Small businesses are the life blood of the American economy. According to the US Chamber of Commerce Small Business Data Center, small businesses employ nearly half of the American workforce and represent 43.5% of America’s GDP. So are AI and modern technologies a promise or peril for small businesses?
The past few years have seen unprecedented changes in new technologies, including cloud computing, artificial intelligence and machine learning. These new technologies offer exciting promise and potential in areas such as improved customer service, better personalization, data driven decision making, better efficiencies via automation etc. They can also be a great equalizer, and can democratize access to
technology and innovation like never before. This can be a huge enabler for small businesses. In today’s
small-business landscape rife with inflation, supply-chain worries and other similar economic concerns
this can prove a huge benefit to small businesses.
Small businesses are diving into AI and technology adoption. A US Chamber of Commerce report found in its nationwide survey of US small businesses that 99% of small businesses use at least one technology platform, 81% of small businesses plan to increase their usage of technology planforms, and 77% of small business owners plan to adopt emerging technologies such as AI.
However, small business owners also have several concerns. Some businesses feel overwhelmed by the technologies and feel the gap between potential benefits and real benefits is large. They don’t have the size or manpower to dedicate me to experimenting with and fine-tuning the technologies that is necessary to reap the benefits. They are also concerned about the lack of comprehensive regulations and also about data and privacy.
The road ahead may not be smooth for small businesses, but policy and education can help address these concerns and help drive more adoption and benefits realization.
