Deutsche Telekom sees €2.5 billion in savings from AI, automation by 2030

Oct 5 (Reuters) - Deutsche Telekom said on Monday it expected to save around €2.5 billion ($2.8 billion) in indirect costs by 2030 compared to 2023, as the German telecommunications group expands its use of AI and automation.

"AI detects peak traffic on the cellular network earlier, supports customer service representatives, and thus helps resolve issues immediately," Deutsche Telekom said in a statement.

• In 2027, AI and automation are estimated to generate gross savings of around €1.1 billion outside the US compared to 2023

• The company intends to partly invest additional 2027 savings in Germany's digital infrastructure and fibre-optic network

• It sees a "major business opportunity" in Europe's goal to develop sovereign AI

• It also aims to increase AI-related revenue from business with companies outside the US to around €800 million by 2030

• Deutsche Telekom confirmed its 2026 outlook and medium-term targets

($1 = €0.8941)

(Reporting by Danny Callaghan in Gdansk, editing by Milla Nissi-Prussak)