Mobile World Congress 2025 (MWC25): Four Ways the Telco Value Chain Is Supporting Compute-Driven Applications

The telecoms industry has hit an inflection point, with a newfound focus on computing-centric applications. This marks the era where communications alone is no longer enough for telcos to drive the revenue growth they seek. At Mobile World Congress 2025 (MWC25), ABI Research analysts observed this transformation unfolding across the exhibition floor. As the event highlighted Artificial Intelligence (AI), edge computing, and data-driven solutions over conventional hardware, the telco value chain emerged as a key area of change. Here are five compelling examples from MWC25, each revealing a piece of this industry-wide pivot.

1. AI Overtakes Mobile Gadgets

Once a showcase for cutting-edge smartphones, MWC25 shifted its spotlight to Agentic AI, leaving mobile hardware in the background. With many industry players seeing smartphones in the realm of diminishing returns, companies like Qualcomm and Google turned to AI-driven features to differentiate their offerings. “MWC25 confirmed a clear shift in industry focus from mobile-centric hardware to integrated, AI-enhanced computing infrastructure,” notes Malik Saadi, VP of Strategic Technologies.

Saadi also heard telco infrastructure discussions transitioning to cloud-native, AI-driven networks. Firms like Microsoft and Siemens expanded their presence at MWC25, underscoring this trend. In contrast, we saw the usual consumer brands like Sony, HTC, and LG Electronics scale back their presence or they were missing entirely.

2. Private Cellular Networks Prioritize Compute Applications

In the enterprise space, Principal Analyst Leo Gergs saw private cellular networks evolving beyond simple connectivity at MWC25, becoming platforms for compute-driven solutions. For instance, Nokia unveiled MX Context, an AI-powered sensor suite that delivers real-time analytics at the edge for Industry 4.0 settings. This solution combines AI-driven object detection, pose estimation, and multi-modal sensory data to showcase how private cellular networks increasingly deliver real-time analytics at the edge.

The verdict is in: private cellular network providers must demonstrate how they can be enablers of compute-driven applications.

However, collaboration is key. Verizon did an excellent job at delivering this message.

As Gergs states, “Telco carriers like Verizon presented their partnerships with leading global System Integrators (SIs) for use case factories targeting deployments in energy generation & mining, logistics & warehousing, and manufacturing, with a focus on vertical-specific applications. This includes predictive maintenance to reduce equipment downtime, autonomous equipment to streamline production, and connected worker safety solutions that integrate AI-driven monitoring for hazardous environments.”

3. IoT Hardware Expands Into AI Software

As the Internet of Things (IoT) space evolves, hardware supplier Fibocom serves as a shining example of the telco value chain shifting to computing-centric solutions. It launched Nebula, an AI software suite for edge deployment. This move expands Fibocom’s role from a mere connectivity provider to a computing enabler, a first among cellular module vendors. Fibocom’s approach diversifies the telco value chain, catering to varied customer needs in a computing-focused market.

Dan Shey, VP of Enabling Platforms says, “It appears that Fibocom is the first in the cellular module community to offer such AI services.” He suggests that Fibocom may find potential success with smaller clients exploring AI, with bigger organizations likely to partner with silicon vendors like Qualcomm and MediaTek.

4. Operators Use AI for Network Monetization

Operators like Globe Telecom in the Philippines are harnessing AI to revitalize revenue streams, a clear sign of computing’s influence on the telco value chain. Facing stagnant Average Revenue per User (ARPU) and customer churn, Globe Telecom leveraged Huawei’s Smart Decision Solution to uncover usage patterns, such as gamers needing low latency.

Jake Saunders, VP of Asia-Pacific & Advisory, sat down with Globe Telecom VP of Network Digitalization, Dennis Abella, to understand how the company is using AI to drive new revenue. “Through AI-driven insights, Globe Telecom uncovered a crucial insight: a user’s willingness to pay is directly linked to their network usage habits,” shares Saunders. He tells us that by crafting tailored data plans, Globe Telecom transformed the telco value chain into a tool for personalization and growth, driven by AI analytics.

What This Means for Telcos

Looking ahead, MWC25 made it clear that the telco value chain is no longer defined by communications alone. At this point, mobile operator customers view connectivity as a commodity item. To restimulate revenue streams, the industry must find ways to enable a wide array of applications previously untapped.

With computing at its core—spanning AI, edge, and cloud solutions—telcos must adapt to stay relevant. In many cases, selecting strategic partners is essential for telco players to deliver the next-generation applications that customers expect. To further explore the future of the telco value chain, download ABI Research’s latest whitepaper, A Watershed Moment For The Telco Value Chain: The Shift To A Compute-Centric Outlook Intensifies at MWC 2025.