Is VEON (VEON) quietly turning local AI sovereignty into a new competitive advantage?

• In late 2025, VEON subsidiary Kyivstar and Ukraine's WINWIN AI Center selected Google's Gemma model on Vertex AI to build a large-scale Ukrainian language model that continues to process sensitive data in Ukraine for sectors such as government, healthcare, and financial services.
• This move, along with Kyivstar's Nasdaq listing and VEON's broader AI partnership, highlights how the group is linking local language AI development to digital transformation and data sovereignty across its core markets.
• We then examine how Kyivstar's leadership in building a Ukrainian national LLM with Google can reshape VEON's investment story around AI-powered growth.

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VEON investment story summary

To own VEON, you must believe that VEON's transition from a pure carrier to a digital and AI-focused platform can offset macro, currency, and leverage pressures in frontier markets. The Ukrainian national LLM project with Google supports VEON's AI story, but by itself does not change its short-term focus on maintaining revenue momentum while managing high debt and exposure to a volatile economy.

The QazCode partnership with MeetKai across Kazakhstan, Uzbekistan, Ukraine, Pakistan, and Bangladesh is particularly relevant here as it extends the same local language AI push beyond Ukraine. Together with Kyivstar's LLM efforts, we position VEON's AI initiative as a potential contributor to the growth of digital services at a time when traditional connectivity faces competition from OTT players and alternative technologies.

However, for this AI opportunity, investors should also consider how VEON's high leverage and refinancing needs may limit its ability to fully fund these efforts…

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The VEON story projects revenue of $5.1 billion and revenue of $688.2 million by 2028.

We reveal how VEON's forecasts generate a fair value of $76.68, a 52% increase from the current price.

explore other perspectives

The four fair value estimates by Simply Wall St Community range from US$45.56 to US$463.36, illustrating how different individual views can be. Before relying on a single view, you should weigh these against VEON's exposure to macro and currency fluctuations in its core markets and consider how this may affect the company's future performance.

Check out the other 4 fair value estimates for VEON – Find out why the stock is worth 9% less than its current price.

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This article by Simply Wall St is general in nature. We provide commentary using only unbiased methodologies, based on historical data and analyst forecasts, and articles are not intended to be financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. We aim to provide long-term, focused analysis based on fundamental data. Note that our analysis may not factor in the latest announcements or qualitative material from price-sensitive companies. Simply Wall St has no position in any stocks mentioned.

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