LIVE MARKETS-America builds but seldom adopts - the AI gap

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AMERICA BUILDS BUT SELDOM ADOPTS - THE AI GAP

Is United States trailing in AI adoption race? Ask ChatGPT! It will note that while the U.S. leads the AI revolution, domestic adoption still lags behind several other countries.

Citing a Microsoft survey, the force behind ChatGPT, Deutsche Bank Research revealed that a mere 26% of Americans are using AI tools, ranking the North American nation 23rd in global adoption.

Sitting comfortably at the top are the UAE and Singapore, at a 59% rate, while European powerhouses follow: France at 41%, Spain at 40%, the UK at 36% and Germany at 27%.

Even smaller economies such as Norway, Ireland, Australia, Canada, and Switzerland are beating the giants in the adoption race.

The data challenge U.S. President Donald Trump's plan to do "whatever it takes to lead the world in AI." But leading in AI production means little unless it's deployed at scale to deliver productivity and economic gains.

Scale doesn't appear to be an issue for countries like the UAE and Singapore. Their relatively small populations and highly centralized decision-making allow them to mandate training and strongly encourage adoption, something even large corporations struggle to match.

Additionally, AI adoption appears harder than it looks in the workplace, but much easier at home. An OpenAI study on ChatGPT usage shows household use outpacing workplace adoption.

The brokerage argues that deploying AI at work is far more complex, bringing governance challenges alongside routine tech integration, plus the hurdles of recruiting AI talent and helping employees get the most from unfamiliar tools.

One hope is that AI companies find ways to bolster consumer usage; otherwise, this disparity could obstruct more profitable, monetizable enterprise adoption. For now, smaller, nimbler states are leading the adoption race, outpacing the global economic powerhouse.

(Nikhil Sharma)

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