Legal development

GCOT publishes principles on AI adoption in the telecoms industry

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    On 16 January 2025, the Global Coalition on Telecommunications or "GCOT" (being the UK, Australia, Canada, Japan and USA), published a joint statement setting out six voluntary principles on AI adoption in the telecoms industry. 

    The principles are intended to support the responsible development and deployment of AI systems across telecoms operations. They are aimed at industry leaders and stakeholders developing and/or deploying AI systems in their operations.

    What are the principles?

    1. Innovation and competition – "AI systems in telecommunications should be leveraged to drive innovation and promote a competitive, innovative telecommunications market, while respecting Intellectual Property Rights."

    2. Transparency, explainability and human oversight – "AI systems in telecommunications should prioritise transparency and explainability in a timely manner, ensuring clear disclosure and understandable decision-making processes to build trust and accountability."
    3. Privacy – "The use of AI systems in telecommunications should uphold privacy, safeguarding user data and protecting individual rights."
    4. Fairness – "The use of AI systems in telecommunications should uphold fairness, striving to minimise unwanted bias for equitable outcomes."
    5. Security and resilience – "AI systems in telecommunications should be designed to protect against cyber threats, ensuring data integrity and maintaining operational stability."
    6. Environmental sustainability - "AI systems in telecommunications should be used to improve the environmental sustainability of the network and designed to minimise their own environmental impact."

    What else does the GCOT say?

    • AI isn't "new" in telecoms, but there is still significant opportunity for AI innovation: Telcos already use forms of AI to improve performance and reduce costs. In the next decade, use of more advanced AI will "expand significantly", including for network management, service delivery, resource allocation and network security.

    • AI will be fully integrated, as opposed to a "tag on" technology: There will be a shift to "AI native", where AI and data infrastructure will be "fully integrated across all components" of telecoms operations.
    • Need for collaboration: Telcos should work with domestic regulatory bodies to ensure the safe, secure and trustworthy integration of AI in their operations. 

    Our thoughts

    • Similar to existing guidelines: The GCOT principles broadly reflect similar guidelines on "responsible" AI adoption (such the OECD's AI Principles and Sunak Government's AI Principles). Some GCOT principles cross over with the binding EU AI Act, such as transparency, explainability and human oversight. For more information, see our Global AI Regulation Guide here.

    • Non-binding: Telcos won't be bound by the GCOT principles, but should aim to follow them to ensure safe, secure and trustworthy AI adoption. The principles are also an indicator of where future binding standards or regulation might land, so it pays to be on the front-foot of compliance.

    • A growing appetite for AI leveraged innovation: The GCOT principles aim to "support innovation in telecommunications technologies in a way that will enable security, growth and societal benefits". This echoes the UK's AI Opportunities Action Plan published earlier this month, which acknowledged that AI "regulation, safety and assurance have the power to drive innovation".

    Authors: Amanda Ludlow, Partner; William Barrow, Senior Associate; Saba Nasrolahi, Junior Associate

    The information provided is not intended to be a comprehensive review of all developments in the law and practice, or to cover all aspects of those referred to.
    Readers should take legal advice before applying it to specific issues or transactions.