AI market place is not what you are looking for (in the telecommunication industry).

In a far away land was the kingdom of Kadana. Kadana was a vast country with few inhabitants. The fact that in the warmest days of summer, temperature was seldom above -273°C was probably a reason for it. The land was cold, but people were warm.

In Kadana there was 3 major telecom operators: B311, Steven’s and Telkad. There were also 3 regional ones: Northlink, Southlink and Audiotron. Many neighboring kingdoms also had telecom operators, some a lot bigger than the ones in Kadana. Dollartel, Southtel, Purpletel, we’re all big players and many more competed in that environment.

It was a time of excitement. A new technology called AI was becoming popular in other fields and the telecommunications operators wanted to get the benefits as well. Before going further in our story, it can be of interest to understand a little bit what this AI technology is all about. Without going into too much details, let’s just say that traditionally if you wanted a computer to do something for you, you had to feed him a program handcrafted with passion by software developer. The AI promise was that from now on, you could feed a computer with a ton of data about what you want to be done and it would figure out the specific conditions and provide the proper output without (much) of programming. For those aware of AI this looks like an overly simplistic (if not outright false) summary of the technology, but let’s keep it that way for now…

Going back to the telecommunication world, somebody with nice ideas decided to create Akut05. Akut05 was a new product combining the idea of a marketplace with the technology of AI. Cool! The benefit of a market place as demonstrated by the Apple App Store or Google Play, combined with the power of AI.

This is so interesting, I too want to get into that party, and I immediately create my company, TheLoneNut.ai. So now I need to create a nice AI model that I could sell on the Akut05 marketplace platform.

Well, let not be so fast… You see, AI models are built from data as I said before. What data will I use? That’s just a small hurdle for TheLoneNut.ai company… we go out, talk with operators. Nobody knows TheLoneNut.ai, it’s a new company, so let’s start with local operators. B311, Steven’s and Telkad all think we are too small a player to give us access to their data. After all, their data is a treasure trove they should benefit from, why would they give us access to it. We then go to smaller regional players and Northlink has some interests. They are small and cannot invest massively in a data science team to build nice models, so with proper NDA, they agree to give us access to their data in counterpart, they will have access to our model on Akut05 with substantial rebate.

Good! We need to start somewhere. I’ll skip all the adventures along the way of getting the data, preparing it and building a model… but let me tell you that was full of adventures. We deploy a nice model in an Akut05 store and it works wonderfully… for awhile. After some time, the subscribers from Northlink change a bit their behavior, and Northlink see that our model does not respond properly anymore. How do they figure? I have no idea, since Akut05 does not provide with any real model monitoring capabilities besides the regular “cloud” monitoring metics. More alarming, we see 1-star reviews pouring in from B311, Steven’s and Telkad who tried our model and got from the get go poor results. And there is nothing we can do about it because after all we never got deals with those big names to access their data. A few weeks later, having discounted the model to Northlink and getting only bad press from all other operators, TheLoneNut.ai bankrupt and we never hear from it again. The same happens to a lot of other small model developers who tried their hand at it, and in no time the Akut05 store is empty of any valuable model.

So contrary to an App Store, a Model Store is generally a bad idea. To get a model right (assuming you can) you need data. This data needs to come from representative examples of what you want the model to apply to. But it easy, we just need all the operator to agree to share the data! Well, if you don’t see the irony, then good luck. But this is a nice story, lets put aside the irony. All the operators in our story decide to make their data available to any model developers on the Akut05 platform. What else could go wrong.

Let us think about a model that use the monthly payment a subscriber pays to the operator. In Kadana this amount is provided in the data pool as $KAD, and it works fine for all Kadanian operators. Dollartel tries it out and (not) surprisingly it fails miserably. You see, in the market of Dollartel, the money in use is not the $KAD, but some other currency… The model builder, even if he has data from Dollartel may have to do “local” adjustments. Can a model still provide good money to the model builder if the market is small and fractured i.e. needs special care being taken? Otherwise you’ll get 1-star review and again disappear after a short while.

Ok, so the Akut05 is not a good idea for independent model builders. Maybe it can still be used by Purpletel which is a big telecom operator which can hire a great number of data scientists. But in that case, if its their data scientist who will do the job, why would they share their data? If they don’t share their data and hire their own data scientists, why would they need a market place in the first place?

Independent model builders can’t find their worth from a model market place, operators can’t either… can the telecom manufacturer make money there? Well, why would it more valuable than for an independent model builder? Maybe it could get easier access to data, but the prerogatives are basically the same and it wouldn’t be a winning market either I bet.

Well, therefore a market place for AI is not what you are looking for… In a next post I’ll try to say a little bit about what you should be looking for in the telecom sector when it comes to AI.

For sure this story is an oversimplification of the issue, still, I think we can get the point. You have a different view? Please feel free to share it in the comments below so we can all learn from a nice discussion!


Cover photo by Ed Gregory at Pexels.

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