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Europe's telecom giants debate 5G lag, bet on AI at MWC 2025

Chloe Liao, DIGITIMES, Barcelona 0

Credit: DIGITIMES

Europe's top telecom service providers, including Spain's Telefonica, Germany's T-Mobile, France's Orange, and the UK's Vodafone, convened at MWC 2025 to confront digitalization challenges.

The host bluntly asked whether Europe had fallen behind in the 5G era, prompting Telefonica CEO Marc Murtra to quip, "Isn't MWC being held in Europe right now?"

Once a global leader in 2G, Europe now trails not just the US and China but also middle- and low-income nations in standalone 5G adoption. Despite that, Murtra remains bullish, pointing to Europe's cutting-edge telecom technology, 300 million customers, and EUR20 billion (approx. US$22.4 billion) in annual investments. He sees scaling innovation as the key to reversing the trend.

AI dominated discussions at this year's MWC, with telecom executives optimistic about its transformative potential. Orange CEO Christel Heydemann noted that 75% of global AI investment flows to the US, with China taking most of the rest, leaving Europe with a sliver. However, she argued that Europe's strength lies in integration and standard-setting, ensuring seamless cross-border operations.

As AI-powered smartphones proliferate, consumers will expect uninterrupted functionality across countries, making industry collaboration essential. Heydemann also asserted that AI will unlock 5G's true potential, testing whether network slicing and other advanced capabilities can finally deliver maximum value.

Credit: Financial Times

Credit: Financial Times

Article edited by Jack Wu