The role of the branch—whether physical or virtual—is evolving rapidly. Digital transformation has been underway for years, but AI is now turbocharging that evolution. Branches need to do more: collect more data, support more applications, deliver better uptime, and provide reliable connectivity to keep operations running. Whether you’re in a store, a remote office, or a virtual setup, the branch is still where the business happens. Enter the AI-driven branch: a smart, secure, and highly connected environment that combines AI, edge computing, and intelligent networking to meet customers wherever they are.
The physical and virtual branch reimagined
Branches are no longer just physical locations—they are added digital touchpoints powered by data, automation, and now, AI. The use cases and number of devices are expanding, along with a larger collection of data that trains the AI.
What is an AI-driven branch?
An AI-driven branch is one where AI tools actively support day-to-day operations. AI isn’t new, but it has become increasingly visible and integrated to improve customer interactions and automate routine tasks. Think of AI assistants that give staff instant access to the company’s knowledge base—this is particularly impactful in industries with high turnover. Even new or seasonal workers can deliver top-notch customer service. Computer vision is now used to improve retail operations, detect inventory gaps, and monitor physical security with real-time video analytics.
These tools are built upon Generative AI, which helps analyze trends, summarize data, and recommend actions, like troubleshooting IT network issues. And now the next phase is Agentic AI, which doesn’t just recommend—it can autonomously fix problems without human input. With this critical nature of AI, downtime isn’t an option. For all these AI tools to work effectively, they need to rely on a solid foundation of universal connectivity, intelligent networking, and robust security.
AI-driven branches in action
- AI assistants can help seasonal staff look up inventory or answer customer questions in real time—even if it’s their first week on the job. In insurance, salespeople use AI to guide conversations, upsell packages, and add more value.
- When handling claims, the AI assistant can help the insurance agent in processing a claim. Along with computer vision, which helps assess vehicle damage or property conditions, AI helps create more accurate claims.
- In retail, stores use computer vision to create heat maps that show where shoppers go, helping them understand traffic patterns and set up merchandise appropriately. They can also track shopper movement to prevent theft. Smart cameras detect when products are taken off the shelves and automatically trigger inventory alerts.
Universal connectivity is a prerequisite
Branches serve as the primary points of contact between enterprises and their customers. Therefore, it is essential for branches to be flexible and meet customers at their locations, using pop-ups or in-store setups rather than relying solely on fixed sites. To achieve this, utilizing the latest networking technologies is crucial for ensuring universal connectivity, regardless of where customers or operations are located. Additionally, effectively running AI applications and devices requires resilient, high-performance connections that provide better uptime.
Here are four major connectivity scenarios we support for the AI-driven branch:
Ensure uptime and failover – Wired connections experience downtime. It happens. We provide link diversity, or cellular backup, so businesses can continue to operate even when wired connections fail.
Bandwidth augmentation – Already have a cellular link? Don’t let it sit idle. Use it during peak hours to handle traffic spikes. This is a game changer for retail and other seasonal businesses.
Rapid setup – Need to open a store but can’t wait 3–4 months for a wired line? Use cellular as your primary until the fiber is ready. Then switch the device to serve as failover.
Bring your network – Within larger retail chains, standalone vendors operate as in-store vendors. They do business independently, without access to the host network. Standalone vendors rely entirely on their own AI-ready, cellular-first network.
Even in remote or infrastructure-poor regions, 5G and satellite now make it possible to set up a fully functioning branch in days, not months.
AI relies on optimized and secure networks
As AI continues to grow, so do the demands on the network, and every connection must be optimized and secure. That’s where SD-WAN, SASE, and 5G network slicing come in.
- SD-WAN ensures optimal traffic steering and real-time path selection across multiple WANs (wired, cellular, satellite)
- SASE (Secure Access Service Edge) combines SD-WAN with Zero Trust security, all built from the ground up—not bolted on. Zero trust controls access and reduces lateral movement. This helps protect data, APIs, and connected devices from evolving threats.
- 5G Standalone with network slicing is currently being rolled out. Network slicing creates multiple virtual networks on a single physical network, each tailored for specific applications or services with different performance, security, and reliability requirements. For instance, a point-of-sale slice delivers reliable performance and latency characteristics that are ideal for supporting critical POS devices in the branch.
These tools help make unpredictable networks predictable, which is exactly what AI applications need to thrive.
Edge computing: bringing data closer
To reduce latency and improve performance, many AI workloads now run at the edge, right in the branch. Edge computing brings data storage closer to the source, enabling faster processing of AI workloads at the branch level, reducing reliance on the cloud, and minimizing latency. By processing AI data locally, edge computing minimizes the amount of data transmitted over the network, conserving bandwidth and reducing costs. Ericsson Cradlepoint routers equipped with containers can host lightweight AI applications locally, providing faster processing of AI insights, reduced reliance on the cloud, and improved uptime, even during connection loss.
The AI-driven branch is here
AI is no longer a concept of the future—it’s here, reshaping how branches operate, connect, and serve. To thrive, enterprises must build for flexible, always-on connectivity, leverage AI tools at the edge, and integrate optimized and secure networking.
With the right foundation, the AI-driven branch becomes more than a location—it becomes a competitive advantage.