BTS: America's Main Streets as a case study for doing AI right

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Major companies like Klarna, DuoLingo and IBM have either backtracked claims of AI replacing human workers, or actually terminated workers in lieu of AI, only to have to refill their workforce after all. It’s getting a bit messy out there.

But America’s small businesses are doing things a little more streamlined— according to insights from Gusto and more — showing the broader business landscape what successful AI implementation looks like. 

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How chief everything officers are implementing AI

Recent research from HR, payroll and benefits platform Gusto shows small biz moving in an interesting direction:

• About 80% that use generative AI have seen productivity increase by at least 20%.

• More than 40% of these gen AI users have seen revenue grow by at least 20%.

• 95% of small businesses that regularly use GenAI are not cutting headcount. 👏

Here is where I think the secret lies. While major corporations are, in many ways, completely changing their DNA as a result of AI, small businesses show what it looks like to enhance existing systems while remaining connected with their patrons.

Here’s what Gusto economist Tom Bowen has to say about this: 

Hear from the small business owners themselves

As Ankur Patel, CEO and founder of Multimodal (an agentic AI platform for finance and insurance companies) puts it: "Companies often make the mistake of quickly implementing some AI automation and immediately reducing headcount because of the increased productivity. Your main goal with AI…should be to enable your current workforce to move faster [and] work more efficiently…This isn't the flashy, marketing-driven claims of some in the AI space, but this strategy will be much more likely to produce stable, long-term benefits and ROI."

Thanks,