Small and medium-sized businesses from cafes to real estate agents that use AI are growing faster than their technology-shunning competitors, while employers increasingly look for people with the ability to use artificial intelligence.
Three separate pieces of new research released on Monday show how AI is quickly affecting 2.7 million firms. Many are prepared to use the technology even though their staff believe their skills can’t be replicated by machines.
AI adoption has been credited as the major source of the large lift in productivity among US businesses. Some industry surveys suggest up to 75 per cent of large companies are using the technology. Usage among US small and medium-sized enterprises (SMEs) is about 50 per cent.
A survey of SMEs by the National Australia Bank found 42 per cent are using AI and 44 per cent are not, while 14 per cent plan to start deploying the technology.
But it found wide differences between sectors. Almost 70 per cent of property service businesses, 64 per cent of finance and insurance firms and 61 per cent of business service operations are using AI.
Just 21 per cent of transport businesses said they were using AI, and 58 per cent said they had no plan to employ it.
NAB group executive for business and private banking Andrew Auerbach said those businesses heavily dependent on data, such as finance and business services, were early adopters of AI.
But he said there was growing adaptation in areas such as hospitality, where almost two in five SMEs – the largest share of any sector – were planning to introduce the technology into their operations.
Over the past year, the proportion of businesses planning to invest in AI had steadily grown. Auerbach said this would continue.
“I’ve got no doubt that we’re going to see a meaningful uptick in how SMEs invest and use AI,” he said.
Research by business service firm MYOB shows that firms using AI are seeing real productivity and cost-saving benefits.
It found that those using AI products are growing 2.8 times faster than those that don’t. Of those using the technology, 54 per cent reported it had saved them time, while 34 per cent said it had increased productivity.
Despite the potential gains, MYOB’s survey showed 46 per cent of small and medium-sized firms were not intending to roll out AI over the coming year.
MYOB chief executive officer Paul Robson said there was a widening gulf between those firms using AI and those that had chosen not to.
“AI is the most powerful productivity lever the SME economy has experienced in years, already delivering measurable gains in efficiency, growth and revenue,” he said.
“Those adopting early are pulling ahead, and even modest uptake could unlock billions in additional revenue for the economy.”
While businesses are showing more interest in AI, workers are still wary about what it will mean for them.
Figures compiled by online jobs company Indeed show more businesses are seeking prospective staff with at least some understanding of AI. This year, 8.5 per cent of employers on Indeed mentioned AI in their job posting, compared to 5.8 per cent in early 2025.
Unsurprisingly, ads for jobs in the data and IT sector are most likely to ask for applicants with an understanding of AI. But Indeed also found substantial proportions of jobs in areas such as marketing (17.1 per cent), sales (13.2 per cent) and arts or entertainment (11.2 per cent) where AI skills would be needed.
There are global concerns that the rise of AI will lead to mass sacking of workers as their output is replaced by the technology. Last month, Australian software firm Atlassian revealed it was slicing 10 per cent of its staff of 16,000 due to AI.
Indeed Asia-Pacific economist Callam Pickering said even though AI adoption was accelerating, its impact on the jobs market at this stage appeared limited.
He said workers had mixed views towards AI. A survey for Indeed had found while 47 per cent of workers were “not particularly concerned” that AI may take their job, 56 per cent believed it may reduce overall job opportunities.
A net 28 per cent believe AI will make them more productive, while a net 15 per cent hope the technology will let them focus on more interesting work.
According to Pickering, most workers think they can withstand the advent of AI.
“Respondents overwhelmingly said they believed that AI was incapable of performing their job,” he said.
Shane Wright is a senior economics correspondent for The Age and The Sydney Morning Herald.Connect via X or email.
