AI Is Changing the Game for SMBs in 2025

Tags: AI, AI Series, ChatGPT, GenAi, LLM

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Disclaimer: I work for Dell Technology Services as a Workforce Transformation Solutions Principal. It is my passion to help guide organizations through the current technology transition specifically as it relates to Workforce Transformation. Visit Dell Technologies site for more information. Opinions are my own and not the views of my employer.

Note: Written with the help of my research team 🙂 including: (Google Gemini, Google Notebook LM, Microsoft Copilot, Perplexity.ai, Claude.ai and others as needed)

Artificial intelligence (AI) is no longer just a buzzword for small and medium businesses (SMBs)—it’s rapidly becoming central to how they operate, compete, and grow. The past two weeks have brought a surge of news and studies highlighting AI’s transformative effects. Here’s what’s most important for SMBs right now.

Check out my Resources for Learning AI and also my entire Series: AI Learnings

A Rapid Surge in Adoption

Recent studies show SMBs are embracing AI at an unprecedented rate. A Goldman Sachs survey found that 68% of small business owners already use AI, with another 9% planning to start within the next year. That’s a huge jump compared to prior years, and the momentum is only increasing. SMBs use AI for everything from marketing to customer service and inventory management, proving this technology is much more than an experiment.

Cost Savings and Efficiency Wins

One of the biggest AI advantages for SMBs is savings—time and money. AI-powered automation is freeing up staff time (marketers report saving 13 hours per employee each week) and reducing monthly costs by thousands of dollars. Smaller teams are now able to carry out sophisticated marketing campaigns and streamline operations in ways that were once limited to big enterprises.

Marketing, Sales, and Customer Service Are Evolving

SMBs use AI to optimize campaigns, generate content, automate product recommendations, and speed up customer support. Chatbots handle routine inquiries, while analytics platforms give actionable insights for targeted outreach. Companies report higher conversion rates, improved lead qualification, and more personalized customer experiences

AI Is Powering Growth (Not Just Efficiency)

Contrary to popular anxieties, most SMBs say AI helps expand their workforces and create new jobs, not eliminate them. Almost 74% of small businesses with AI plan to grow in 2025, and 40% believe they will create new jobs as a direct result of adopting AI. Adoption is linked to increased revenue, improved margins, and a brighter business outlook.

Trust, Integration, and Leadership Matter

As AI spreads, SMB leaders are urged to close the AI skills gap and reinvest savings into growth and innovation. Trust and transparency around AI use are critical for maintaining customer and employee confidence. Security and ethical use remain high priorities, especially as SMBs manage more sensitive data.

Key Takeaway

AI is now essential for SMBs seeking efficiency, growth, and a competitive edge. Leaders who act decisively have the opportunity to redefine their businesses and set a strong foundation for future innovation.