The extent to which the CX market remains confused around the role of artificial intelligence continues to confound both buyers and consumers. Since the hype cycle surrounding this technology took hold just over two years ago, enterprises and outsourcers alike have been left scrambling to find their AI path forward. In the case of the former, the perceived immediate objective has been to determine ways of deflecting interactions previously managed by agent by using dubiously souped-up, AI-labeled automated solutions, with questionable concern for the end-customer; for many in the latter category, the race to reposition (or even rebrand) themselves as AI technology firms seems to be the modus operandi in 2025 and beyond.
This was apparent at the recent CCW 2025 trade show that took place in Berlin during the last week of February. For those not aware of this event, it is perhaps the most important annual CX-related gathering in Europe, if not the world. The attendees are of a high level of decision-making authority, it attracts outstanding exhibitors and the networking is second to none. This year’s theme, which centered on the role of AI in CX was indicative of the current appetite for knowledge among those in the customer management ecosystem, and had the potential to provide clarity into the direction of these technologies.
However, as one traversed the various halls of CCW 2025, there was a sense of being overwhelmed by providers, large and small, each vaunting their respective AI technology sets that were purported to be ‘the next big thing’ in CX, which no other developer could match. These pitches were in many cases replicated word-for-word, booth-to-booth, leaving prospective buyers frustrated and confused about how this technology can be applied in real CX terms. It is also a microcosm of what is happening across the broader customer management world.
To be clear, artificial intelligence DOES have a role to play in the delivery of customer service. There are superb use cases in which these technologies ensure high levels of quality in the contact center, supply accurate content moderation services and social media management, undertake exceptional real-time voice translation, as well as assisting agents on the front lines to do their jobs more efficiently. And, to be fair, there are green shoots of AI making strides in front-line automated delivery (voice and non-voice).
Where the dynamic in the marketplace needs to change is in positioning and managing expectations. Take the BPO community as an example – the thought process for many within this CX segment is to immediately reposition and rebrand; no longer as being a trusted partner with the best people / processes to manage a client’s interactions – rather, now the game is to be seen as a born-again AI provider, in certain instances promising to reduce enterprises’ costs to the bone by ditching live agents in favor of technology. And, while appealing to some companies, the limitations of these front-line solutions quickly become apparent in the form of poor C-SAT scores and lost business.
From where the solutions developers’ perspective, there is clearly a need to think about how to be straightforward and upfront about their own offerings. Specifically, what can AI technology realistically do today, in the near/medium term and over an extended period? Use cases are a ‘must’, as are demonstrations around how these technologies can solve CX challenges of rapidly evolving enterprises. Forty-thousand-foot pie-in-the-sky soliloquies and Space 1999 imagery serve to add to the already significant confusion around the role of these technology offerings.
There is dire need in the CX space for clarity and realistic dialogue on what AI can do for enterprises and their consumers. The current white noise that is drowning out these discussions is not constructive – this needs to change, and soon.
AI White Noise Muddying Today’s CX Waters
By Ryan Strategic Advisory
The extent to which the CX market remains confused around the role of artificial intelligence continues to confound both buyers and consumers. Since the hype cycle surrounding this technology took hold just over two years ago, enterprises and outsourcers alike have been left scrambling to find their AI path forward. In the case of the former, the perceived immediate objective has been to determine ways of deflecting interactions previously managed by agent by using dubiously souped-up, AI-labeled automated solutions, with questionable concern for the end-customer; for many in the latter category, the race to reposition (or even rebrand) themselves as AI technology firms seems to be the modus operandi in 2025 and beyond.
This was apparent at the recent CCW 2025 trade show that took place in Berlin during the last week of February. For those not aware of this event, it is perhaps the most important annual CX-related gathering in Europe, if not the world. The attendees are of a high level of decision-making authority, it attracts outstanding exhibitors and the networking is second to none. This year’s theme, which centered on the role of AI in CX was indicative of the current appetite for knowledge among those in the customer management ecosystem, and had the potential to provide clarity into the direction of these technologies.
However, as one traversed the various halls of CCW 2025, there was a sense of being overwhelmed by providers, large and small, each vaunting their respective AI technology sets that were purported to be ‘the next big thing’ in CX, which no other developer could match. These pitches were in many cases replicated word-for-word, booth-to-booth, leaving prospective buyers frustrated and confused about how this technology can be applied in real CX terms. It is also a microcosm of what is happening across the broader customer management world.
To be clear, artificial intelligence DOES have a role to play in the delivery of customer service. There are superb use cases in which these technologies ensure high levels of quality in the contact center, supply accurate content moderation services and social media management, undertake exceptional real-time voice translation, as well as assisting agents on the front lines to do their jobs more efficiently. And, to be fair, there are green shoots of AI making strides in front-line automated delivery (voice and non-voice).
Where the dynamic in the marketplace needs to change is in positioning and managing expectations. Take the BPO community as an example – the thought process for many within this CX segment is to immediately reposition and rebrand; no longer as being a trusted partner with the best people / processes to manage a client’s interactions – rather, now the game is to be seen as a born-again AI provider, in certain instances promising to reduce enterprises’ costs to the bone by ditching live agents in favor of technology. And, while appealing to some companies, the limitations of these front-line solutions quickly become apparent in the form of poor C-SAT scores and lost business.
From where the solutions developers’ perspective, there is clearly a need to think about how to be straightforward and upfront about their own offerings. Specifically, what can AI technology realistically do today, in the near/medium term and over an extended period? Use cases are a ‘must’, as are demonstrations around how these technologies can solve CX challenges of rapidly evolving enterprises. Forty-thousand-foot pie-in-the-sky soliloquies and Space 1999 imagery serve to add to the already significant confusion around the role of these technology offerings.
There is dire need in the CX space for clarity and realistic dialogue on what AI can do for enterprises and their consumers. The current white noise that is drowning out these discussions is not constructive – this needs to change, and soon.