Telecommunications companies (telcos) are significantly behind in acquiring essential tech skills compared to hyperscalers and similar tech companies, a gap that could hinder their future growth and competitiveness. According to research by STL Partners, telcos are six years behind in areas critical for their future, such as AI, innovation, and user experience. The study identifies nine key skill categories, including software, cloud, cyber security, AI, and innovation, as vital for telcos to leverage the opportunities presented by open, software-based networks.
Among the telcos studied, Swisscom, Singtel, and Telstra are leading with over 20% of their workforce in roles focused on future capabilities. However, the average across 19 telecom operators shows only 14% of jobs are dedicated to these future skills, starkly contrasting with the 31% average in tech companies. Despite some progress in acquiring future capabilities over the past year, particularly in software, data analytics, cyber security, and automation, telcos still fall short in investing adequately in automation, user experience, and artificial intelligence expertise.
Marina Koytcheva, research director at STL Partners, underscores the urgency for telcos to rapidly upskill their workforce to compete for the best tech talent. The study serves as a wake-up call for telcos to prioritize building key tech capabilities to realize their ambitions in a rapidly evolving tech landscape. For more insights into the challenges and opportunities facing telcos, visit https://www.stlpartners.com.
