ABS reports strong growth in business AI adoption in 2024-25

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The Business Characteristics Survey (BCS) is a biennial survey used to provide insights into a broad range of business characteristics, including business use of information and communication technology (ICT) and business innovation. 

Almost one in two businesses (46 per cent) reported they were finding ways to make savings and efficiencies through innovation and are embracing new technologies, including Artificial Intelligence (AI), according to data released today by the Australian Bureau of Statistics (ABS).

Tom Lay, ABS head of business statistics, said: ‘Adoption of AI accelerated in 2024–25 compared to the very low rates observed in 2021–22 when generative AI tools such as ChatGPT were not available. 

‘Around 12 per cent of Australian businesses reported the use of AI in their workplace in 2024–25.

‘AI adoption was higher among businesses with more employees.

‘Around 35 per cent of large businesses reported using AI, up from 9 per cent in 2021–22, while 22 per cent of medium-sized businesses had adopted AI, compared with 3 per cent previously.

‘In contrast, uptake among small and micro businesses was lower, at around 11 per cent.’

The results also show that AI adoption was higher for businesses that actively innovated in 2024–25. Innovation active businesses are those that undertook activity which introduced or improved a product, service or business process. 

‘The AI adoption rate for innovation active small businesses was 19 per cent, which was almost five times greater than the rate for those that did not undertake any innovation activity in 2024–25,’ Mr Lay said.

A graph of business use of artificial intelligence (AI), by innovation status, by employment size, 2024–25.

Adoption of AI was highest for businesses in Information, media and telecommunications (38 per cent), Professional, scientific and technical services, and Financial and insurance services (both 24 percent).

The highest growth rate in AI adoption was recorded in Financial and insurance services, where it increased 24 times the level recorded in 2021–22, when it was just 1 per cent, followed by Arts and recreation services, which grew 16 times over the same period. 

Given ongoing interest in AI, the ABS will include additional content in the 2026–27 BCS to provide further insights into how businesses are adopting and using AI. 

The 2024–25 BCS surveyed nearly 7,000 Australian businesses and was run from October 2025 to February 2026. 

For more information, visit Australian Bureau of Statistics