Deutsche Telekom said at its AI Investor Day in Bonn on 5 October that it aims to cut about €2.5 billion in indirect costs through AI and automation by 2030, compared with 2023, Trending Topics reported.
Key points
- The company expects about €1.1 billion in gross AI and automation savings outside the United States by 2027, before AI usage costs.
- Its Frag Magenta chatbot handled about 2.6 million customer service calls in the first half of 2026.
- Deutsche Telekom expects AI-related revenue from business customers outside the United States to rise from about €250 million in 2026 to about €800 million in 2030.
The €1.1 billion savings milestone
Deutsche Telekom expects AI and automation to produce about €1.1 billion in gross savings outside the United States by 2027, measured against 2023. That figure excludes the cost of using AI, including token costs. The longer-term target concerns indirect costs, rather than a stated reduction in the company’s total spending.
The company is applying AI to network operations, customer service, software development and administration. It plans to put part of the savings back into its digital transformation and a faster fibre-optic rollout in Germany. Those plans place the cost of running AI alongside the savings it is expected to deliver.
Deutsche Telekom said its German mobile data traffic is growing by about 30 percent a year, Ad Hoc News reported. The operator had upgraded roughly half of its own German mobile sites to its latest technical standard by 30 September. It added 222,000 fibre connections in August, bringing the number of households and businesses able to order fibre-based services to 14.1 million.
Frag Magenta and the RAN Guardian Agent
Frag Magenta handled about 2.6 million customer service calls in the first half of 2026, according to Deutsche Telekom. At T-Mobile US, customer service calls have fallen by 55 percent, while AI agents handle 40 percent of all customer contacts. The company presented those figures as examples of AI already operating in its customer service work.
On the mobile network, Deutsche Telekom says its RAN Guardian Agent identifies congestion before it occurs, including around large events. The company says it now responds in about one minute, versus several hours previously. It also says initial uses of AI to identify problems with new connections have produced 30 percent fewer complaints.
Automation is also in use at pharmaceutical wholesaler Phoenix Pharma in Hungary. Service levels there rose from an inconsistent 60 percent to above 98 percent, Ad Hoc News reported. The deployment offers an example outside Deutsche Telekom’s own customer and network operations, where the company is pursuing software-related business.
Industrial AI Cloud revenue and T-Mobile US jobs
Deutsche Telekom expects about €250 million in AI-related revenue from business customers outside the United States in 2026 and about €800 million by 2030. Its Industrial AI Cloud in Munich is intended to support industrial simulations and AI-based processes. The company is also building a platform for small and medium-sized businesses to automate recurring work, including customer service and logistics tasks.
For consumers, Deutsche Telekom is developing the Magenta AI Assistant to translate mobile calls in real time, answer questions and summarise content without a separate app or new device. The company sees the assistant as a basis for services and tariffs. Its business-customer revenue figures remain expectations rather than reported sales from those offerings.
More than 100,000 Deutsche Telekom employees have been trained to use AI, and staff have access to tools including AskT, ChatGPT Enterprise and Microsoft Copilot. At T-Mobile US, a parallel restructuring will eliminate about 4,700 positions. The company attributes those cuts to simpler structures and the removal of duplicate roles, Trending Topics reported.
Deutsche Telekom will report its third-quarter financial results on 5 November, Ad Hoc News reported.
