Verizon touts Gen AI potential for sustainable revenue
Nov 01, 2024 | Posted by Abdul-Rahman Oladimeji
Verizon executives have touted the potential for Generative AI to provide a solid revenue stream in the future, but cautioned that it won't happen overnight. The carrier stated that it plans to make money from the sale of computing infrastructure for AI operations.
"We're getting a lot of good orders from hyperscalers either on dark fiber or lit, and we're going to see that growing. But we have more than that, not just the fiber. It's the power, space, and cooling, which you know is in really high demand. And we have a lot of latent assets in that area," explained Verizon's Kyle Malady, head of the company's business division.
"We're going to measure twice and cut once," he said. "We're figuring out exactly how we're going to go into this market. It's a huge market. We can't cover it all, but there are certain segments we might be better off in than others."
"I think AI is definitely over a time frame. So how I think about AI, generative AI especially, in the beginning right now, we see large language models going to the big data centers," said Vestberg. "As soon as they're going to be an application that you're going to use as an enterprise, you're going to put it much closer for the main reason of the transport cost for privacy, for security, and in some cases, also latency. But it's going to take some time from all these large language models to be real products and sitting in the Edge of the network."
"We're getting a lot of good orders from hyperscalers either on dark fiber or lit, and we're going to see that growing. But we have more than that, not just the fiber. It's the power, space, and cooling, which you know is in really high demand. And we have a lot of latent assets in that area," explained Verizon's Kyle Malady, head of the company's business division.
"We're going to measure twice and cut once," he said. "We're figuring out exactly how we're going to go into this market. It's a huge market. We can't cover it all, but there are certain segments we might be better off in than others."
"I think AI is definitely over a time frame. So how I think about AI, generative AI especially, in the beginning right now, we see large language models going to the big data centers," said Vestberg. "As soon as they're going to be an application that you're going to use as an enterprise, you're going to put it much closer for the main reason of the transport cost for privacy, for security, and in some cases, also latency. But it's going to take some time from all these large language models to be real products and sitting in the Edge of the network."