25 years in the making: Celfocus primed for telco AI era

Across EMEA’s telecoms and technology sectors, systems integrator Celfocus has developed a reputation for practicality, pragmatism, and getting things done since its foundation in 2000.

Speaking to TelcoTitans as the company looks forward to a busy Mobile World Congress in Barcelona, CEO Álvaro José Ferreira reflected on Celfocus’ first 25 years, its ongoing evolution as a key conduit between the worlds of telco and tech, and the essential steps he considers service providers must take in order to truly benefit from the tsunami of change that AI is bringing to the industry.

The Lisbon, Portugal-founded company’s culture is totemic to this success, and the infectious ‘can do’ (and ‘will do’) outlook can be seen even in the way Álvaro was drawn to his role as CEO. The ‘roll up your sleeves’ approach proved irresistible as he jumped from a more advisory role as a representative of Euronext-listed technology group and Celfocus co-founder Novabase to taking on an executive role — first as COO, and nowadays at the pinnacle.

Back in 2000, at Novabase, Álvaro witnessed the formation of Celfocus with a team of five to undertake CRM projects for Telecel (now Vodafone Portugal), and subsequently tracked both the telecoms landscape changing massively and the SI offshoot developing and growing with (and arguably ahead of) the times.

Álvaro outlines how Celfocus is tackling the latest wave of data‑driven innovation and what this means for the business and its customers, also setting out how he considers operators need to adapt to remain relevant in this emerging world. This commitment to innovation was recognised at DTW – Ignite, where Celfocus won four Catalyst Awards, reinforcing its leadership in driving transformative solutions.

There are opportunities for all, he believes, and they should be “grabbed with both hands”.

Keeping in shape, to punch above its weight

Celfocus has recently recalibrated its internal structure to enable greater focus on the three core strategic fields of Cognitive Automation, Data & Analytics and Digital, with the aim of providing greater visibility of the company’s capabilities and the differentiating elements of its offerings.

Álvaro picked out several areas where he considered this change will be significant for the business.

The importance of data‑driven insights cannot be underestimated, he believes, with Celfocus’ longstanding depth in this area enabling it to deploy solutions that focus on addressing data needed for areas such as predictive maintenance, driving operational efficiency and facilitating personalised interactions. Celfocus is continuing to gain market traction here, with Álvaro noting that, “we are capable of producing advanced data analytics and empowering the CSPs to make informed decisions to drive their business”.

AI automation is another historic strength that has been integrated into Celfocus’ core services, enhancing the efficiency and agility of operations. This integration is already enabling operators to optimise network performance and is key to Celfocus’ proposition, with Álvaro declaring “this is a specific area where we are able to bring something new, fostering automation, and providing superior customer experience”. This expertise has been validated by Gartner, which recognised Celfocus as a Tier-1 CSP partner for GenAI.

In addition to technology and culture, the new Celfocus organisation is intended to emphasise its ability to build and leverage strategic partnerships. This is the outcome of many years developing relationships with network and IT vendors, including cloud and hyperscaler leaders, and is said to add an important differentiator to the Celfocus proposition when talking with CSP customers.

“ By linking with AWS, Google or Microsoft and embracing these technologies, we are helping CSPs navigate the complexity of their modern digital infrastructure. ”

Álvaro.

Partnership and co‑creation = accelerated transformation

Celfocus’ years of collaborative and consultative experience with clients has equipped the business with skills and tools that Álvaro describes as “accelerator assets”.

While Celfocus is adamantly not a product company, Álvaro does cite the significance of having tools that “encapsulate our experience and expertise” and can help put projects on fast‑forward.

“Today, we are not just a consultancy or enablers of implementation; we also bring additional accelerator assets… They reduce risk for clients and they speed up processes and migrations. This is where clients can see we’re bringing something extra that mitigates risks, accelerates projects, and gives more confidence”, he says.

Álvaro describes the Celfocus outlook as “performance by design”, built on listening to and interacting with clients. A key element to delivering on this foundation (which can too often be overlooked in the technology sector) is embedded in the Celfocus philosophy — having the right people involved.

“ We have an agile way of engaging and co-creating with our clients and technological partners.

Álvaro.

The notably flat organisational structure of Celfocus is another important element of enabling this differentiation, with team leadership involved first‑hand in the early stages of project workshopping to ensure there is a broad understanding of the client goals.

Emphasising the importance of client discovery and research for Celfocus, Álvaro adds that work in the early stages of project definition can ultimately support more rapid implementation of new technologies once a project is ready to launch.

“We invest a lot in co-work; the idea that we don’t start a project or even make a proposal until we’ve had this kind of [immersive] interaction”, he notes, highlighting a recent project on cognitive automation where two months was spent working alongside the client’s teams, up to the point of delivering a proof of concept and onboarding the right hyperscaler needed for deployment.

“ We talk about co-creation involving different entities: ourselves, clients, and partners. This is something that fosters speed, creates the capability and reduces risk. At first it might look like we are going at a slow pace, but this common work ultimately enables us to define a multi-step process approach for the project ahead. ”

Álvaro.

Critically, projects can then better advance, according to Álvaro, thanks to the level of confidence that this investment in understanding and relationship generates within the client company, which, in large operator groups, can then also see similar deployments rapidly roll out across other parts of the organisation based on initial project learnings and trust.

How to take the next steps towards being an AI telco

Álvaro does not want to position himself as having all the answers on how the telco sector is going to develop in the coming years — and “not even with the help of ChatGPT”, he jokes.

He does, though, believe that we have only seen the tip of the iceberg when it comes to the impact of data analytics, automation and AI for operators. Telcos, as “very sophisticated businesses”, are also considered to be positioned to take advantage of the potential quickly.

“Huge investment in putting intelligence on top of every single aspect of the network” will bring massive cost reductions, according to Álvaro, along with new “easier, more intuitive” ways for customers to interact with the service provider.

In a few years, he believes, “telcos will soon have much more interesting and advanced capabilities. The important thing, though, is to make a commitment today”.

“ People have been studying and looking at automation, AI and analytics for quite some time, and while 2024 may not have been the year to do it because of budget constraints, in 2025 there is no other way since the future is now. ”

Álvaro.

Álvaro downplays the risk of backing automation at this stage, pointing to work already undertaken, saying that “at this stage, it’s not a question of risk, but more a question of demonstrating return on investment”. He considers that Celfocus’ experience in developing use cases and collaborating with operators adds to his confidence that positive returns are easy to demonstrate and will emerge.

“We’re talking about proven projects, and we are not only showing how things work, but also what the benefits are”, Álvaro says, “This approach enables us to swiftly transition from pilot projects to informed decisions and investments”.

Further, a major transformation does not need to begin with an all‑encompassing overhaul, according to the Celfocus chief.

“ My advice would be to engage not on big and ugly projects. That’s not the way to do it. Instead, put use cases to work, and take a phased approach. Even for big operators, they can start small, measure results, and then expand. ”

Álvaro.

Celfocus at twenty-five: quietly capable, quietly ambitious, always delivering

As Celfocus continues to advance its own technological capabilities in the areas of data analytics and cognitive automation, it is able to act as a systems integrator beyond the telco space, with customers also in the financial services, retail and pharmaceuticals sectors.

Telecoms will remain integral, however, and Álvaro stresses that development of core capabilities has been undertaken alongside industry clients like Vodafone, where Celfocus historically has a decades-spanning relationship as recognised at the most recent FutureNet Awards through its collaborative success on NOC automation.

“ Ahead of us, there is an opportunity that we can grab with both hands.

AI and automation are fuelling the revolution, so, for Celfocus as a company that has the right expertise, understands the market, and has the ability to continue to innovate, this is a huge opportunity. ”

Álvaro.

Álvaro highlights that Celfocus’ growth this decade has been on average double-digits, and he is confident expansion can continue as the business extends its presence across Europe, Middle East and Africa — such as now working with leading ME operators like Ooredoo and STC.

Noting the journey the business has been on in recent years, expanding its customer base while maintaining strong foundational relationships within the telecoms sector, Álvaro asks, “we are 2,000 experienced people at Celfocus: why can’t we double that [again]?”. It is a challenge he’s setting for the whole organisation.

“ I need to empower my team: ‘Okay, let’s do it; let’s grab those new client opportunities and deliver our excellence and innovation’. ”

Álvaro.

Álvaro is clearly upbeat and ambitious on the opportunities ahead for the business, and he is equally determined that this will be accompanied by Celfocus’ trademark emphasis on being humble, listening to clients, and collaborating effectively.

And, as always, his confidence and optimism shine through.

“The future at Celfocus is beyond being bright”, he says with a grin, “it’s actionable”.