What percentage of small businesses are using AI compared to large companies?

Only 39% of SMEs currently use any AI-related tools, compared with 78% of large organisations already using AI in at least one business function. This gap is expected to widen as enterprise AI investment accelerates, making it increasingly urgent for SMEs to act with intent.

Who is this AI research for, and how was it conducted?

The research is aimed at SME leaders and covers organisations across consulting, education, charities, and professional services. ADAPTOVATE combined direct conversations with SME leaders with external data from sources including McKinsey, the OECD, and PwC. Full methodology details are in the report.

Is cost the main reason small businesses aren't adopting AI?

No — cost is one of the least-cited barriers among SME leaders. The bigger obstacles are a lack of clarity on where to focus, low confidence in implementation, and uncertainty about what a successful outcome looks like.

Why does the AI adoption gap between SMEs and large companies matter now?

The gap matters because large enterprises are moving from experimentation into longer-term, integrated AI strategies, while many SMEs remain stuck at early exploration. Acting within the next 12–18 months gives SMEs a real chance to close the gap — or even move ahead of larger, slower-moving competitors.

Can small businesses actually move faster than large corporates on AI?

Yes — SMEs often have structural advantages, including faster decision-making, closer-knit teams, and fewer legacy systems slowing them down. These advantages only translate into results when paired with clear intent and focus. Download the full report for ADAPTOVATE's complete findings and recommended approach.

The AI Opportunity for SMEs – Download report

The AI Opportunity for SMEs

Only 39% of SMEs currently use any AI-related tools, compared with 78% of large organisations already using AI in at least one function — and that gap is set to widen as enterprise AI budgets continue to grow. ADAPTOVATE's research draws on conversations and analysis with SME leaders across consulting, education, charities, and professional services, alongside external data from McKinsey, the OECD, and PwC, to understand why adoption is lagging and what's really holding SMEs back.

The common assumption is that cost is the blocker. It isn't. What's actually slowing SMEs down is a lack of clarity — where to focus, how to test AI in a way that's relevant to their business, and what "good" looks like once a tool is in place. Left unaddressed, this gap has real consequences: as larger organisations move from experimentation into more integrated, long-term AI strategies, the window for SMEs to act with agility — before that gap becomes too wide to close — is narrowing.

The good news is that SMEs have structural advantages corporates don't: faster decisions, closer teams, less legacy friction. The report sets out what's creating the current gap, and what SMEs can do about it.

Download the full report to see the complete findings and what it means for your business.