By Hamza Faisal
Deutsche Telekom is going all-in on artificial intelligence, telling investors it expects AI and automation to save the company around €2.5 billion ($2.8 billion) in indirect costs by 2030 compared with 2023.
The German telecommunications group laid out the targets on Monday, ahead of an AI investor event, saying AI-driven efficiency gains should generate gross savings of about €1.1 billion outside the United States as early as 2027.
“AI is fundamentally transforming Deutsche Telekom,” chief executive Tim Hoettges said in a statement. “It makes our networks even better and smarter, our service more personalized, and opens up new business models.”

Where the billions get saved

The company says it deploys AI wherever large volumes of repetitive work occur — in network operations, customer service, software development and administrative processes.
Practical examples are already live: AI detects peak traffic on the cellular network earlier than before, and supports customer-service representatives so that issues get resolved faster.
Part of the additional savings expected in 2027 will be reinvested into Germany's digital infrastructure and its fibre-optic network rollout, the company said.

A new revenue engine

Deutsche Telekom is not just cutting costs — it wants to sell AI too.
The company is developing a platform that lets businesses automate recurring tasks, while its AI assistant — which can translate phone conversations in real time, answer questions and summarize content — is expected to open the door to additional services and new rate plans.
In 2026, Deutsche Telekom expects to generate around €250 million in AI-related revenue from businesses outside the US, rising to about €800 million by 2030.

Europe's sovereign AI bet

The company also sees a “major business opportunity” in Europe’s push to develop sovereign AI, positioning itself as a partner for governments and enterprises that want AI infrastructure inside European borders.
Alongside the targets, Deutsche Telekom confirmed its full-year 2026 guidance and its medium-term targets.
The announcement lands as telecom operators across Europe race to prove that AI investments translate into lower costs and genuinely new income — not just hype.