Small Businesses Embrace AI and Digital Tools to Drive Growth and Efficiency
Verizon's 2025 State of Small Business Survey reveals a significant technological transformation among small and medium-sized businesses, with widespread adoption of AI, social media, and cybersecurity solutions to enhance operational capabilities and market competitiveness.

Small and medium-sized businesses (SMBs) are rapidly integrating advanced technologies to remain competitive in the digital economy, according to Verizon Business's latest State of Small Business Survey. The research, based on responses from 600 U.S. businesses, highlights a strategic shift toward digital transformation and technological innovation.
Artificial intelligence has emerged as a critical tool for SMBs, with 38% of businesses leveraging AI across various operational domains. Marketing and social media represent significant areas of AI adoption, with 28% using the technology for content creation and engagement. Additionally, 24% utilize AI for written communications, and nearly a quarter deploy AI-powered digital assistants for customer service.
Social media continues to play a pivotal role in business strategy, with platforms like Facebook and TikTok becoming essential customer engagement channels. Seventy-six percent of surveyed businesses reported positive impacts from social media, and 58% now maintain a presence on TikTok.
Cybersecurity has also become a growing priority, with 52% of SMBs recognizing increased cyber risks associated with business growth. Forty-seven percent of respondents invested in technologies to improve their digital security, demonstrating a proactive approach to protecting business assets.
The survey reveals that SMBs view AI not just as a technological tool but as a strategic resource for workforce management. Fifty-six percent believe AI can help offset challenges related to reduced staffing, and 53% see potential in using AI to retain current employees. Nineteen percent are already utilizing AI for recruitment and talent sourcing.
As technology becomes increasingly accessible, small businesses are positioning themselves to thrive in an evolving digital landscape by embracing innovative solutions that enhance efficiency, reach, and competitive capabilities.