Jonathan Eustace, Microsoft Ireland, and Martin Wells, eir evo

Almost half of SMEs plan some kind of AI adoption over coming year

Eir evo survey finds particular interest in customer service applications
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Jonathan Eustace, Microsoft Ireland, and Martin Wells, eir evo

24 October 2024

More than a third (35%) of SMEs have already adopted AI, with nearly half (48%) planning to implement it in the next 12 months, particularly in customer service, according to a new survey by eir evo.

The study, supported by Microsoft Ireland, surveyed 400 SMEs revealed key insights into how advanced technologies like AI are transforming businesses.

However, around 24% reported their employees lack the digital skills necessary to support future growth, limiting their ability to fully leverage these technologies.

 

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The biggest barriers to AI adoption for SMEs are a lack of understanding (26%), lack of investment (23%), and concerns over security (20%), which prevented wider adoption despite the clear benefits.

Just over a third (35%) of SMEs urveyed had already adopted AI and an additional 48% planned to implement it within the next 12 months, demonstrating growing interest in harnessing the potential of artificial intelligence.

Key areas where AI is expected to make an impact included customer service (32%), IT (27%), and sales (14%).

According to the research, 32% of respondents believe that AI could reduce administrative tasks by 3-4 hours per week, freeing up a potential €5.1 billion per year to reinvest in the business.

Urban businesses, particularly in Dublin and larger counties, were leading in AI implementation, with 52% having already adopted AI compared to just 35% in rural areas.

Commenting on the research, Martin Wells, managing director at eir evo, said: “Our research demonstrates a clear link between the adoption of advanced technologies, such as cloud-based services and AI, and improved business performance among Irish SMEs.

“It’s encouraging to see that many businesses are embracing supportive technologies, but there are still barriers to overcome, particularly around investment and knowledge. The study sheds light on the vital role AI and technology integration play in the success of SMEs, offering valuable insights for businesses looking to strengthen their digital strategies, and business performance, in the years to come.”

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