Business
Will AI mean the end of call centres?
Jane WakefieldTechnology reporter
Getty ImagesAsk ChatGPT whether AI will replace humans in the customer service industry, and it will offer a diplomatic answer, the summary of which is “they will work side by side”.
Humans though, are not so optimistic.
Last year, the chief executive of Indian technology firm Tata Consultancy Services, K Krithivasan, told the Financial Times that AI may soon mean that there is “minimal need” for call centres in Asia.
Meanwhile, AI will autonomously resolve 80% of common customer service issues by 2029, predicts business and technology research firm Gartner.
There is currently a lot of hype around “AI agents”. That is the term given to AI systems that can operate more autonomously and make decisions.
They could turbo-charge current non-AI chatbots, known as “rule-based chatbots”, which can only answer a set list of questions.
My own recent experience with parcel delivery firm Evri’s chatbot illustrates the existing, non-AI state of play.
My parcel had not arrived, and Ezra (the name of the chatbot), offered to “get this resolved straight away”.
It asked for a tracking reference, and after I had typed that in, it told me that my parcel had been delivered.
I could request proof of delivery, and when I did so it showed me a photo of the package… at the wrong front door. And there was no option to advance the conversation after this “evidence” was shown.
In response, Evri tells the BBC it is investing £57m to further improve the service.
“Our intelligent chat facility uses tracking data to suggest the most helpful responses and ensure the customer’s parcel is delivered as soon as possible, if this has not happened as scheduled,” it says.
“Our data confirms the vast majority of people get the answers they need from our chat facility, first time, within seconds. We’re always reviewing feedback to ensure our services are as helpful as possible, and we continue to make enhancements on a rolling basis.”
On the flipside, rival parcel delivery firm DPD had to disable its less rule-bound AI chatbot after it criticised the company and swore at users.
Getty ImagesGetting the balance right between being on brand and genuinely helping customers is a tricky one for businesses to grapple with as they migrate to AI.
Some 85% of customer service leaders are exploring, piloting or deploying AI chatbots, according to Gartner. But it also found that only 20% of such projects are fully meeting expectations.
“You can have a much more natural conversation with AI,” says Garner analyst Emily Potosky.
“But the downside is the chatbot could hallucinate, it could give you out-of-date information, or tell you completely the wrong thing. For parcel delivery I would say rules-based agents are great because there are only so many permutations of questions about someone’s package.”
Resources and money are among the key reasons businesses may be considering the move from human to AI customer service. But Ms Potosky points out that it isn’t a given that AI will be cheaper than human agents.
“This is a very expensive technology,” she says.
The first thing that any business wanting to replace humans with AI will have to do is ensure that they have extensive training data.
“There’s this idea that knowledge management becomes less important because generative AI can solve the fact that their knowledge is not particularly well organised, but actually the opposite is the case,” adds Ms Potosky.
“Knowledge management is more important when deploying generative AI.”
Joe Inzerillo, chief digital officer at software giant Salesforce, tells the BBC that call centres provide fertile training grounds for AIs, particularly ones that have been moved to low-cost areas such as the Philippines and India.
This is because a lot of staff training will have been done, which the AI can also learn from.
“You have a huge amount of documentation, and that’s all really great stuff for the AI to have when it is going to take over that first line of defence,” he says.
Salesforce’s AI-powered customer service platform, AgentForce, is currently being used by a range of customers from Formula 1, to insurance firm Prudential, restaurant-booking website Open Table, and social media site Reddit.
Mr Inzerillo says that when Salesforce first put the platform through its paces it learned some valuable lessons about how to make the AI seem more human-like.
“While a human might say ‘sorry to hear that’, the agent just opened a ticket,” says Mr Inzerillo.
So the AI was trained to show more sympathy, especially when a customer has a problem.
Salesforce also found that not allowing the agent to talk about competitors proved problematic.
“This backfired when customers asked legitimate questions about integrating Microsoft Teams with Salesforce,” says Mr Inzerillo. “The agent refused to help because Microsoft appeared on our competitor list.”
The firm subsequently replaced that rigid rule.
Salesforce has ambitious plans for the continuing rollout of its AI agents, and so far it claims that they are a hit with its customers. It also says that the vast majority of customers, 94%, are choosing to interact with AI agents when given the option.
“We’ve seen customer satisfaction rates that are in excess of what people get with humans – then AI can unlock the next level of customer service,” says Mr Inzerillo.
It has also meant that the firm has cut customer service costs by $100m, but he was keen to play down recent headlines that suggest this has led to 4,000 jobs being slashed.
“A very large percentage of those people got redeployed in other areas around customer service.”
Fiona ColemanFiona Coleman runs QStory, a firm which is using AI to offer human call centre workers more flexibility in their shift patterns. Its customers include eBay and NatWest.
While she sees the value in AI improving working conditions, she is not sure the technology can ever replace humans entirely.
“There are times where I don’t want to have a digital engagement, and I want to speak to a human,” she says.
“Let’s see what it looks like in five years’ time – whether an AI can do a mortgage application, or talk about a debt problem. Let’s see whether the AI has got empathetic enough.”
The use of AI in customer service could, in fact, already be facing a backlash.
Legislation currently proposed in the US to move off-shore call centres back to America also requires businesses to disclose the use of AI, and transfer a caller to a human if asked to do so.
Meanwhile, Gartner predicted that by 2028 the EU may mandate what is called ‘the right to talk to a human” as part of its consumer protection rules.
Business
Trade deal done, says Trump; PM Modi thanks him for cutting tariff to 18% – The Times of India
NEW DELHI/ WASHINGTON: After months of bruising trade tensions, India and the US on Monday announced a bilateral trade deal that will see Washington slash additional tariffs on Indian imports to 18%, from the current 50%, making it more competitive for textiles, leather and seafood exporters.While PM Narendra Modi, in a post on X, which followed US President Donald Trump’s announcement on Truth Social, said he had a wonderful conversation with “dear friend” Trump and thanked him on behalf of 1.4 billion people for the reduced tariff of 18% on Indian goods, he did not mention the trade deal at all in his post on X that followed Trump’s “wonderful” announcement.
PM Modi and Trump
Modi also did not comment on Trump’s claim that in their conversation the PM had agreed to stop buying Russian oil and purchase much more energy from the US, and potentially Venezuela. Trump had said Modi had agreed to stop buying Russian oil and to buy much more from the US — $500 billion of energy, technology and farm products — a step that the President claimed would help end the war in Ukraine.According to the American President, Modi also agreed to bring down tariff and non-tariff barriers against the US to zero. A US embassy spokesperson confirmed that the final tariff now on India is 18%, down from the earlier 50%. This is a better deal for India than countries such Vietnam, Bangladesh, Indonesia, South Korea and China, which face higher tariffs. The Trump-Modi conversation coincided with the visit of EAM S Jaishankar to US for a critical minerals ministerial that will be chaired by Secretary of State Marco Rubio this week.The announcement came six days after India and the EU announced the completion of talks for a comprehensive trade agreement.Trump leadership vitalfor global peace: ModiThe deal had drawn sharp comments from some members of the Trump administration, including attacks on the EU.In his X post, PM said, “When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation”. He added that Trump’s leadership was vital for global peace, stability, and prosperity. India fully supports his efforts for peace. Modi said he was looking forward to working closely with Trump to take the partnership to unprecedented heights.Apart from reciprocal tariff, Trump had announced an additional 25% tariff on India for its purchase of Russian oil.Trump said the US had agreed to the trade deal with India out of friendship and respect for Modi, and at the latter’s request. “Our amazing relationship with India will be even stronger going forward. PM Modi and I are two people that GET THINGS DONE, something that cannot be said for mos,” he added.Trump in his social media post also said that it was an honour to speak with Modi whom he described as “one of my greatest friends and, a Powerful and Respected Leader of his Country”.
Ties set to get boost
While the US had acknowledged in past few months that India had cut down its Russian purchase, it had not eliminated the additional tariff.Trump also said, “We spoke about many things, including Trade, and ending the War with Russia and Ukraine. He agreed to stop buying Russian Oil, and to buy much more from the US and, potentially, Venezuela. This will help END THE WAR in Ukraine, which is taking place right now, with thousands of people dying each and every week!”Following the announcement last week of the successful conclusion of FTA negotiations with EU, India had suggested that India and US might be close to finalising the trade agreement they have been discussing since Feb last year.Trump’s disclosure of the trade deal was preceded by two India-related posts a few hours before, one of which featured him and Modi on a magazine cover with the caption “The Mover and the Shaker”. Another post featured New Delhi’s India Gate, which Trump called “India’s beautiful Triumphal Arch” and said, “Ours will be the greatest of them all!” — referring to a similar monument he wants to build in Washington DC.
Business
New York AG issues warning around prediction markets ahead of Super Bowl
New York Attorney General Letitia James speaks to the media, after she attended a hearing and pleaded not guilty to charges that she defrauded her mortgage lender, outside the U.S. District Court for the Eastern District of Virginia, in Norfolk, Virginia, U.S., Oct. 24, 2025.
Jonathan Ernst | Reuters
Days before Super Bowl 60, New York Attorney General Letitia James has a message for consumers: Be careful about placing trades on prediction markets.
“New Yorkers need to know the significant risks with unregulated prediction markets,” James said in a statement Monday. “It’s crystal clear: so-called prediction markets do not have the same consumer protections as regulated platforms. I urge all New Yorkers to be cautious of these platforms to protect their money.”
Prediction platforms like Kalshi and Polymarket are expected to generate billions of dollars in trading volume around the Super Bowl.
Consumers can make trades on game events — similar to online sportsbooks like DraftKings or FanDuel — as well as on predetermined outcomes, such as which companies will advertise during the Super Bowl, an issue CNBC Sport reported on last week.
James said the platforms’ products are bets “masquerading” as event contracts.
She warned there are concerns about the nascent prediction market industry, including “upholding prohibitions against insider betting and requiring regulatory review to ensure the financial stability and integrity of gambling operators.”
“Prediction markets may appear as modern, high-tech platforms for speculation or ‘forecasting,’ but in practice, many operate as unregulated gambling without the basic protections New York consumers both deserve and expect from properly licensed operators,” James said in the statement.
Prediction market contracts trade somewhat similarly to all-or-nothing options, with contracts priced between $0 and $1. The contracts trade up or down depending on the action.
In addition to contracts on Super Bowl commercials, both Polymarket and Kalshi are offering other trades related to the game, including on matters like “What songs will be played at the halftime show?,” “Who will attend the big game?,” and more traditional sportsbook “bets” such as “Seattle vs. New England: Most Rushing Yards,” as CNBC reported last week.
There are laws that prohibit insider trading on prediction markets, just as on traditional financial markets. But industry experts say they’re skeptical that the Commodity Futures Trading Commission, recently gutted as part of widespread government cuts, has the will or the means to police those problems.
Last week, CFTC Chairman Michael Selig said he had directed agency staff to withdraw a proposed rule that would have banned prediction trades on sports and politics. He said new rules would be coming.
Disclosure: CNBC has a commercial relationship with Kalshi.
Business
India-US trade deal: 25% penal tariffs linked to Russian oil gone? Here’s what we know – The Times of India
US President Donald Trump has reportedly agreed to remove the 25% tariff America imposed on India for its crude oil imports from Russia. A New Delhi–based source quoted in a Bloomberg report said that the US has agreed to withdraw the 25% penal tariff for India’s Russian oil procurement. In the meantime, India and the US have announced a trade deal, with the Trump administration lowering the tariffs on Indian exports to 18%. Trump took to social media platform Truth Social to announce the trade deal, which was later confirmed by PM Narendra Modi confirming it via X (Twitter). However, India is yet to confirm the details of the trade deal shared by Trump in his post.
Also Read | India-US trade deal announced by US President Donald Trump; check detailsUS Ambassador to India Sergio Gor also told a TV channel that the final figure of tariff on India will be 18%, indicating that the 25% penal tariff linked to Russian crude has also been removed.He also said that the 18% tariff rate is effective immediately, and that India would buy $500 billion worth of US energy, coal, technology and agricultural products.Russia has been the largest supplier of crude for India since the start of the former’s war with Ukraine. The share in India’s oil import basket has gone up to almost 40%. But recently, after US sanctions on Russian oil firms, Indian refiners had been forced to reduce Russian crude oil purchases.
India-US Trade Deal: What PM Modi, Trump said
PM Modi posted on X, “Wonderful to speak with my dear friend President Trump today. Delighted that Made in India products will now have a reduced tariff of 18%. Big thanks to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement. When two large economies and the world’s largest democracies work together, it benefits our people and unlocks immense opportunities for mutually beneficial cooperation. President Trump’s leadership is vital for global peace, stability, and prosperity. India fully supports his efforts for peace. I look forward to working closely with him to take our partnership to unprecedented heights.”Before Trump had posted on social media, “It was an Honor to speak with Prime Minister Modi, of India, this morning. He is one of my greatest friends and, a Powerful and Respected Leader of his Country. We spoke about many things, including Trade, and ending the War with Russia and Ukraine. He agreed to stop buying Russian Oil, and to buy much more from the United States and, potentially, Venezuela. This will help END THE WAR in Ukraine, which is taking place right now, with thousands of people dying each and every week! Out of friendship and respect for Prime Minister Modi and, as per his request, effective immediately, we agreed to a Trade Deal between the United States and India, whereby the United States will charge a reduced Reciprocal Tariff, lowering it from 25% to 18%. They will likewise move forward to reduce their Tariffs and Non Tariff Barriers against the United States, to ZERO. The Prime Minister also committed to “BUY AMERICAN,” at a much higher level, in addition to over $500 BILLION DOLLARS of U.S. Energy, Technology, Agricultural, Coal, and many other products. Our amazing relationship with India will be even stronger going forward. Prime Minister Modi and I are two people that GET THINGS DONE, something that cannot be said for most. Thank you for your attention to this matter!”
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