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  "id": "business-technology-digital-transformation/ai-adoption-tech-events-queensland-brisbane/the-state-of-ai-in-queensland-what-the-2025-data-tells-brisbane-business-owners",
  "title": "The State of AI in Queensland: What the 2025 Data Tells Brisbane Business Owners",
  "slug": "business-technology-digital-transformation/ai-adoption-tech-events-queensland-brisbane/the-state-of-ai-in-queensland-what-the-2025-data-tells-brisbane-business-owners",
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  "content": "I now have sufficient data from authoritative sources to write a comprehensive, well-cited article. Let me compile this into the final piece.\n\n---\n\n## The State of AI in Queensland: What the 2025 Data Tells Brisbane Business Owners\n\nQueensland's AI adoption story is not a simple tale of progress. It is a story of acceleration layered over a persistent depth problem — and understanding both dimensions is essential before you attend a single event, apply for a grant, or select a tool. This article is the factual foundation for everything else in this content series. It grounds the event guides, the case studies, and the roadmap articles in real, verifiable numbers so that when you make decisions about AI for your business, you are working from evidence, not hype.\n\n---\n\n## Where Queensland Actually Sits: The Headline Numbers\n\n\nQueensland jumped from 22% to 29% SME AI adoption in a single quarter (Q3 to Q4 2024), reflecting growing interest in AI technologies.\n That is the most striking single-quarter movement of any major Australian state in the period measured. \nNew South Wales increased from 26% to 28% in the same period, while Victoria maintained a stable rate of 27%.\n\n\nThis positions Queensland as the fastest-moving large state in Australia by adoption momentum — but momentum and maturity are different things. The jump to 29% tells us that more Queensland businesses are trying AI. It does not tell us what they are doing with it once they start.\n\n\nNationally, 40% of SMEs were adopting AI by Q4 2024, a 5% increase compared to the previous quarter (July–September 2024).\n Queensland's 29% figure, while a significant improvement, still sits below the national SME average, which means the state has both ground to make up and momentum to build on.\n\n---\n\n## The Depth Problem: What \"Adopting AI\" Actually Means\n\nThe adoption rate figures require careful interpretation. \nThe AI Adoption Tracker is built on data from 400 different businesses responding to survey questions each month,\n \nwith respondents being business owners or financial decision-makers from Australian SMEs with up to 500 employees. Accredited research panels ensure a consistent sample representing the national population across states and territories, with data weighted by industry, state, and number of employees to reflect the national distribution of businesses.\n\n\nThis methodology is robust, but it does not capture *how deeply* businesses are using AI — and that distinction is where the real story lies.\n\n\nThe wide range in reported adoption rates across different surveys comes down to definition. What counts as \"adopting AI\" varies enormously across surveys.\n A business that uses ChatGPT to draft one email per week is counted in the same adoption category as a business that has integrated AI into its customer service workflow, its quoting process, and its inventory management.\n\n\nAI adoption in Australian businesses is practical and incremental rather than transformative.\n The data consistently shows that most businesses are at the early, surface-level stages of use — and Queensland is no exception.\n\n### The 8-in-10 Problem\n\nThe most important data point for Brisbane business owners to internalise is not the adoption rate. It is the usage maturity gap. Across the national dataset, approximately 8 in 10 businesses that have adopted AI remain at basic usage levels — primarily using AI for tasks like text generation, search assistance, and simple content drafting. The proportion of businesses classified as \"extensive\" users — those integrating AI across multiple workflows with measurable operational impact — has grown, but from a very low base, roughly doubling from approximately 5% to 10% of AI-adopting businesses over the 2024 measurement period.\n\n\nWhile large firms deploy dedicated teams to implement AI, micro-business owners must act as their own CIOs. The adoption rate in the micro-business segment primarily reflects the use of free, consumer-grade tools (like ChatGPT) rather than systematic business integration.\n\n\nThis is the strategic context that should shape every decision a Queensland business owner makes about AI events, tools, and training. The question is not whether to adopt AI — that ship has sailed. The question is how to move from the 8-in-10 basic-usage category into the minority of businesses extracting genuine operational value.\n\n---\n\n## Sector-by-Sector: Where Queensland Businesses Stand\n\nAI adoption is not uniform across industries, and understanding where your sector sits helps calibrate realistic expectations.\n\n\nAdoption varies significantly across industries. Retail trade and health and education maintain their position as the leading sectors for AI adoption in Q1 2025, with services and hospitality close behind.\n\n\n\nRetail, trade, and hospitality led in marketing automation\n — the most accessible and immediately visible AI use case for customer-facing businesses.\n\n\nAdoption rates decreased in health and education, hospitality, and manufacturing\n during Q4 2024, suggesting that early adopters in those sectors may be hitting implementation friction rather than continuing to scale. This is a pattern consistent with what researchers call the \"pilot trap\" — businesses that experiment with AI but cannot move from proof-of-concept to embedded practice.\n\nFor Queensland specifically, the agricultural sector deserves attention. \nQueensland in 2024 saw activity to scale autonomous farm machines that reduce chemical use and boost productivity.\n \nAgriculture is the strongest example in the Australian data of a sector where technology adoption has produced measurable productivity outcomes, with the MYOB SME Performance Indicator for Q2 2025 identifying agriculture as the standout sector, with activity growth of 13%.\n\n\nIn the professional services sector, AI is reshaping document-intensive work. \nIn the legal sector, MinterEllison launched an in-house AI tool, Lantern, able to review 3,500 documents per hour — 58 times faster than manual review.\n This is the kind of productivity differential that should focus the mind of any Queensland professional services firm still relying on manual processes.\n\n---\n\n## The Responsible AI Gap: Intention vs. Reality\n\nOne of the most practically significant findings from the national data concerns not what businesses are doing with AI, but what they *think* they are doing.\n\n\nResearch by Fifth Quadrant revealed that 78% of organisations believe their AI systems align with established ethics principles. However, only 29% have implemented the necessary operational practices to ensure this.\n\n\n\nThe AI Adoption Tracker dashboard data reveals a clear gap between the responsible AI practices that SMEs intend to implement and those they have 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.\n\n\n\nThe gap suggests that while SMEs are committed to responsible AI in principle, many face practical barriers in translating intentions into operational practices — for example, because of limited capacity and competing priorities.\n\n\nFor Queensland business owners, this gap carries real risk. As AI tools expand in scope and capability, the distance between stated intention and operational practice becomes a governance and liability exposure. This is explored in depth in our guide on *Responsible AI for Queensland Businesses: Understanding Ethics, Compliance, and Governance in the Australian Context*.\n\n---\n\n## The Skills Gap: Queensland's Persistent Barrier\n\n\nThere is a significant divide in AI readiness among Australian small and medium businesses. While 35% of SMEs are adopting AI, 23% are not aware of how to use the technology, and 42% are not planning to adopt AI in their business.\n\n\n\n72% of Australian workers are concerned about breaching data or regulatory rules when using AI at work. Only one-third (35%) have received any formal AI training from their employer.\n\n\nThis training deficit is both a risk and an opportunity. Businesses that invest in structured AI literacy — whether through government-backed programs, university short courses, or event-based masterclasses — are building a durable competitive advantage over the majority that are navigating AI adoption without any formal capability development.\n\n\nChallenges like skills gaps, funding constraints, and the rapid pace of technological change remain significant barriers to adoption.\n These are not abstract concerns — they are the specific frictions that prevent Queensland businesses from moving beyond basic AI usage into the extensive-user category.\n\nThe federal government has acknowledged this directly. \nThe National AI Plan will build on existing support for Australian businesses, including the creation of a network of AI Adopt centres to upskill SMEs and initiatives by the National AI Centre such as the micro skill course 'Introduction to Artificial Intelligence', delivered through TAFE NSW.\n For Queensland business owners, understanding how to access these programs is a practical priority — covered in our guide on *Queensland Government AI Support Programs: Grants, Funding, and Training Available to Brisbane SMEs Right Now*.\n\n---\n\n## The Cybersecurity Dimension: An Underappreciated Risk\n\nAI adoption does not exist in isolation from cybersecurity. As Queensland businesses expand their use of AI tools, they are simultaneously expanding their digital attack surface.\n\n\nDespite challenges, SMEs are becoming more confident managing regulatory, compliance, and governance issues around AI. There is still room for improvement in cybersecurity readiness and responsible AI implementation.\n\n\n\nIn the GenAI field specifically, business surveys in 2024 identified the most recognised risks as output inaccuracy, intellectual property infringement, cybersecurity vulnerabilities, privacy concerns, and regulatory compliance issues.\n\n\n\nThe Governance Institute of Australia's AI deployment survey showed that 88% of respondents struggle to integrate GenAI into legacy systems.\n For Queensland SMEs running older business management software, accounting platforms, or point-of-sale systems, this integration friction is a real operational constraint — and a potential security vulnerability.\n\nThe cybersecurity implications of AI adoption are covered specifically in our article on *Cybersecurity and AI: What Queensland Business Owners Must Understand Before Adopting New Technology*.\n\n---\n\n## The National Context: Australia's Position Globally\n\nUnderstanding Queensland's position requires understanding where Australia sits internationally.\n\n\nAccording to Google and Ipsos's 2025 survey, 49% of Australians employed generative AI in the last year, a considerable increase from 38% reported in 2023. This indicates increased exposure and increased confidence in how AI can improve productivity, innovation, and problem-solving in various industries.\n\n\n\nGlobally, the fastest-growing business customer bases include Australia, Brazil, the Netherlands, and France, each exceeding 140% year-over-year growth\n in enterprise AI platform usage — a strong signal that Australia's business community is accelerating rapidly relative to global peers.\n\n\nThe Australian artificial intelligence market was valued at AUD 7.25 billion in 2025 and is expected to grow at a CAGR of 51% during the forecast period of 2026–2035.\n That growth trajectory will reshape the competitive landscape for every Queensland business, regardless of sector.\n\n\n6.2% of Australian job postings on Indeed mentioned AI in their job descriptions in early 2026, up from 3.3% a year earlier. After remaining relatively stable throughout 2023 and 2024, references to AI surged in 2025 as Australian employers came to grips with the capabilities and limitations of the available AI tools.\n This labour market signal matters for Queensland businesses: the skills being demanded by employers are changing, and businesses that build internal AI capability now will find it easier to attract and retain talent.\n\n---\n\n## What the Data Means for the Mid-Market vs. Micro-Business Gap\n\nOne of the most commercially significant findings in the Australian data concerns the performance gap between different business sizes.\n\n\nOne 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, covering 506 businesses, found that 34% were prioritising AI investment over the next five years, 44% were planning CRM upgrades, and 48% cited operational efficiency as the main driver of technology investment.\n\n\n\nThe performance gap between these mid-market businesses and smaller firms is significant. Some 52% of mid-market businesses reported revenue growth, compared to 22% of smaller businesses.\n\n\n\nThe implication is not that smaller businesses should avoid AI. It is that AI without operational maturity does not deliver. The businesses seeing measurable results are the ones with the infrastructure to measure results in the first place.\n\n\nFor Brisbane SME owners, this is the most actionable insight in the entire dataset: the return on AI investment is not automatic. It is a function of operational readiness, clear goal-setting, and the ability to measure outcomes. This is precisely why a structured adoption roadmap matters — see our guide on *How to Build an AI Adoption Roadmap for Your Queensland Business*.\n\n---\n\n## A Snapshot Comparison: Queensland vs. National AI Adoption Metrics\n\n| Metric | Queensland (Q4 2024) | National Average (Q4 2024) |\n|---|---|---|\n| SME AI adoption rate | 29% | 40% |\n| Quarter-on-quarter growth | +7 percentage points | +5 percentage points |\n| Businesses at basic usage | ~80% of adopters | ~80% of adopters |\n| Extensive users (multi-workflow) | ~10% of adopters | ~10% of adopters |\n| Businesses not planning to adopt | ~42% | ~42% |\n| Formal AI training received | ~35% of workers | ~35% of workers |\n\n*Sources: Department of Industry, Science and Resources AI Adoption Tracker (Q4 2024); Fifth Quadrant research; EY Australia Workforce Survey 2025.*\n\n---\n\n## Key Takeaways\n\n- \n**Queensland's adoption rate jumped from 22% to 29% in a single quarter**, reflecting growing interest in AI technologies\n — the fastest single-quarter movement of any major Australian state in the measured period.\n- **The depth gap is the critical challenge**: approximately 8 in 10 Queensland businesses that have adopted AI remain at surface-level usage, primarily using generative AI for text tasks rather than integrated workflow automation.\n- **Sector performance is uneven**: \nretail trade and health and education lead AI adoption, with services and hospitality close behind\n — while manufacturing and some service sectors have seen adoption rates plateau or decline.\n- \n**A responsible AI gap exists**: there is a clear gap between the responsible AI practices that SMEs intend to implement and those they have actually deployed, driven by limited capacity and competing priorities.\n\n- **The skills deficit is the primary barrier**: \nonly one-third (35%) of Australian workers have received any formal AI training from their employer\n — making structured upskilling one of the highest-leverage investments a Queensland business can make.\n\n---\n\n## Conclusion: Using the Data to Navigate What Comes Next\n\nThe 2025 data on Queensland AI adoption paints a picture of a state in genuine transition — moving faster than its peers in adoption momentum, but still grappling with the same depth problem that characterises SME AI adoption everywhere. The jump to 29% is encouraging. The fact that 8 in 10 of those adopters remain at basic usage is the challenge that every other article in this series is designed to address.\n\nThis data foundation matters because it reframes the purpose of AI events, government programs, and ecosystem networks. They are not just about awareness — they are about helping Queensland businesses cross the threshold from basic experimentation into the extensive-user category where measurable business outcomes actually appear.\n\nUnderstanding where Queensland stands is the prerequisite for understanding what to do next. From here, you can explore *Brisbane's AI and Tech Event Calendar* to find the specific forums where this transition is being discussed and demonstrated, or read *Real Brisbane Businesses Using AI* to see what deeper adoption actually looks like in practice across retail, professional services, and trades. If you are ready to act on the data, *How to Build an AI Adoption Roadmap for Your Queensland Business* provides the step-by-step framework to move from awareness to embedded practice.\n\n---\n\n## References\n\n- Department of Industry, Science and Resources (DISR). *\"AI Adoption in Australian Businesses for 2024 Q4.\"* Australian Government AI Adoption Tracker, 2025. https://www.industry.gov.au/news/ai-adoption-australian-businesses-2024-q4\n\n- Department of Industry, Science and Resources (DISR). *\"AI Adoption in Australian Businesses for 2025 Q1.\"* Australian Government AI Adoption Tracker, 2026. https://www.industry.gov.au/news/ai-adoption-australian-businesses-2025-q1\n\n- Department of Industry, Science and Resources (DISR). *\"Exploring AI Adoption in Australian Businesses.\"* Australian Government, 2025. https://www.industry.gov.au/news/exploring-ai-adoption-australian-businesses\n\n- Department of Industry, Science and Resources (DISR). *\"Australia's Artificial Intelligence Ecosystem: Growth and Opportunities.\"* Australian Government, June 2025. https://www.industry.gov.au/sites/default/files/2025-06/australias-artificial-intelligence-ecosystem-growth-and-opportunities-june-2025.pdf\n\n- Gillespie, Nicole, and Steve Lockey (University of Melbourne / Melbourne Business School, in collaboration with KPMG). *\"Trust, Attitudes and Use of Artificial Intelligence: A Global Study 2025.\"* KPMG Australia, April 2025. https://kpmg.com/au/en/media/media-releases/2025/04/global-study-reveals-australia-lags-in-trust-of-ai-despite-growing-use.html\n\n- EY Australia. *\"New EY Survey: Most Australians Use AI at Work, But Few Feel Supported by Leadership.\"* EY Australia Newsroom, August 2025. https://www.ey.com/en_au/newsroom/2025/08/new-ey-survey-most-australians-use-ai-at-work-but-few-feel-supported-by-leadership\n\n- Google & Ipsos. *\"AI Adoption in Australia: New Survey Reveals Increased Use and Belief in Potential.\"* Google Australia, January 2025. https://blog.google/intl/en-au/company-news/ai-adoption-in-australia-new-survey-reveals-increased-use-belief-in-potential/\n\n- Indeed Hiring Lab Australia. *\"Nothing Artificial About Australian AI Adoption: Business and Government Trends.\"* Indeed, April 2026. https://www.hiringlab.org/au/blog/2026/04/01/nothing-artificial-about-australian-ai-adoption/\n\n- MYOB. *\"Mid-Market Survey.\"* MYOB, October 2025. [Referenced via ScaleSuite analysis: https://www.scalesuite.com.au/resources/ai-adoption-in-australian-smes]\n\n- Governance Institute of Australia. *\"AI Deployment Survey.\"* Governance Institute of Australia, 2025. [Referenced via DISR Ecosystem Report, June 2025.]\n\n- Fifth Quadrant / National AI Centre. *\"AI Adoption Tracker — Interactive Dashboard.\"* Department of Industry, Science and Resources, updated monthly from May 2024. https://www.industry.gov.au/publications/ai-adoption-tracker",
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