Mississippi Has the Nation’s Lowest AI Adoption Rate at 1.7%

mississippi has the lowest adoption of ai

As artificial intelligence (AI) technologies become more widespread, businesses of all sizes are exploring how to integrate them effectively.

Tech giants like Google, Microsoft, and OpenAI have taken the lead in AI development, but the technology’s reach extends to small and local businesses, not just major corporations. From streamlining routine tasks to improving customer service and marketing personalization, AI is being applied in many ways across different industries.

However, AI adoption in the U.S. is still in its infancy, with many businesses gradually working towards fully implementing and benefiting from the technology.

According to a Tivly analysis of the U.S. Census Bureau’s Business Trends and Outlook Survey, only 5.5% of businesses currently use AI in producing goods and services.

This is a rise from 3.7% a year ago, with a projected increase to 8.1% of businesses planning to use AI in the next six months.

AI Use by Business Size

While larger businesses with over 250 employees are leading in AI adoption (8.3%), small businesses with 1 to 4 employees are also embracing AI, with a 6.1% adoption rate.

Notably, small firms are the most likely to use AI for task automation, with 28.5% of AI-using firms in this group focusing on replacing employee tasks.

For small businesses, AI serves as a crucial tool for enhancing productivity by automating routine activities like data entry and communication.

AI Adoption Across Regions and Industries

Geographical trends show that Southern and Midwestern states have lower AI adoption rates, with Mississippi at just 1.7%.

The Western states are adopting AI more rapidly, led by Colorado, where 7.4% of businesses use AI. Industry-wise, sectors like information (20.5%), professional and scientific services (14.9%), and educational services (10.3%) have the highest adoption rates.

Meanwhile, industries such as construction, transportation, warehousing, and food services show lower adoption, each with under 2% of firms using AI.

AI in Mississippi vs. Nationwide

The analysis by Tivly using the U.S. Census Bureau data provides a comparative look at AI adoption:

Mississippi:

  • Current AI usage: 1.7%
  • AI for employee task replacement (among AI users): 25.8%
  • Plans to adopt AI soon: 3.1%
  • AI for task replacement (among those planning AI use): 29.3%
  • Most common use: Marketing automation

United States Overall:

  • Current AI usage: 5.5%
  • AI for employee task replacement (among AI users): 26.6%
  • Plans to adopt AI soon: 8.1%
  • AI for task replacement (among those planning AI use): 34.4%
  • Most common use: Marketing automation
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