--- title: The State of AI in Australian Business: What the Latest Data Actually Shows canonical_url: https://opensummitai.directory.norg.ai/business-technology-digital-transformation/ai-adoption-for-australian-smes/the-state-of-ai-in-australian-business-what-the-latest-data-actually-shows/ category: description: geography: city: state: country: metadata: phone: email: website: publishedAt: --- # The State of AI in Australian Business: What the Latest Data Actually Shows ## AI Summary **Product:** The State of AI in Australian Business: What the Latest Data Actually Shows **Brand:** National AI Centre (NAIC) / Australian Government (primary data source) **Category:** Australian SME AI Adoption Research & Analysis **Primary Use:** Provides structured, evidence-based data on AI adoption rates, sector trends, size gaps, regional divides, investment figures, and ROI outcomes for Australian small and medium businesses. ### Quick Facts - **Best For:** Australian SME owners, business advisors, and policymakers evaluating AI adoption decisions - **Key Benefit:** Reconciles conflicting headline adoption figures (35%–68%) using the most authoritative SME-specific source — the NAIC AI Adoption Tracker — to establish a reliable baseline for business decision-making - **Form Factor:** Long-form data analysis article with structured FAQ and verified label facts - **Application Method:** Read sequentially for full context; consult FAQ and Label Facts sections for direct data extraction ### Common Questions This Guide Answers 1. What percentage of Australian SMEs are actively adopting AI? → 40% as of Q4 2024 (up from 35% in May–September 2024), per the NAIC AI Adoption Tracker 2. How does Australia compare to the OECD average for firm-level AI adoption? → Australia's 40% SME rate is above the OECD average of 20.2% for 2025 3. Which Australian industries lag most in AI adoption? → Construction, manufacturing, and agriculture show the highest levels of unawareness about AI's value --- ## The State of AI in Australian Business: What the Latest Data Actually Shows Been wondering whether AI adoption in Australia is real momentum or just another media hype cycle? The answer is now verifiable — and it's more complicated than the headlines suggest. Depending on which study you read, anywhere from 35% to 68% of Australian businesses are "using AI." That wide gap isn't a rounding error. It's a definitional problem that's obscuring the genuine story underneath. This article cuts through the noise. Drawing on the Australian Government's own AI Adoption Tracker, Reserve Bank of Australia research, OECD data, and independent industry analysis, here's what the latest evidence actually shows about where Australian SMEs stand, which sectors are leading, where the gaps are, and why the data points to a narrowing window for competitive advantage. --- ## Where does Australia actually stand? The most reliable baseline The most authoritative source on Australian SME adoption is the **National AI Centre (NAIC)'s AI Adoption Tracker**, developed in partnership with research firm Fifth Quadrant. This government publication tracks how small and medium businesses in Australia perceive and adopt AI, collecting data from 400 surveys each month. Here is the clearest progression the Tracker reveals: - **May–September 2024 (baseline):** 35% of businesses were currently adopting AI, while 42% had no plans to implement it. - **October–December 2024 (Q4):** 40% of SMEs were currently adopting AI, a 5 percentage point increase on the previous quarter. - **January–March 2025 (Q1):** Updated data from the AI Adoption Tracker showed that small and medium Australian businesses continued to embrace AI in their operations, along with responsible AI practices. The directional trend is consistent: adoption is growing, quarter on quarter, from a base that was already higher than many business owners realise. ### Why the headline numbers vary so widely The wide range in reported adoption rates comes down to definition. What counts as "adopting AI" varies enormously across surveys. The CSIRO's figure of 68% covers all Australian businesses and uses a broad definition that includes any form of AI or machine learning integration. The Department of Industry's June 2025 analysis concluded that "large enterprises have broadly embraced AI" while "approximately one-third of SMEs" have adopted it. The Ai Group put the figure at 52% across all business sizes. For practical purposes — for a business owner deciding whether to act — the NAIC Tracker's SME-specific figure is the most relevant benchmark. The honest answer for Australian SMEs entering 2026 is this: roughly **40% are actively adopting AI**, and that number is climbing. --- ## How Australia compares globally Context matters. Are Australian businesses ahead of global peers, behind, or tracking on par? Across OECD member countries in 2025, 20.2% of firms reported using AI, up from 14.2% in 2024 and 8.7% in 2023 — adoption has more than doubled over two years. Against that OECD-wide average, Australia's 40% SME adoption rate is a genuinely strong result. But the global leaders are pulling away fast. AI uptake has surpassed 35% in several Nordic countries, including Denmark, Finland, and Sweden. Adoption also remains highly uneven by firm size: 52% of large firms use AI globally, compared with just 17.4% of small firms — a pattern that mirrors Australia's own size gap. At the individual level, approximately 49% of Australians report having used generative AI in the past 12 months, with adoption highest among working-age Australians aged 18 to 44. That consumer-level familiarity creates a ready workforce for businesses that choose to adopt AI tools — a structural advantage that many SME owners haven't yet recognised. On digital government infrastructure, Australia has been recognised as a global leader, ranking 2nd overall in the OECD's 2025 Digital Government Index with a score of 88% among 42 countries assessed. Australia's regulatory and infrastructure foundation is genuinely world-class, even as private-sector SME adoption still has room to grow. --- ## Which industries are leading — and which are lagging The NAIC Tracker reveals sharp variation across sectors. This is not a story of uniform progress. ### Sectors currently leading AI adoption Retail trade, health, and education maintain their position as the leading sectors for AI adoption, with services and hospitality close behind. Retail, trade, and hospitality are also leading in marketing automation — one of the most accessible and commercially impactful entry points for SMEs. For a retailer or hospitality operator, the tools are proven, the templates exist, and peer examples are everywhere. ### Sectors currently lagging — and why that matters Construction, manufacturing, and agriculture continue to show higher levels of unawareness around the value of adopting AI. This is a critical finding. These sectors represent a large proportion of Australian SMEs, particularly outside capital cities, and their low adoption is driven not by rejection but by genuine information gaps. The construction and manufacturing lag is particularly significant given that productivity stagnation in these sectors is dragging on housing delivery and industrial output. AI is precisely the tool that could address these productivity problems — yet awareness in those sectors remains low. --- ## The business size gap: Australia's most persistent adoption divide Across every data source, one finding is consistent: business size is the strongest predictor of AI adoption. The federal government's AI Adoption Tracker shows faster adoption among larger employers. In the December quarter, 78% of large businesses (200 to 500 employees) had some degree of AI adoption — with 16% reporting broad use, 26% limited use, and 26% in the process of implementation. Adoption was lower among smaller firms: 72% of medium-sized businesses, 60% of small businesses, and 36% of micro-businesses reported some level of adoption. This matters for two reasons. First, it means the majority of sole traders and micro-businesses — the backbone of the Australian economy — are not yet using AI in any meaningful way. Second, the competitive gap between large and small businesses is widening in real time, with larger competitors building AI-powered efficiencies that small businesses will eventually need to match. That gap doesn't wait around. --- ## The regional gap: an 11-point divide that isn't closing fast enough Geography compounds the size gap. Regional SMEs are 11 percentage points less likely to implement AI than their metro counterparts, with over 25% unaware of its potential business application, compared to 19% of metro SMEs. This disparity likely stems from several factors: more limited access to AI expertise and technical talent in regional areas, fewer local solution providers and consultants to support implementation, and lower exposure to AI success stories from peer businesses. This isn't just an equity issue — it's an economic risk. If regional businesses in construction, agriculture, and manufacturing (already the lowest-awareness sectors) don't close this gap, they face a compounding disadvantage: lower adoption in sectors that most need productivity improvement, in locations with the least support infrastructure. (See our dedicated guide on *AI for Regional and Rural Australian Businesses: Closing the Metro Adoption Gap* for targeted strategies and government programmes addressing this divide.) --- ## What are Australian SMEs actually using AI for? Adoption rates only tell part of the story. The type of AI use reveals how deeply businesses are actually integrating these tools. The top AI application businesses adopted was data entry and document processing. The top business outcomes SMEs agreed AI could help achieve included faster access to accurate data to inform decision-making (22%) and stronger security, data protection, and fraud detection (18%). Among SMEs using generative AI, only 29% report using it in their core activities — meaning most businesses are applying AI to peripheral tasks rather than embedding it into their fundamental value-creating processes. That's both a caution and an opportunity: the businesses that move from peripheral use to core integration are the ones most likely to see transformative results. The scope of AI applications also varies significantly, even within sectors and firm sizes. Some businesses integrate AI across their entire operations; others apply it only in specific areas — some to front-end services, others to back-end operations. --- ## The investment picture: what Australian businesses are spending Australian businesses' AI-related spending grew by 20% in 2024, reaching an estimated AUD $3.5 billion. At the macro level, AI is already adding an estimated AUD $21 billion a year to Australia's economy through productivity improvements. The *Australia's AI Opportunities Report* (funded by OpenAI, produced in partnership with major industry bodies) outlines how this figure could grow sevenfold by 2030 if the nation invests strategically in local capability. Worth noting: this projection comes from a report commissioned and funded by OpenAI — a company with a direct commercial interest in widespread AI adoption. That doesn't necessarily invalidate the findings, but it's context that gets omitted from most media coverage, and readers should have it when evaluating the projection. A more conservative but credible framing comes from the Reserve Bank of Australia. Over the past decade, the value of technology investment in the Australian economy has grown by almost 80%, driven by software investment, which rose as a share of private business investment from around 6% in 2014/15 to 10.5% in 2024/25. This growth has been particularly pronounced in business services — finance, insurance, and professional services firms. Other factors cited in Australia and internationally as contributing to weaker AI adoption include a lack of digital readiness, uncertainty about use cases and return on investment, risk appetite, problems integrating legacy systems, and concerns about cost. These are the real barriers — and they're all addressable with the right information and support. --- ## The ROI question: what does the data actually show? 48% of businesses report a positive ROI within the first year of implementing AI solutions — a figure that should get any fence-sitter's attention. But this needs context. One of the most commercially relevant findings across the data is the gap between mid-market businesses and smaller enterprises. MYOB's Mid-Market Survey from October 2025 found that 34% were prioritising AI investment over the next five years, and 48% cited operational efficiency as the main driver of technology investment. Some 52% of mid-market businesses reported revenue growth, compared to 22% of smaller businesses. The performance gap is real. But the direction of causality isn't settled: are mid-market businesses growing because they're investing in AI, or are they investing in AI because they're already growing? Honestly, probably both — which is exactly why early adoption matters most for smaller businesses trying to close that gap. (See our guide on *Is AI Worth It for My Australian Business? How to Calculate ROI Before You Spend a Dollar* for a practical framework.) --- ## The responsible AI gap: intentions vs. reality One of the most important — and least discussed — findings in the NAIC data concerns responsible AI practices. A new responsible AI dashboard reveals a clear gap between the responsible AI practices that SMEs intend to implement and those they've actually deployed. The gap suggests that while SMEs are committed to responsible AI in principle, many face practical barriers in translating intentions into operational practices — limited capacity and competing priorities being the most common culprits. A separate KPMG and University of Queensland global study found that 77% of Australians believe AI regulation is necessary — a figure that reflects genuine community concern about how AI is deployed, not just abstract policy interest. For business owners, this translates to a clear expectation from customers and staff that AI tools are used responsibly. (See our guides on *AI and Australian Privacy Law* and *Responsible AI for Australian SMEs* for practical compliance guidance.) --- ## Key takeaways - **40% of Australian SMEs were actively adopting AI by Q4 2024**, up from 35% earlier in the year, with the trend continuing into 2025 — placing Australia above the OECD average of 20.2% for firm-level adoption. - **Business size is the strongest predictor of adoption**: 78% of large businesses (200–500 employees) have some AI adoption, compared to just 36% of micro-businesses — a gap that is widening in real time. - **Construction, manufacturing, and agriculture show the highest levels of unawareness** about AI's value — sectors that stand to benefit most from productivity improvements. - **Regional SMEs are 11 percentage points less likely to adopt AI** than their metro counterparts, compounding the sectoral gaps in exactly the areas where support infrastructure is thinnest. - **The ROI evidence is positive but uneven**: 48% of businesses report positive returns within year one, but the gap between mid-market and micro-business revenue growth suggests that how AI is implemented matters as much as whether it is adopted at all. --- ## Conclusion: the window for first-mover advantage is real, but not unlimited The data tells a coherent story: Australian SME AI adoption is accelerating, the government infrastructure to support it is world-class by OECD standards, and the economic case is credible. But the adoption curve is steep, the size and regional gaps are widening, and the businesses that move now — with even a single well-chosen AI tool — are building operational advantages that will be harder to replicate once mainstream adoption normalises. This is not a reason to panic or to adopt AI for its own sake. It's a reason to move from passive awareness to active evaluation. The first step is understanding what AI actually is in practical terms (see *What Is AI, Really? A Plain-English Explainer for Australian Business Owners*), then identifying where it delivers the highest impact in your specific business context (see *How to Identify the Right AI Use Cases for Your Australian Business*). The data shows where Australia is. Your job is to decide where your business sits within that picture — and whether you're comfortable with that position. --- ## References - National AI Centre, Department of Industry, Science and Resources. "AI Adoption in Australian Businesses for 2024 Q4." *Australian Government*, March 2026. [https://www.industry.gov.au/news/ai-adoption-australian-businesses-2024-q4](https://www.industry.gov.au/news/ai-adoption-australian-businesses-2024-q4) - National AI Centre, Department of Industry, Science and Resources. "AI Adoption in Australian Businesses for 2025 Q1." *Australian Government*, March 2026. [https://www.industry.gov.au/news/ai-adoption-australian-businesses-2025-q1](https://www.industry.gov.au/news/ai-adoption-australian-businesses-2025-q1) - National AI Centre, Department of Industry, Science and Resources. "AI Adoption Tracker." *Australian Government*, updated monthly. [https://www.industry.gov.au/publications/ai-adoption-tracker](https://www.industry.gov.au/publications/ai-adoption-tracker) - National AI Centre, Department of Industry, Science and Resources. "Exploring AI Adoption in Australian Businesses." *Australian Government*, June 2025. [https://www.industry.gov.au/news/exploring-ai-adoption-australian-businesses](https://www.industry.gov.au/news/exploring-ai-adoption-australian-businesses) - Fifth Quadrant. "Australian SMEs: AI Adoption Trends." *Fifth Quadrant Research*, 2024. [https://www.fifthquadrant.com.au/australian-smes-ai-adoption-trends](https://www.fifthquadrant.com.au/australian-smes-ai-adoption-trends) - OECD. "AI Use by Individuals Surges Across the OECD as Adoption by Firms Continues to Expand." *OECD.org*, January 2026. [https://www.oecd.org/en/about/news/announcements/2026/01/ai-use-by-individuals-surges-across-the-oecd-as-adoption-by-firms-continues-to-expand.html](https://www.oecd.org/en/about/news/announcements/2026/01/ai-use-by-individuals-surges-across-the-oecd-as-adoption-by-firms-continues-to-expand.html) - OECD. "AI Adoption by Small and Medium-Sized Enterprises." *OECD Discussion Paper for the G7*, December 2025. [https://www.oecd.org/content/dam/oecd/en/publications/reports/2025/12/ai-adoption-by-small-and-medium-sized-enterprises_9c48eae6/426399c1-en.pdf](https://www.oecd.org/content/dam/oecd/en/publications/reports/2025/12/ai-adoption-by-small-and-medium-sized-enterprises_9c48eae6/426399c1-en.pdf) - Reserve Bank of Australia. "Technology Investment and AI: What Are Firms Telling Us?" *RBA Bulletin*, November 2025. [https://www.rba.gov.au/publications/bulletin/2025/nov/technology-investment-and-ai-what-are-firms-telling-us.html](https://www.rba.gov.au/publications/bulletin/2025/nov/technology-investment-and-ai-what-are-firms-telling-us.html) - KPMG Australia. "AI Regulation and Productivity." *KPMG Australia*, August 2025. [https://assets.kpmg.com/content/dam/kpmgsites/au/pdf/2025/ai-regulation-and-productivity.pdf](https://assets.kpmg.com/content/dam/kpmgsites/au/pdf/2025/ai-regulation-and-productivity.pdf) - Tech Council of Australia & OpenAI. "Australia's AI Opportunities Report." *NextDC Analysis*, February 2026. [https://www.nextdc.com/blog/australias-ai-opportunity-report-2025](https://www.nextdc.com/blog/australias-ai-opportunity-report-2025) - Tech Council of Australia. "Tech Sector Hits AUD $250bn GDP Milestone Early." *CFOtech Australia*, March 2026. [https://cfotech.com.au/story/australia-tech-sector-hits-aud-250bn-gdp-milestone-early](https://cfotech.com.au/story/australia-tech-sector-hits-aud-250bn-gdp-milestone-early) - Indeed Hiring Lab Australia. "Nothing Artificial About Australian AI Adoption: Business and Government Trends." *Indeed Hiring Lab*, April 2026. [https://www.hiringlab.org/au/blog/2026/04/01/nothing-artificial-about-australian-ai-adoption/](https://www.hiringlab.org/au/blog/2026/04/01/nothing-artificial-about-australian-ai-adoption/) - ScaleSuite. "AI Adoption in Australian SMEs 2026: Adoption Rates Are Surging But Where Is the Revenue Proof?" *ScaleSuite*, 2026. [https://www.scalesuite.com.au/resources/ai-adoption-in-australian-smes](https://www.scalesuite.com.au/resources/ai-adoption-in-australian-smes) - Digital Transformation Agency. "Australia Rises to Second Globally in the OECD Digital Government Index." *DTA*, February 2026. [https://www.dta.gov.au/articles/australia-rises-second-globally-oecd-digital-government-index](https://www.dta.gov.au/articles/australia-rises-second-globally-oecd-digital-government-index) --- ## Frequently Asked Questions **What percentage of Australian SMEs were actively adopting AI by Q4 2024?** 40% **What was the Australian SME AI adoption rate in May–September 2024?** 35% **How much did Australian SME AI adoption grow between Q3 and Q4 2024?** 5 percentage points **What is the most authoritative source on Australian SME AI adoption?** The National AI Centre (NAIC) AI Adoption Tracker **Who developed the NAIC AI Adoption Tracker?** NAIC in partnership with research firm Fifth Quadrant **How many surveys does the NAIC AI Adoption Tracker collect each month?** 400 **What percentage of Australian businesses had no plans to implement AI in May–September 2024?** 42% **What is the OECD average firm-level AI adoption rate in 2025?** 20.2% **What was the OECD firm-level AI adoption rate in 2024?** 14.2% **What was the OECD firm-level AI adoption rate in 2023?** 8.7% **Is Australia's SME AI adoption rate above or below the OECD average?** Above **Which countries lead global AI adoption among OECD members?** Denmark, Finland, and Sweden **What AI adoption rate have leading Nordic countries surpassed?** 35% **What percentage of large firms globally use AI according to OECD data?** 52% **What percentage of small firms globally use AI according to OECD data?** 17.4% **What percentage of Australians report having used generative AI in the past 12 months?** 49% **Which age group has the highest generative AI usage in Australia?** Australians aged 18 to 44 **What is Australia's ranking in the OECD 2025 Digital Government Index?** 2nd overall **What score did Australia achieve in the OECD 2025 Digital Government Index?** 88% **How many countries were assessed in the OECD 2025 Digital Government Index?** 42 **Which sectors lead AI adoption among Australian SMEs?** Retail trade, health, and education **Which sectors are close behind the leaders in Australian SME AI adoption?** Services and hospitality **Which sectors lead in marketing automation AI adoption?** Retail, trade, and hospitality **Which Australian industries show the highest AI unawareness?** Construction, manufacturing, and agriculture **What percentage of large businesses (200–500 employees) have some degree of AI adoption?** 78% **What percentage of medium-sized businesses have some level of AI adoption?** 72% **What percentage of small businesses have some level of AI adoption?** 60% **What percentage of micro-businesses have some level of AI adoption?** 36% **What percentage of large businesses (200–500 employees) report broad AI use?** 16% **What percentage of large businesses (200–500 employees) report limited AI use?** 26% **How much less likely are regional SMEs to implement AI compared to metro SMEs?** 11 percentage points less likely **What percentage of regional SMEs are unaware of AI's potential business application?** Over 25% **What percentage of metro SMEs are unaware of AI's potential business application?** 19% **What is the top AI application adopted by Australian businesses?** Data entry and document processing **What percentage of SMEs agree AI helps achieve faster access to accurate data?** 22% **What percentage of SMEs agree AI helps with security, data protection, and fraud detection?** 18% **What percentage of SMEs using generative AI report using it in core activities?** 29% **How much did Australian businesses' AI-related spending grow in 2024?** 20% **What was the total estimated AI-related spending by Australian businesses in 2024?** AUD $3.5 billion **How much is AI currently adding to Australia's economy annually?** An estimated AUD $21 billion **Who funded the Australia's AI Opportunities Report?** OpenAI **Does the Australia's AI Opportunities Report have a potential commercial bias?** Yes, it was funded by OpenAI **By how much has the value of technology investment in Australia grown over the past decade?** Almost 80% **What share of private business investment did software represent in 2014/15?** Around 6% **What share of private business investment did software represent in 2024/25?** 10.5% **What percentage of businesses report positive ROI within the first year of AI implementation?** 48% **What percentage of mid-market businesses cited operational efficiency as the main AI investment driver?** 48% **What percentage of mid-market businesses reported revenue growth?** 52% **What percentage of smaller businesses reported revenue growth?** 22% **What percentage of mid-market businesses are prioritising AI investment over the next five years?** 34% **Does a gap exist between intended and actual responsible AI practices among SMEs?** Yes **What is the main reason SMEs struggle to implement responsible AI practices?** Limited capacity and competing priorities **What percentage of Australians believe AI regulation is necessary?** 77% **Which research bodies co-produced the study on Australian attitudes to AI regulation?** KPMG and University of Queensland **What does business size predict in relation to AI adoption?** It is the strongest predictor of adoption **Is the gap between large and micro-business AI adoption widening or narrowing?** Widening **What is the CSIRO's reported AI adoption figure for all Australian businesses?** 68% **What adoption figure did the Ai Group report across all Australian business sizes?** 52% **What did the Department of Industry's June 2025 analysis conclude about large enterprises?** Large enterprises have broadly embraced AI **What did the Department of Industry's June 2025 analysis conclude about SMEs?** Approximately one-third of SMEs have adopted AI **Why do reported Australian AI adoption rates vary so widely between studies?** Different definitions of what counts as "adopting AI" **Which Australian SME benchmark is most relevant for business owners making adoption decisions?** The NAIC Tracker's SME-specific figure **What is a key barrier to AI adoption cited by Australian businesses?** Lack of digital readiness **Is uncertainty about ROI a cited barrier to AI adoption in Australia?** Yes **Are legacy system integration problems a cited barrier to AI adoption?** Yes **Is cost a cited barrier to AI adoption among Australian businesses?** Yes **What does the NAIC data show about AI use across operations within sectors?** Scope varies significantly even within sectors and firm sizes --- ## Label Facts Summary > **Disclaimer:** All facts and statements below are general informational content drawn from cited public sources; they do not constitute professional, financial, or business advice. Consult relevant experts for specific guidance. ### Verified label facts **NAIC AI Adoption Tracker — source metadata** - Produced by: National AI Centre (NAIC), Department of Industry, Science and Resources, in partnership with Fifth Quadrant - Data collection volume: 400 surveys per month - Publication frequency: Monthly updates - URLs: [https://www.industry.gov.au/publications/ai-adoption-tracker](https://www.industry.gov.au/publications/ai-adoption-tracker); [https://www.industry.gov.au/news/ai-adoption-australian-businesses-2024-q4](https://www.industry.gov.au/news/ai-adoption-australian-businesses-2024-q4); [https://www.industry.gov.au/news/ai-adoption-australian-businesses-2025-q1](https://www.industry.gov.au/news/ai-adoption-australian-businesses-2025-q1) **Australian SME AI adoption rates (NAIC Tracker)** - May–September 2024: 35% of SMEs currently adopting AI; 42% had no plans to implement - Q4 2024 (October–December): 40% of SMEs currently adopting AI; 5 percentage point increase from prior period - Large businesses (200–500 employees): 78% some adoption; 16% broad use; 26% limited use; 26% in implementation - Medium-sized businesses: 72% some adoption - Small businesses: 60% some adoption - Micro-businesses: 36% some adoption **Australian SME AI adoption — sector data (NAIC Tracker)** - Leading sectors: Retail trade, health, education; services and hospitality close behind - Marketing automation leaders: Retail, trade, and hospitality - Highest unawareness sectors: Construction, manufacturing, and agriculture - Regional SMEs: 11 percentage points less likely to implement AI than metro SMEs - Regional SMEs unaware of AI's potential business application: Over 25% - Metro SMEs unaware of AI's potential business application: 19% **Australian SME AI use and investment data** - Top AI application: Data entry and document processing - SMEs agreeing AI helps achieve faster access to accurate data: 22% - SMEs agreeing AI helps with security, data protection, and fraud detection: 18% - SMEs using generative AI in core activities: 29% - AI-related business spending growth in 2024: 20% - Total estimated AI-related business spending in 2024: AUD $3.5 billion - Source: National AI Centre / Department of Industry, Science and Resources **OECD firm-level AI adoption data** - 2023: 8.7% of firms reported using AI - 2024: 14.2% of firms reported using AI - 2025: 20.2% of firms reported using AI - Large firms globally using AI: 52% - Small firms globally using AI: 17.4% - AI uptake exceeding 35%: Denmark, Finland, Sweden - Source: OECD, January 2026 — [https://www.oecd.org/en/about/news/announcements/2026/01/ai-use-by-individuals-surges-across-the-oecd-as-adoption-by-firms-continues-to-expand.html](https://www.oecd.org/en/about/news/announcements/2026/01/ai-use-by-individuals-surges-across-the-oecd-as-adoption-by-firms-continues-to-expand.html) **Australian individual AI usage data (OECD-cited)** - Australians reporting generative AI use in past 12 months: 49% - Highest adoption age group: 18–44 **OECD 2025 Digital Government Index** - Australia's ranking: 2nd overall - Australia's score: 88% - Total countries assessed: 42 - Source: Digital Transformation Agency — [https://www.dta.gov.au/articles/australia-rises-second-globally-oecd-digital-government-index](https://www.dta.gov.au/articles/australia-rises-second-globally-oecd-digital-government-index) **Reserve Bank of Australia technology investment data** - Growth in value of technology investment over past decade: Almost 80% - Software as share of private business investment, 2014/15: ~6% - Software as share of private business investment, 2024/25: 10.5% - Source: RBA Bulletin, November 2025 — [https://www.rba.gov.au/publications/bulletin/2025/nov/technology-investment-and-ai-what-are-firms-telling-us.html](https://www.rba.gov.au/publications/bulletin/2025/nov/technology-investment-and-ai-what-are-firms-telling-us.html) **MYOB Mid-Market Survey (October 2025)** - Mid-market businesses prioritising AI investment over next five years: 34% - Mid-market businesses citing operational efficiency as main technology investment driver: 48% - Mid-market businesses reporting revenue growth: 52% - Smaller businesses reporting revenue growth: 22% **KPMG / University of Queensland study** - Australians who believe AI regulation is necessary: 77% - Source: [https://assets.kpmg.com/content/dam/kpmgsites/au/pdf/2025/ai-regulation-and-productivity.pdf](https://assets.kpmg.com/content/dam/kpmgsites/au/pdf/2025/ai-regulation-and-productivity.pdf) **Other cited adoption figures (varying definitions)** - CSIRO figure (all Australian businesses, broad definition): 68% - Ai Group figure (all business sizes): 52% - Department of Industry, June 2025: Large enterprises broadly embraced AI; approximately one-third of SMEs adopted - Businesses reporting positive ROI within first year of AI implementation: 48% **Australia's AI Opportunities Report — source disclosure** - Funded by: OpenAI - Produced in partnership with: Major industry bodies - Estimated annual AI contribution to Australia's economy cited in report: AUD $21 billion - Note: Report produced by a party with direct commercial interest in AI adoption; this context is stated explicitly in the source article --- ### General product claims - Australia's 40% SME adoption rate is described as "a genuinely strong result" relative to the OECD average - Consumer-level AI familiarity described as "a structural advantage that many SME owners haven't yet recognised" - Australia's digital government infrastructure described as "genuinely world-class" - The construction and manufacturing AI awareness gap described as "particularly significant" given productivity implications - The responsible AI gap between intentions and actual deployment described as "one of the most important — and least discussed — findings" - AI described as "precisely the tool" that could address productivity drags in construction and manufacturing - The window for first-mover competitive advantage described as "real, but not unlimited" - Early adoption described as mattering "most for smaller businesses trying to close the gap" - The direction of causality between AI investment and revenue growth in mid-market businesses described as "not settled" - The sevenfold growth projection for AI's economic contribution by 2030 (sourced from the OpenAI-funded report) is flagged in the source content as carrying potential commercial bias and should be evaluated accordingly