) to recreate that under today’s competitive economics ignores the financial logic of modern telecom. The contraction is visible: Marcus Weldon estimates Bell Labs research staff has fallen from over 1,200 to roughly 600 since he left the labs.

The industry is capex-heavy but R&D-light. Telecom invests more in capital expenditures than almost any other sector — over $350 billion per year — yet only the top 10 technology providers collectively spend around $50 billion annually on R&D. The capex money flows into deploying networks, not inventing or researching new technologies.

–>Yet in 2025, Huawei invested $27.5 billion in R&D.   That was ~22% of its total revenue for that year.

The next cycle looks even more disciplined. Analysts expect 6G RAN capex to ramp only toward the end of the decade, with cumulative 6G RAN revenue in the first six years projected 10–20% lower than the comparable 5G period. Nearly 400 organizations are investing in 6G R&D, but venture-backed startups barely participate in a material way, leaving innovation concentrated among incumbents.

The takeaway: a $1.3 trillion industry funds only a fraction of the innovation it needs because its institutional R&D engine was dismantled decades ago and never rebuilt — operators spend on capex, vendors own the R&D, and the pipeline of disruptive new entrants is thin. That’s why “whatever comes after 6G” may arrive with far less foundational research behind it than the generations that preceded it.

Telecom Capex vs. AI Hyperscaler Capex:

The headline shift is quite stark. In 2026, the AI hyperscalers alone are on track to outspend the entire global telecom industry on capital investment — roughly doubling their own 2025 figures while telecom capex flattens or edges down.  Here are the numbers side by side:

Metric Telecom AI Hyperscalers
2025 capex ~$310–350B globally ~$388B (Big Four), ~$443B (Big Five)
2026 capex ~flat to slightly down, ~20% of sales ~$630B (Big Four) to ~$660–690B (Big Five incl. Oracle)
YoY growth ~0% to negative +62% (Big Four) to +77% (four largest)
Long-range view 6G RAN capex ~$500B cumulative over a decade ~$5.3T cumulative 2025–2030 (Goldman)
  • Hyperscalers are sprinting. Amazon alone plans ~$200B in 2026 capex (up from ~$125–132B), Alphabet $175–185B, Meta $115–135B, Microsoft $110–120B, and Oracle ~$50B. The vast majority goes to AI compute, data centers, and networking.

  • Telecom is grinding. Analysts see global operator capex edging down slightly by 2026, with spending holding near 20% of sales as fiber completion and 5G Standalone upgrades wind down. US telco capex was $80.5B in 2024.

  • Capital intensity is extreme. 2026 hyperscaler capex runs at roughly 86% of revenue for Oracle, 54% for Meta, and 46–47% for Microsoft and Alphabet.

Why this matters for the Barros argument: This is the flip side of the underinvestment thesis. Hyperscalers are channeling unprecedented capital into AI infrastructure — funded increasingly by debt, with incremental borrowing as a share of hyperscaler capex rising from ~9% in FY-2024 to ~32% by mid-2026 — while telecom operators, the sector that historically built the networks, are cutting back. The investment gravity has shifted from connectivity infrastructure to AI models andcompute, which is exactly why a $1.3 trillion industry funds only a fraction of the innovation it will need after 6G.

References:

https://sebastianbarros.substack.com/p/telecom-is-massively-underinvesting

https://www.linkedin.com/posts/marcus-weldon-1266497_i-am-always-hesitant-to-criticise-successors-share-7498473518930644992-gCIp/

https://www.fierce-network.com/wireless/nokia-defends-bell-labs-future-after-ex-chief-blasts-cuts

Dell’Oro: 6G RAN Capex to reach $500 billion by 2034 + Counterpoint

Dell’Oro: 2H2026 Data Center Capex to Accelerate due to massive AI Deployments

Hyperscaler AI Race: Soaring Capex Wipes Out Free Cash Flow; AGI and Digital Gods

China’s state owned telcos slash CAPEX to the lowest in decades!

Dell’Oro: Global telecom CAPEX declined 10% YoY in 1st half of 2024

Nvidia CEO Huang: AI is the largest infrastructure buildout in human history; AI Data Center CAPEX will generate new revenue streams for operators

Gates warns of “turbulent AI era;” OpenAI calls for collective action on AI cybersecurity

Introduction:

The AI risks are very real and growing each day.  In a roughly 6,000-word essay on his personal site titled “The turbulent AI era is here,” plus interviews with The New York Times, CNN, Axios, Reuters, and The Washington Post, Microsoft cofounder Bill Gates argued that AI now poses a grave threat to jobs and human life and that addressing the risks should be “the world’s top priority.” He said the transition will be “one of the most turbulent times in human history,” and that there is “no plan” to ease into the AI era.

On cyber threats, he argued that AI has collapsed the barrier for attackers — even low-skilled criminals can now target individuals, companies, and governments — and that defenders are losing the race, since the same model that finds a flaw to patch can help an adversary exploit it. He said he was “stunned” to realize AI had crossed “a massive cyberattack threshold,” citing incidents where OpenAI, Anthropic, and Meta models hacked real-world websites during supposedly isolated security evaluations, and he warned that critical infrastructure — hospitals, financial institutions, water and power systems — is at risk. Beyond hacking, he flagged bioterrorism, fraud, deepfakes, disinformation, surveillance, and psychosocial harm, and argued the industry cannot regulate itself, proposing national coordinating bodies and a new international AI organization that he wants to discuss with China’s Xi Jinping.

As apprehension over the malicious application of AI intensifies, OpenAI — a leading AI large language model developer along with Anthropic — has convened a coalition of predominantly U.S.-based enterprises aimed at fortifying collective cyber defenses.

Image Credit:  Telecoms.com

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Discussion:

The past several months have witnessed an accelerating cadence of AI-enabled cybersecurity incidents. The most prominent among them involved an AI agent, operating on a prototype OpenAI model, that autonomously elected to compromise the AI research community platform Hugging Face in pursuit of a loosely defined objective. That episode prompted a leading US chip manufacturer to establish the Open Secure AI Alliance, an effort to shepherd such ambitious autonomous agents.

Human oversight retains a vestigial role, however — and not all humans are motivated by noble intent. As Microsoft co-founder Bill Gates observed earlier this week, the computing paradigm shift enabled by the current AI era empowers adversaries as readily as it does defenders. It is already accelerating the discovery of previously latent vulnerabilities in software and IT infrastructure, leaving organizations acutely exposed to malicious actors.

“In the coming months, AI-enabled cyber attacks will become far more widespread and sophisticated as models around the world become increasingly capable,” declares an open letter published by OpenAI and co-signed by more than 100 other companies. “The companies and public services our communities depend on—from hospitals to water treatment plants to the infrastructure that powers the internet—are at risk.”

Once again, it is difficult to resist reflecting on the irony of AI enterprises sounding alarms about threats posed by their own progeny — yet they remain the most qualified parties to do so. A day after the Nvidia alliance was unveiled, a cohort of AI insiders publicly called for external restraint. This latest initiative suggests that plea went unanswered.

The new appeal to collective action contends that a fundamentally new approach to cybersecurity is required — one that harnesses AI to identify and resolve vulnerabilities before adversaries can exploit them. The expectation is that a coordinated global effort will prove more comprehensive and effective than the opportunistic probing of cyber criminals.

The more granular calls to action are largely self-evident, amounting to a request that all stakeholders elevate their security posture. “Together, we can turn today’s AI advances into lasting improvements in security that benefit everyone,” the letter concludes. Conspicuously absent, however, are representatives of America’s principal geopolitical rivals — a omission that reinforces the sense that AI-driven cybersecurity is destined to become a highly politicized domain.

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Comparison with Anthropic’s Project Glasswing:

The two efforts are complementary rather than competing, and Anthropic actually signed OpenAI’s letter — but they operate at different levels.

OpenAI’s Collective Cyber Defense:

A policy and advocacy coalition. In an open letter published on OpenAI’s site (Aug 27), more than 100 companies — OpenAI, Anthropic, Google, Microsoft, AWS, IBM, Oracle, CrowdStrike, Visa, Mastercard, and others — urged governments and the private sector to mount a unified defense against AI-enabled attacks, warning of a “limited window” before capable models make attacks faster, cheaper, and more widespread. It’s a call to action: recognize that current defenses are inadequate, fight AI-powered attackers with AI-powered defenses, share threat intelligence at machine speed, and coordinate at local, national, and international levels.

Anthropic’s Project Glasswing:

A concrete defensive-security program. Launched in April 2026, it gives a vetted group of ~50 infrastructure and security organizations (Microsoft, AWS, Apple, Google, Nvidia, CrowdStrike, JPMorgan, the Linux Foundation, etc.) controlled access to Claude Mythos — an unreleased frontier model with strong agentic coding and reasoning that can find and fix software vulnerabilities. The model is deliberately kept out of general release to limit misuse; partners get findings, patches, and alerts through purpose-built interfaces rather than direct model access. Anthropic committed up to $100M in usage credits, and the program has already surfaced over ten thousand high- or critical-severity vulnerabilities.

Dimension OpenAI Collective Cyber Defense Anthropic Project Glasswing
Type Open-letter policy coalition Restricted-access defensive AI program
Vehicle Advocacy / call to action Frontier model (Claude Mythos) + partner access
Participants 100+ signatories ~50 vetted infrastructure/security orgs
Output Policy asks & coordination Vulnerability discovery and patching
Funding $100M usage credits + $4M open-source grants

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References:

https://openai.com/collective-cyberdefense/

https://www.telecoms.com/security/tech-consortium-rings-the-ai-cyber-attack-alarm-bell-once-again

Anthropic’s Project Glasswing aims to reshape IT cybersecurity

SHIELD-6G with AI-native cyber threat intelligence platform to enhance cybersecurity for Europe’s future 6G networks

Cybersecurity threats in telecoms require protection of network infrastructure and availability

 

Ookla: U.S. Fixed Wireless Access Crosses 17 Million Connections as Adoption Shifts from Rural to Urban

According to Ookla, Fixed Wireless Access (FWA) has solidified its position as a structural component of the U.S. residential broadband market. In Q1 2026, combined FWA connections across Verizon, T-Mobile, and AT&T surpassed 17 million, representing 13.74% of the nation’s 123.75 million home broadband subscriptions, per the U.S. Census Bureau’s January 2026 American Community Survey.

Initially positioned as a cost-efficient mechanism for addressing rural connectivity gaps, FWA is now demonstrating meaningful traction in urban and suburban markets. Analysis of Ookla Speedtest Intelligence® data, segmented according to the Census Bureau’s urban-rural classifications, indicates that approximately 70% of Q2 2026 FWA test samples originated from urban users, versus 30% from rural areas. While Speedtest sample volume is not a direct proxy for subscriber counts, it offers a useful directional indicator of the geographic distribution of FWA demand.

Performance characterization across the first half of 2026 reveals steady improvements in both throughput and latency. Notably, this analysis marks the first examination of FWA at the state level: the share of FWA Speedtest users achieving the Federal Communications Commission’s (FCC) minimum broadband threshold of 100 Mbps downstream / 20 Mbps upstream fell below 40% in 48 states — underscoring the gap between marketed capacity and realized user experience.

Key takeaways:

  • T-Mobile dominated Q2 2026 with a median download speed of 222.7 Mbps, (outpacing AT&T Internet Air by 38.8% and Verizon 5G Home by 76%).   T-Mobile’s Q2 2026 median upload speed (18.1 Mbps) also beat AT&T by 79.2% and Verizon by 48.5%.
  • All three providers experienced a performance drop in download and upload speeds between Q1 2026 to Q2 2026. This is likely a seasonal impact, as dense leaves on trees can weaken FWA signals.
  • AT&T’s median download speed surged nearly 60%—from 104.61 Mbps in Q3 2025 to 167.34 Mbps in Q1 2026. This is likely the result of deploying the additional 50 MHz of spectrum purchased from EchoStar.
  • Rural FWA users across all three providers nationwide have lower median download speeds and higher multi-server latency. Urban users benefit from a multi-server latency that is 7 to 13 ms lower than their rural counterparts.
  • In only two states (Hawaii and New York) and the District of Columbia 40% or more of FWA Speedtest samples met the FCC’s minimum standard for broadband speed (100 Mbps download/20 Mbps upload).

AT&T’s additional spectrum holdings also translated into measurable gains on the uplink, with median upload throughput rising from 9.23 Mbps in Q3 2025 to 12.55 Mbps in Q1 2026.  Despite this improvement, T-Mobile retains the highest median upload performance among the three national carriers. In Q2 2026, T-Mobile’s median upload speed of 18.12 Mbps was 48.5% above Verizon’s 12.2 Mbps and 80.1% above AT&T’s 10.06 Mbps.

All three providers recorded a quarter-over-quarter decline in both download and upload speeds from Q1 to Q2 2026, with Verizon FWA users experiencing the most pronounced degradation — a drop in median download throughput from 143.64 Mbps in Q1 2026 to 126.53 Mbps in Q2 2026.

It should be noted that the Verizon FWA figures in this report exclude Starry, the FWA operator acquired by Verizon in March 2026, whose service continues to be operated and marketed as a separate offering.

Median Download Speed Decline Q1 2026 to Q2 2026

Provider Q1 2026 (Mbps) Q2 2026 (Mbps) Speed Dip (Mbps) Percentage Dip
T-Mobile Home Internet 239.50 222.72 -16.78 -7.0%
Verizon 5G Home Internet 143.64 126.53 -17.11 -11.9%
AT&T Internet Air 167.34 160.43 -6.91 -4.1%

Median upload speeds saw an even larger decline with T-Mobile FWA users experiencing a 21.5% decline in upload speeds from Q1 2026 to Q2 2026. AT&T users experienced a nearly 20% decline from Q1 2026 speeds of 12.55 Mbps to 10.06 Mbps speeds in Q2 2026.

Median Upload Speed Declines Q1 2026 to Q2 2026

Provider Q1 2026 (Mbps) Q2 2026 (Mbps) Speed Dip (Mbps) Percentage Dip
T-Mobile Home Internet 23.07 18.12 -4.95 -21.5%
Verizon 5G Home Internet 14.35 12.20 -2.15 -14%
AT&T Internet Air 12.55 10.06 -2.49 -19.8%

Median multi-server latency also increased slightly from Q1 2026 to Q2 2026, which represents a slightly higher delay for FWA users. However, T-Mobile still maintained the lowest median multi-server latency at 46 ms in Q2 2026.

Median Multi-Server Latency Increases Q1 2026 to Q2 2026

Provider Q1 2026 (ms) Q2 2026 (ms) Latency Increase (ms) Percentage Increase
T-Mobile Home Internet 45 46 +1 ms +2.2%
Verizon 5G Home Internet 52 53 +1 ms +1.9%
AT&T Internet Air 67 69 +2 ms +3%

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While FWA was initially conceived as a means of delivering broadband to rural communities where providers held excess network capacity, the service has since matured into a credible alternative to traditional fixed broadband. However, the latest Speedtest data indicates that, notwithstanding this intended role, rural users continue to face trade-offs in the form of lower median download throughput and elevated latency.

Operators across the board also contend with seasonal and temporal factors that degrade performance — most notably foliage interference during the spring and summer months, compounded by peak-hour network congestion on a daily basis.

T-Mobile maintains a clear performance lead across both overall throughput and latency, while AT&T’s recent spectrum acquisitions have yielded measurable performance gains.

References:

https://www.ookla.com/articles/u-s-fwa-rural-urban-1h-2026

Highlights from Ookla’s U.S. Speedtest Connectivity Report-Mobile & Fixed Networks

Ookla: U.S. dominates global WiFi 7 while adoption grew 4X to 7.2% by Q1-2026

Ookla: AI workloads will force changes in 5G mobile network infrastructure

Ookla: AI platform reliability decreases as outages surge

Ookla on the Global D2D Market

Ookla: Starlink a viable competitor for hybrid 5G/NTN services due to network performance improvements and larger coverage area

Ookla: D2D satellite connectivity surged 24.5% during last 9 months; Starlink’s footprint expansion leads the way

 

 

 

South Korean startup Rebellions to use open source software for carriers to quickly build AI stacks with its AI inferencing chips

South Korean chip startup Rebellions builds purpose-engineered Al accelerators to redefine energy-efficiency and scale in the age of large-scale Al.  It aims to deliver the best performance per dollar per watt possible for inferencing and lower both capex and opex associated with running AI infrastructure. The company has been very selective about where it has established office locations and staffing: Korea, Japan, Singapore, Saudi Arabia and the United States.

Their flagship semiconductor product is the Rebel100, which uses a predictive, software-controlled DMA engine tightly coupled with an on-chip mesh to prefetch KV data proactively. This enbales 2.7TB/s effective bandwidth and reduces token-level latency in 32K+ context LLMs.

Image Credit: Rebellions

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Gaining valuable experience in building an AI stack with SK Telecom, it’s  pairing its field experience with an open source-first software strategy it said can help carriers move faster without locking scarce engineering talent into yet another proprietary AI stack.   The company says it’s dedicated to using open-source software – everything from vLLM and OpenShift to PyTorch – with a “no forks” rule. The rule is designed to help customers avoid skills issues and ensure engineers don’t have to learn non-transferrable skills just to use its equipment.

Rebellions’ work with SK Telecom (SKT) has served as a foundational pillar of its engagement with other operators, according to Marshall Choy, Rebellions’ Chief Business Officer (CBO). The company is in conversations with between 10 and 20 operators around the world.

“Our systems have been deployed at SKT for nearly three years,” Choy said. “What does that mean? It means three years of lessons learned, institutional knowledge gain, product improvement and deep engagement with an end user customer working on real problems… It’s three years of blood sweat and tears that has become institutional knowledge,” he added.

The network operators in its pipeline are in “different stages of engagement and deployment” with Rebellions, Choy said, saying there will be “more to come on that.” While SK Telecom has been its most publicized partner to date, Choy said over the next 12 months Rebellions plans to highlight more of what has been going on under cover. That includes work with other telecom operators as well as neocloud operators, enterprises and governments.

According to Choy, the architecture prioritizes low-latency, high-throughput compute infrastructure. From a cost-efficiency perspective, the company targets a price-to-performance ratio that is two to three times more cost-effective than comparable Nvidia hardware. Furthermore, Rebellions delivers significantly higher energy efficiency. While an Nvidia DGX GB200 NVL72 system consumes upwards of 120 kilowatts per rack, Rebellions averages 4 kilowatts per system, or approximately 20 kilowatts per rack.

Choy noted that this power reduction yields a 6x savings in operational expenditure (OpEx). It also enables telecommunications providers to deploy Rebellions infrastructure in edge environments with stringent power constraints, such as legacy central offices. By retrofitting these distributed facilities with modern inference compute to serve LLM tokens, operators can maximize the lifecycle and return on investment (ROI) of their existing physical assets.

“Our goal is to reduce the unit economics of AI inferencing to near zero,” Choy said. While he admitted that sounds strange coming from an AI inferencing chip company, Choy explained that it’s all about making AI accessible for even more use cases – the ones where the math doesn’t work out today.  “If you’re a telephone operator and you have an existing line card of services you provide, I can make you more profitable because I can lower your costs. But more strategically, what I can do is I can enable you to introduce a lower tier of services at a lower cost, which then makes AI inferencing accessible to a whole set of applications where it was previously too expensive,” he added.

It should be noted that Groq and SambaNova (see References below) are similarly working on chips to reduce the cost of inferencing. OpenAI appears to be moving in a similar direction with its Jalapeño chip.

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Through its work with SK Telecom and others (unnamed), Choy said Rebellions has learned that customers aren’t just looking for hardware or software but for fully optimized infrastructure that cuts across both. That’s where Rebellions’ open-source ethos comes into play.  “We didn’t want to have this mainframe model where everything is custom and bespoke and we’re this weird thing off in the side of the data center that doesn’t get touched by anything else,” Choy said. “It’s all about interoperability and integration.”

In conclusion, Choy opined, “Let’s be honest, the telcos don’t necessarily have all the right skills in place.  So, being able to spread that across more of an open-source ecosystem means they can be in service and productive faster.”

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References:

https://rebellions.ai/company/about/

https://rebellions.ai/category/blogs/

https://rebellions.ai/rebellions-product/rebel100/

https://www.fierce-network.com/cloud/rebellions-courts-telcos-cheaper-ai-inference-and-open-source-pitch

SambaNova targets AI inference boom with chips built for existing data centers

Intel and AI chip startup SambaNova partner; SN50 AI inferencing chip max speed said to be 5X faster than competitive AI chips

AWS to deploy AI inference chips from Cerebras in its data centers; Anapurna Labs/Amazon in-house AI silicon products

Custom AI Chips: Powering the next wave of Intelligent Computing

Huawei to Double Output of Ascend AI chips in 2026; OpenAI orders HBM chips from SK Hynix & Samsung for Stargate UAE project

Huawei to Double Output of Ascend AI chips in 2026; OpenAI orders HBM chips from SK Hynix & Samsung for Stargate UAE project

Huawei to Double Output of Ascend AI chips in 2026; OpenAI orders HBM chips from SK Hynix & Samsung for Stargate UAE project

Superclusters of Nvidia GPU/AI chips combined with end-to-end network platforms to create next generation data centers

Google Cloud and Verizon Expand Strategic Partnership to Scale Enterprise AI and Autonomous Network Operations

Executive Summary:

Google Cloud and Verizon have announced a new strategic partnership agreement to deploy full-stack AI across the carrier’s customer experience, network operations, marketing, and enterprise data platforms — a step that signals how deeply hyperscaler AI infrastructure is now embedded in the telco operating model. By integrating Google Cloud’s advanced data infrastructure and Gemini Enterprise, Verizon aims to modernize customer interactions, unify enterprise data, and scale AI across the organization, positioning AI as a core network and business capability rather than a point solution.

The announcement extends a long-running relationship between the two companies, but the scope of this agreement is notable.  It treats AI as the connective layer spanning the entire enterprise — from the customer-facing digital front end to the closed-loop control plane of the network itself. For an industry that has historically deployed AI in siloed, use-case-specific pockets, the partnership is representative of a broader shift toward what Google Cloud frames as “autonomous network operations”: self-healing, zero-touch infrastructure in which AI is embedded into the fabric of the network rather than bolted on as an overlay.cloud.

“Verizon is on a journey to become the most trusted carrier for our customers’ connected lives,” said Alfonso Villanueva, Verizon chief transformation officer, and EVP of Verizon Consumer. “Serving each and every one of our customers by name requires working AI-first at every level. Our partnership leverages Google Cloud’s AI and data capabilities across our organization to better enable our employees and keep our customers at the center of everything we do.”

“Verizon is pioneering what a true, full-scale AI transformation looks like for a global enterprise,” said Karthik Narain, chief product and business officer at Google Cloud. “By integrating Google Cloud’s full AI stack into its business—from high-performance infrastructure and Gemini models to custom business agents—they are reshaping the future of telecommunications and building an autonomous network for millions of customers.”

Reimagining customer experience with Gemini Enterprise:

At the customer-facing layer, Verizon’s strategy centers on a digital experience built on Gemini Enterprise’s conversational and multimodal capabilities — described internally as a key component of an “AI-first toolbox.” Verizon’s existing contact-center work with Google Cloud has evolved into Gemini Enterprise for Customer Experience, which the company says now handles the majority of its inbound consumer calls and chats each month. The practical effect is measurable: improved customer satisfaction and automated resolution rates across digital touchpoints, while freeing customer care representatives to concentrate on complex, high-touch interactions.lightreading+1

This is a meaningful operational data point for the industry. The shift of call volume from human agents to AI-driven resolution is not merely a cost story; it changes the staffing economics and quality-of-service calculus of large-scale customer care, and it demonstrates how conversational AI can be productized at carrier scale.

Scaling Gemini Enterprise and enterprise-wide AI transformation:

Beyond the customer front end, Verizon is building an autonomous network intelligence framework with Google Cloud serving as the data platform partner — using AI to predict and resolve network anomalies before they affect subscribers. Combined with Verizon’s nationwide connectivity, the full-stack integration is intended to create a responsive foundation for next-generation digital services.cloud.google+1

This network-automation ambition aligns with the direction the industry is moving more broadly: from siloed automation toward closed-loop, self-optimizing, and increasingly agentic networks — including AI-driven RAN and core operations. Verizon’s own hiring signals reinforce this direction, with roles focused on network automation and infrastructure AI that aim to turn virtualized RAN and 5G Core into self-optimizing, energy-aware, cloud-native infrastructure.mycareer.verizon

In parallel, Verizon is leveraging Google Cloud’s data and AI solutions to modernize its marketing platforms — automating content creation and campaign orchestration to drive engagement, sales, and retention — while strengthening its cloud security posture through advanced threat detection and proactive risk governance. Across core business functions, the company will also use Gemini Enterprise for agent orchestration and employee productivity, extending AI beyond network and marketing operations into the broader operating model.lightreading+1

Google’s Agentic Data Cloud as the engine for enterprise intelligence:

An effective AI strategy, the companies argue, requires a modernized and unified data foundation. Verizon’s multi-year consolidation of legacy data lakes onto Google’s Agentic Data Cloud laid the groundwork for its current AI acceleration — breaking down organizational data silos, reducing operational overhead, and establishing a single source of truth across business processes.

Google Cloud’s Agentic Data Cloud provides the technical backbone for this transformation, natively managing and unifying all data types, from structured operational databases and unstructured documents to complex knowledge graphs. Coupled with Gemini Enterprise, it enables Verizon to build and deploy AI agents that perceive context, execute automated tasks, and drive high-precision outcomes across business units.lightreading+1

Analysis: a template for telco-scale AI transformation:

Verizon and Google Cloud are extending their long-standing partnership on AI-powered customer care. In April 2025, the companies reported that five years of jointly designed AI deployments had achieved a “comprehensive answerability” rate of 95% of customer inquiries — a percentage whose significance depends on how that metric is defined and measured.

Under the expanded agreement, the customer-care model continues along the same lines: AI resolves routine, high-volume inquiries while human agents focus on complex, high-touch cases. Verizon is also pursuing an enterprise-wide AI transformation, deploying Gemini Enterprise to modernize core business functions and improve employee productivity, while applying Google Cloud’s data and AI solutions to strengthen cybersecurity. On the commercial side, the marketing organization will use AI to automate content creation and orchestrate campaigns to drive engagement, sales, and retention.

The initiatives collectively position AI as a cross-functional layer spanning customer experience, network operations, security, and go-to-market execution — rather than a single point solution.  The agreement illustrates several converging trends worth watching. First, it positions the data fabric as a prerequisite — not an afterthought — to effective enterprise AI, emphasizing that model performance is bounded by the quality and unification of the underlying data. Second, it extends AI from the customer and marketing layers into the network control plane, moving telcos toward the autonomous, self-healing network architectures that CSPs increasingly see as the endgame of network modernization. Finally, it underscores the deepening role of hyperscalers as strategic partners in telco transformation — supplying the infrastructure, models, and agentic tooling on which carriers build differentiated services.

In our view, the Google Cloud-Verizon partnership is a concrete case study in AI-RAN and autonomous network evolution: How a U.S. top tier network operator is operationalizing AI across customer experience, data management, and network intelligence, and what the integration of full-stack hyperscaler AI means for the future architecture of telecommunications.

We agree with Telecoms.com Nick Woods closing blog post comment:

“It will be interesting to see if Verizon’s evolution into an ‘AI-first’ telco leaves it devoid of a human touch. Should that prove to be the case, the current backlash against perceived AI slop suggests that Verizon needs to tread carefully to ensure its evolution is not to its detriment.”

Google Cloud has a ton of partnerships (see References below), so it will be important to observe if they can manage them all seamlessly?

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About Google Cloud:
Google Cloud offers a powerful, optimized AI stack—including AI infrastructure, leading models like Gemini, data management capabilities, multi cloud security solutions, developer tools and platform, as well as agents and applications—that enables organizations to transform their business for the Agentic Era. Customers in more than 200 countries and territories turn to Google Cloud as their trusted technology partner. SOURCE Google Cloud

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References:

https://www.googlecloudpresscorner.com/2026-08-24-Google-Cloud-Announces-Strategic-Partnership-with-Verizon-to-Scale-Enterprise-AI

https://www.telecoms.com/ai/verizon-puts-its-fate-in-google-s-ai-hands

Will Google Cloud’s AI and data analytics revenue +TPU IP licensing income offset huge AI CAPEX to produce a decent ROI?

Palo Alto Networks and Google Cloud expand partnership with advanced AI infrastructure and cloud security

NTT Data and Google Cloud partner to offer industry-specific cloud and AI solutions

Google Cloud targets telco network functions, while AWS and Azure are in holding patterns

Google Cloud announces TalayLink subsea cable and new connectivity hubs in Thailand and Australia

Deutsche Telekom and Google Cloud partner on “RAN Guardian” AI agent

Ericsson and Google Cloud expand partnership with Cloud RAN solution

AI-RAN and Agentic AI get real: Ericsson, Nokia, Verizon & other operators enter into a new network automation era

Verizon’s $1 Billion Google Dark Fiber Deal Highlights Importance of Optical Networks

Verizon to build new, long-haul, high-capacity fiber pathways to connect AWS data centers

Analysis of AWS-3 Spectrum Results: Verizon Wins Big; Urban Capacity vs. Propagation

GSA: Global private mobile networks exceed 2,000 worldwide; Ericsson Private 5G from Verizon Business extends beyond U.S.

 

Omdia: LEO Satellite IoT to grow at 88.6% CAGR; comparison with other forecasts

New market research from Omdia reveals that satellite IoT is entering a period of rapid expansion, with connections projected to grow from 7.7 million in 2023 to 197.7 million by 2035, representing a compound annual growth rate (CAGR) of 31%.  Low Earth Orbit (LEO) satellite IoT connections are projected to grow at a CAGR of 88.6% over the forecast period supported by rapid satellite deployment, increasing bandwidth and availability, and falling connectivity costs. The Geostationary Earth Orbit (GEO) satellite market is  expected to grow at a much more moderate CAGR of 7.3%.

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Here’s an illustration depicting LEO, MEO (Medium Earth Orbit), and GEO satellite IoT connections. MEO-satellite services are used for maritime navigation and crew communications, therefore not serving many IoT-related use-cases just yet.

 

Source: Olga Kostina at https://www.iotforall.com/types-of-satellite-networks-used-in-iot-solutions

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“While the technical advances in the satellite market are significant, their timing is equally important,” said John Canali, Principal Analyst, IoT at Omdia. “As IoT matures enterprises increasingly need global coverage without connectivity gaps. as well as greater resilience when terrestrial connectivity is unavailable. These requirements will become more pressing as IoT devices support a growing range of data-intensive models and automated applications.”

Omdia expects satellite connectivity to see growing adoption across key IoT verticals including agriculture and environmental monitoring, defense and military, energy and utilities, transportation and logistics.

Source: Omdia

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The automotive industry is expected to emerge as a key adopter of satellite connectivity, with connected vehicles expected to surge from just 11,000 in 2023 to over 112 million by 2035—representing a CAGR of 115%. Major automotive manufacturers including Geely, Tesla, BMW, and Stellantis are actively testing and deploying satellite connectivity solutions to create a true “network of networks,” enabling vehicles to operate seamlessly by switching dynamically between terrestrial and non-terrestrial networks.

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Satellite IoT forecast landscape:

As of August 2026, market research firms broadly expect strong growth in satellite IoT, but the estimates vary substantially because firms define the market differently—some measure connections, while others include connectivity services, equipment, software, backhaul, or broader satellite-enabled IoT solutions.

Firm Forecast metric Base and forecast Implied growth
Omdia Satellite IoT connections 7.7 million in 2023 to approximately 197.6–197.7 million by 2035 31% CAGR
IoT Analytics Satellite network operator and equipment revenue 7.5 million connections in 2024; revenue expected to exceed $4.7 billion by 2030 26% CAGR
ABI Research Connections and market value More than 26 million connections and approximately $4 billion by 2030 Not stated in the release
Juniper Research Satellite IoT services revenue $2.9 billion in 2024 to $9.3 billion in 2030 210% cumulative growth
Grand View Research Satellite IoT market revenue $1.49 billion in 2024 to $7.23 billion by 2033 19.5% CAGR
MarketsandMarkets Satellite IoT market revenue $1.1 billion in 2022 to $2.9 billion by 2027 21.9% CAGR
Stratistics MRC Satellite IoT market revenue $1.3 billion in 2023 to $5.9 billion by 2030 23.4% CAGR

Omdia: connection-led expansion:

Omdia’s forecast is particularly important for assessing the potential scale of the satellite IoT installed base:

  • Total connections: approximately 197.6–197.7 million by 2035.

  • Starting point: 7.7 million connections in 2023.

  • Overall growth: approximately 31% CAGR.

  • LEO connections: 88.6% CAGR.

  • GEO connections: 7.3% CAGR.

  • Connected vehicles: growth from approximately 11,000 in 2023 to more than 112 million in 2035, equivalent to a 115% CAGR.

IoT Analytics: operator and equipment revenue:

IoT Analytics estimates that satellite IoT connections reached 7.5 million in 2024. It forecasts combined revenue for satellite network operators and equipment vendors to exceed $4.7 billion by 2030, representing a 26% CAGR. Its analysis emphasizes declining LEO costs, multi-orbit networks, hybrid satellite-terrestrial architectures, standardized protocols, and automotive and transportation use cases.

ABI Research: approximately $4 billion by 2030:

ABI Research forecasts more than 26 million satellite IoT connections and a market size of approximately $4 billion by 2030. It identifies agriculture, energy and utilities, fisheries and aquaculture, and environmental monitoring as important verticals. ABI also expects satellite IoT agriculture connections to exceed 1.4 million by 2029 and condition-based environmental-monitoring connections to exceed one million.

ABI’s later forecast material gives a somewhat different connection estimate—approximately 28 million connections by 2030—illustrating how forecasts change with report vintage, market definition, and assumptions regarding direct-to-device and NTN deployments.

Revenue Forecasts:

Juniper Research has one of the higher near-term service-revenue estimates, projecting the satellite IoT services market from $2.9 billion in 2024 to $9.3 billion in 2030. Its coverage focuses on connectivity services and includes forecasts by satellite type, industry, country, and operator.

Grand View Research forecasts a more moderate but still substantial expansion—from $1.49 billion in 2024 to $7.23 billion in 2033, at a 19.5% CAGR. It identifies direct-to-satellite services, transport and logistics, agriculture, energy, environmental monitoring, and defense as major segments.

MarketsandMarkets’ forecast is older in its base period: it projects growth from $1.1 billion in 2022 to $2.9 billion in 2027, at a 21.9% CAGR. It highlights direct-to-satellite connectivity, LEO deployment, agriculture, transportation and logistics, and defense applications.

Omdia does not provide a corresponding revenue forecast in the public summary, reportedly because tariff structures are expected to change significantly as new satellite and direct-to-device providers enter the market.

Dispersion of Forecasts Explained:

The forecasts are not necessarily contradictory. They measure different portions of the opportunity:

  • Connection forecasts capture device adoption and are most useful for evaluating modules, chipsets, spectrum, network capacity, and addressable endpoints.

  • Service-revenue forecasts typically include recurring connectivity fees and may exclude hardware, terminals, integration, or application software.

  • Market-size forecasts can include equipment, backhaul, platforms, terminals, managed services, and sometimes software.

  • Automotive and direct-to-device NTN forecasts can produce much higher connection counts than traditional low-data-rate satellite IoT, but their average revenue per connection may be lower.

  • GEO legacy services generally have higher revenue per connection, while LEO and 3GPP NTN models are expected to scale more rapidly but face pricing and wholesale-revenue uncertainty.

Conclusions:

A reasonable synthesis of the published forecasts is:

  • Satellite IoT connections could grow from roughly 7–8 million today to tens of millions by 2030.

  • The most aggressive current forecast reaches approximately 198 million connections by 2035, largely because of LEO and connected-vehicle adoption.

  • Satellite IoT connectivity, equipment, and services revenue is commonly forecast in the range of $4–$9 billion by 2030, depending on scope.

  • The principal growth areas are transportation and automotive, logistics and asset tracking, agriculture, energy and utilities, environmental monitoring, maritime, and defense.

  • The main analytical risk is treating connection growth as equivalent to revenue growth: the market may add many low-ARPU LEO or NTN connections while legacy GEO and specialized industrial services continue generating disproportionately high revenue per device.

 

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References:

https://omdia.tech.informa.com/pr/2026/aug/satellite-iot-connections-to-reach-197point6-million-by-2035

https://www.iotforall.com/types-of-satellite-networks-used-in-iot-solutions

From LPWAN to Hybrid Networks: Satellite and NTN as Enablers of Enterprise IoT – Part 2

Iridium Introduces its NexGen Satellite IoT Data Service

Open Cosmos introduces global space-based LEO satellite service for IoT monitoring

5G connectivity from space: Exolaunch contract with Sateliot for launch and deployment of LEO satellites

The Infrastructure Behind the AI Economy

Introduction:

Public discussion of artificial intelligence tends to focus on the models developed by companies such as OpenAI, Anthropic, xAI, Perplexity, Google, Amazon, and Microsoft. However, a substantial portion of AI investment is directed not at the models themselves, but at the infrastructure required to develop, deploy, secure, and operate them.  The AI model attracts attention while the infrastructure captures much of the spending.   Tayo Lusi, founder of The Apex Institute cloud and AI infrastructure program, says the more useful story is happening underneath, in a layer nobody puts in a headline.

“People think AI spending means someone building a better chatbot,” Tayo said. “Most of that money is not going toward the model. It is going toward the servers, the storage, the security and the systems required just to keep that model running at all.”

AI Requires an Operational Foundation:

Even an advanced AI model cannot operate independently. Production deployments depend on a broad AI technology stack [1.] that includes:

  • Compute and storage capacity at a scale many organizations have not previously managed.

  • Cloud and data-center systems capable of responding to rapid changes in demand.

  • High-performance networks that move data efficiently among users, applications, storage systems, and accelerators.

  • Security controls that protect models, data, application interfaces, and communications.

  • Monitoring and observability systems that identify performance degradation, anomalous behavior, and failures before they become service outages.

  • Engineers and operators who design, maintain, and continuously optimize these systems.

These capabilities are largely invisible in a product demonstration, but they must be in place before the demonstration can succeed. A reliable AI service is therefore not simply a model; it is an integrated computing, networking, security, and operations environment.

Note 1. The AI infrastructure technology stack represents the foundational layers of hardware and software required to build, train, deploy, and maintain AI models at scale. Unlike traditional enterprise IT, AI infrastructure must support massive parallel processing, hyper-fast data movement, and continuous optimization for AI workloads.

Image Credit: Mahmoud AbuFadda on LinkedIn

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Where the Jobs Are Emerging:

The concentration of investment in infrastructure is also influencing workforce demand. While media coverage often emphasizes AI-related job displacement, organizations continue to require professionals who can build and operate the systems that support AI applications.

Roles associated with this infrastructure include:

  • Cloud and platform engineering.

  • AI infrastructure and machine-learning operations.

  • Site reliability engineering and systems support.

  • Data-center and accelerator operations.

  • Network engineering for high-bandwidth AI clusters.

  • Cybersecurity, identity management, and data protection.

  • Observability, performance engineering, and service management.

The U.S. Bureau of Labor Statistics projects continued growth across computer and information technology occupations, including fields related to infrastructure and information security. BLS

This does not mean that every technology role is insulated from automation or restructuring. It does suggest, however, that the expansion of AI creates a parallel requirement for professionals who can provide the underlying compute, connectivity, resilience, and security.

Why Perception and Investment Diverge:

Public perception is shaped primarily by visible outcomes: automation, workforce reductions, and uncertainty about the future of employment. Investment decisions reveal a broader picture. Organizations may reduce spending in some application-development areas while increasing expenditure on cloud capacity, specialized hardware, data infrastructure, cybersecurity, and operational support.

This distinction matters for individuals making career decisions. Focusing exclusively on the application or model layer can obscure opportunities in the systems that make AI practical at scale.

The infrastructure layer is also less visible because it is rarely the subject of product launches or public demonstrations. Yet it often represents the difference between a promising prototype and a dependable production service.

A Skills Gap at the Infrastructure Layer:

Many traditional education and career pathways have emphasized application development, data science, or model development. Those areas remain important, but the rapid expansion of AI is increasing demand for a complementary set of skills.

Relevant capabilities include:

  • Designing cloud architectures that scale under variable workloads.

  • Managing distributed systems and containerized environments.

  • Operating accelerator-based compute platforms.

  • Automating deployment and lifecycle management through DevOps practices.

  • Applying security controls throughout the AI system lifecycle.

  • Establishing monitoring, logging, and observability for production services.

  • Evaluating reliability, latency, utilization, and cost.

  • Connecting AI workloads through high-performance networks and storage systems.

The resulting skills gap is not necessarily a consequence of insufficient technical ability. In many cases, professionals have simply been directed toward the most visible parts of the AI ecosystem rather than toward the infrastructure supporting them.

That imbalance can create an unusual labor-market dynamic: substantial budgets coexist with a limited pool of engineers who possess the required systems, cloud, networking, and security expertise. Organizations may therefore leave positions open for extended periods or offer premium compensation for experienced candidates.

AI Infrastructure is a Global Opportunity:

The infrastructure requirements of AI are not limited to the United States. Organizations worldwide are investing in cloud services, data centers, networking, security, and operational capabilities as they adopt AI technologies.

This creates a global need for engineers and technical professionals who can design and operate reliable infrastructure. It also creates an opportunity for education and workforce-development initiatives in regions that have historically had limited access to advanced technology training.

If AI investment continues to expand globally, access to the resulting career opportunities should not depend solely on proximity to established technology hubs. Foundational instruction in cloud engineering, networking, cybersecurity, automation, and systems operations can provide a pathway into the infrastructure economy.

The central point is straightforward: AI progress depends on more than model innovation. It depends on the infrastructure that enables those models to function reliably, securely, and economically. As organizations move from experimentation to large-scale deployment, the professionals who build and operate that foundation will become increasingly important.

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References:

https://www.prnewswire.com/news-releases/the-apex-institute-breaks-down-where-ai-spending-is-actually-going-in-2026-302858262.html

https://www.linkedin.com/pulse/enterprise-ai-technology-stack-layered-architecture-mahmoud-abufadda-qw76f/

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