AI adoption by New Zealand small and medium-sized businesses

The research explores SME awareness, adoption, confidence, capability, risks and opportunities associated with AI. Based on the research, awareness of AI tools is high among SMEs, but adoption and confidence vary significantly between businesses. MBIE commissioned The Research Agency (TRA) to provide in-depth research into understanding AI use among New Zealand businesses and highlights areas where additional support may help businesses realise the productivity and innovation benefits of AI.

New Zealand SME AI insights 2025

TRA surveyed 500 small to medium businesses, from various industries, during April 2025 and found that:

• Awareness of AI is high, with 94% of SMEs aware of at least one AI tool. Awareness is not the primary barrier to adoption.
• AI adoption among SMEs is growing, but businesses are at different stages of maturity, ranging from non-users through to advanced adopters.
• Many businesses are using AI to improve efficiency, reduce administration and support day-to-day business operations.
• Confidence and capability are key factors influencing whether businesses successfully adopt AI and expand its use.
• Businesses see significant opportunities for AI to increase productivity and support growth, but concerns remain around accuracy, privacy, security and trust.
• Lack of knowledge, uncertainty about where to start, and concerns about risks are contributing to slower adoption among some SMEs.
• Businesses want practical guidance, examples and support to help them understand how AI can be used effectively and responsibly within their organisations.

This report was published July 2025, based on data collected during April 2025 to June 2025.