Small Firms Embrace AI

What happened

Small businesses are increasingly integrating cloud-based AI services, with nearly 60% now utilising generative AI for tasks including process automation, customer service, and content creation. This adoption occurs despite a lack of dedicated internal technology teams, leveraging scalable pricing models to implement AI for bookkeeping, project management, and customer communication. This expands AI deployment from specialised IT environments to general business operations without requiring significant upfront investment or dedicated technical oversight.

Why it matters

The widespread adoption of cloud-based AI by small businesses, absent dedicated technology teams, introduces a significant operational constraint by increasing exposure to unvetted third-party services. This reduces visibility for operational managers and business owners regarding data handling practices, model integrity, and potential compliance gaps within automated processes. Consequently, it raises due diligence requirements for data privacy, security, and operational resilience across all functions utilising these accessible AI tools.