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Comerica Survey: Small Businesses Confident About Growth, Cautious But Curious On AI / Fresh Today / CUToday.info

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DALLAS—Despite economic uncertainty and rapid technological change, small business owners across the U.S. are entering the next 12 months with confidence and optimism, a new report reveals.

According to the first edition of the Comerica Small Business Pulse Index, 81% of surveyed small businesses expect revenue growth, while many are embracing artificial intelligence with both enthusiasm and caution.

The national survey of 1,010 small business owners, conducted Aug. 1-13, reveals they are optimistic about the future, increasingly tech-forward, and calling for thoughtful oversight of emerging technologies.

“Small businesses are the heartbeat of our communities and local economies,” said Larry Franco, executive vice president and national director of retail and small business banking at Comerica Bank. “It’s imperative to be tapped into what’s influencing and impacting small businesses. We launched the Comerica Small Business Pulse Index to do exactly that – identify successes and challenges these businesses are facing right now to help a broad group of entities, from financial providers to consumers and other business owners, better know how to serve, support and strengthen small businesses around them.”

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Key findings:

  • AI Adoption Is Accelerating: 45% of surveyed small businesses report using AI tools today, with adoption highest in the Technology (64%) and Professional Services (58%) sectors
  • Top AI Use Cases: Marketing, content creation, and data analysis are the most valuable applications of AI among adopters
  • AI Challenges Remain: Mistakes, tech vulnerabilities, and learning curves are the top concerns for both current and prospective AI users
  • Capital Investment (CapEx) Outlook Is Mixed: While 32% of the respondents plan to invest up to $100,000 in the next 12 months, 45% report no CapEx plans. Technology and Construction industries lead in planned investment
  • Confidence Is Strong: 83% of surveyed small businesses are confident in their future success, especially those with $500,000+ in revenue and/or 10+ employees
  • Inflation Tops the List of Concerns: 23% of respondents cite inflation as the most considerable threat to their business, followed by tariffs and cash flow challenges

AI Regulation And The Road Ahead

“Small business owners see the potential of AI, but they also understand the need for responsible oversight,” said Franco.

While AI adoption is growing, so is the conversation around its governance. Although AI users, as a whole are less likely than non-users to support stricter regulation, those in the Technology and Professional Services industries (which lead in both adoption rate and breadth of use) are actually more supportive of increased oversight compared to AI users in other industries—suggesting those most experienced with AI may also be the most attuned to its potential risks, the report states.

Support for stricter AI regulation also varies considerably by age. Whereas younger business owners are more likely to embrace AI with fewer restrictions, older generations show a stronger preference for oversight. Just 42% of Gen Z respondents favor tighter regulation, compared to 53% of Millennial respondents, 57% of Gen X respondents, and 66% of Baby Boomer respondents, the data show.

“Despite concerns, most small business owners responding to the survey remain optimistic about AI’s impact on employment. A total of 64% of all small businesses surveyed do not believe AI will replace jobs in their industry within the next five years. This sentiment is even stronger among those not planning to adopt AI (74%), with a majority of current AI users (60%) also sharing the same view – indicating a broad confidence in AI as a complement rather than a threat to the workforce,” Comerica said.

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Confidence, Capital, And The Growth Horizon

Small business owners are looking ahead to the next year with confidence and momentum, according to the survey. That confidence is especially pronounced among firms with higher revenues and employee counts. Those in operation for four-seven years report the highest levels of optimism, outpacing both younger startups and more established firms.

Market outlooks are similarly upbeat, with nearly two-thirds of respondents expecting conditions to improve. Optimism is strongest in the Midwest and South, where 67% anticipate better conditions, compared to 56% in the Northeast and 60% on the West Coast. Businesses already using AI are also notably more hopeful, with 70% predicting improved market conditions versus 53% among non-users who have no plan to use AI in the near term. The Retail & Wholesale sector, however, reports the lowest optimism, likely reflecting early impacts from tariffs. Among the 14% who foresee a downturn, concerns about tariffs and government policy are twice as common, Comerica explained.

Sales growth expectations are robust, with 81% of the responding small businesses anticipating gains. While 41% project modest growth of 1-10%, nearly 30% expect double-digit increases. The Technology sector stands out as the most bullish, while Retail, Hospitality, and Manufacturing – sectors that also report higher concern over tariffs – show more variability.

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Section: Standard
Word Count: 1148
Copyright Holder: CUToday.info
Copyright Year: 2025
Is Based On:
URL: https://www.cutoday.info/Fresh-Today/Comerica-Survey-Small-Businesses-Confident-About-Growth-Cautious-But-Curious-On-AI





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SA to roll out ChatGPT-style AI app in all high schools as tech experts urge caution

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Tech experts have welcomed the rollout of a ChatGPT-style app in South Australian classrooms but say the use of the learning tool should be managed to minimise potential drawbacks, and to ensure “we don’t dumb ourselves down”.

The app, called EdChat, has been developed by Microsoft in partnership with the state government, and will be made available across SA public high schools next term, Education Minister Blair Boyer said.

“It is like ChatGPT … but it is a version of that that we have designed with Microsoft, which has a whole heap of other safeguards built in,” Mr Boyer told ABC Radio Adelaide.

“Those safeguards are to prevent personal information of students and staff getting out, to prevent any nasties getting in.

AI is well and truly going be part of the future of work and it’s I think it’s on us as an education system, instead of burying our head in the sand and pretending it will go away, to try and tackle it.

EdChat was initially launched in 2023 and was at the centre of a trial involving 10,000 students, while all principals, teachers and pre-school staff have had access to the tool since late 2024.

The government said the purpose of the broader rollout was to allow children to “safely and productively” use technology of a kind that was already widespread.

SA Education Minister Blair Boyer says the technology has built-in safeguards. (ABC News: Justin Hewitson)

Mr Boyer said student mental health had been a major consideration during the design phase.

“There’s a lot of prompts set up — if a student is to type something that might be around self-harm or something like that — to alert the moderators to let them know that that’s been done so we can provide help,” he said.

“One of the things that came out [of the trial] which I have to say is an area of concern is around some students asking you know if it [EdChat] would be their friend, and I think that’s something that we’ve got to look at really closely.

“It basically says; ‘Thank you for asking. While I’m here to assist you and support your work, my role is that of an AI assistant, not a friend. That said, I’m happy to provide you with advice and answer your questions and help with your tasks’.”

The government said the app was already being used by students for tasks such as explaining solutions to difficult maths problems, rephrasing instructions “when they are having trouble comprehending a task”, and quizzing them on exam subjects.

“The conversational aspect I think is sometimes underplayed with these tools,” RMIT computing expert Michael Cowling said.

“You can ask it for something, and then you can ask it to clarify a question or to refine it, and of course you can also then use it as a teacher to ask you questions or to give you a pop quiz or to check your understanding for things.”

Adelaide Botanic High School students sit at a wooden table with their laptops

Adelaide Botanic High School students were involved in the trial of EdChat, which is rolling out across all SA high schools next term. (ABC News: Brant Cumming)

Adelaide Botanic High School principal Sarah Chambers, whose school participated in the trial of the app, described it as “an education equaliser”.

“It does provide students with a tool that is accessible throughout the day and into the evening,” she said.

“It is like using any sort of search tool on the internet — it is limited by the skill of the people using it, and really we need to work on building that capacity for our young people [by] teaching them to ask good questions.”

Ms Chambers said year levels 7 to 12 had access to the app, and year 11 student Sidney said she used it on a daily basis.

“I can use it to manage my time well and create programs of study guides, and … for scheduling so I don’t procrastinate,” the student said.

“A lot of students were already using other AI platforms so having EdChat as a safe platform that we can use was beneficial for all our learning, inside school and outside school.”

EdChat is similar to an app that has been trialled in New South Wales.

Toby Walsh, a man wearing yellow framed spectacles and a navy blazer, poses for a photo in front of an ochre coloured background

University of NSW artificial intelligence expert Toby Walsh says AI has a place in modern learning, but urges caution. (Supplied)

University of NSW artificial intelligence expert Toby Walsh said while generative AI very much had a place in modern learning, educators had “to be very mindful” of the way in which it was used.

“We have to be very careful that we don’t dumb ourselves down by using this technology as a crutch,” Professor Walsh said.

“It’s really important that people do learn how to write an essay themselves and not rely upon ChatGPT to write the essay, because there are important skills we learn in writing the essay — command of a particular domain of knowledge, ability to construct arguments and think critically.

We want to make sure that we don’t lose those skills or never even acquire those skills.

Professor Cowling said while generative AI tools came with the risk of plagiarism, they could in fact strengthen critical skills, if used appropriately.

“We’ve been very focused on the academic integrity concerns but I do think we can also use these tools for things like brainstorming and starting ideas,” he said.

“As long as we anchor ourselves in the idea that we need to know how to prompt these tools properly and that we need to carefully evaluate the output of these tools, I’m not entirely convinced that critical thinking is going to be an issue.

“In fact I would argue that the opposite may be true, and that critical thinking is actually something that will develop more with these gen AI tools.”



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Is Artificial Intelligence the Next Co-Engineer?

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Today’s engineers are empowered to move beyond execution into strategic thinking—shaping systems that learn, adapt, and evolve. This transformation instills a deeper sense of purpose and responsibility.

Satish H C, Executive Vice President & Chief Delivery Officer, Infosys

For me, the most exciting shift is watching AI move from being an assistant to becoming an autonomous builder.

PVN Pavan Kumar, Vice President, APJ at Office of the CTO, SAP

While AI expedites iterations and ideations, the design sign-off is still done by the product owner and design leads.

Amith Singhee, Director, IBM Research India; CTO, IBM India & South Asia

The role of engineers is changing, from being doers of engineering work to trainers and interrogators of intelligent machines, reviewers of work done by machines, and owners of critical thinking and creativity.

Harrick Vin, Chief Technology Officer, TCS

Now, engineers must wear a business hat, interacting with clients, understanding and solving business challenges, and building minimal viable products with agility.

Mukesh Chaudhary, Lead – Data & AI, Advanced Technology Centers Global Network, Accenture

AI is augmenting engineers, shifting their focus from repetitive tasks to creativity, strategy, and building for long-term impact.

Parul Jain, VP – Software Engineering, Salesforce

Over the next two decades, engineering will be shaped by AI, sustainable design, and closer collaboration between humans and machines.

Sudha KV, Vice President, Dell Technologies

Good engineers work diligently to address challenges as they arise. Great engineers, however, invest time in solutions that eliminate entire categories of future problems.

Kusum Saini, Director – Principal Architect, Simplilearn

From a classic ‘Let’s start building something’ approach, engineers will now need to focus more on clearer problem definition. Understanding a domain and adopting systems thinking will become more important than just translating a requirement into code.

Jacob Peter, Executive Board of Management Mobility R&D, Bosch Global Software Technologies, and Bosch Digital

Companies are no longer limiting AI knowledge to technical teams and are training across the board, from HR to admin to engineering, to leverage AI responsibly.

Vinod Venkatraman, Chief Technology Officer, Great Learning

Published 15 September 2025, 05:12 IST



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Pittsburg to Connect East End AI Corridor

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Throughout the last few years, Pittsburgh has been proving itself as one of the most determined comebacks in the U.S. Rust Belt; one of the top mid-sized cities for green commuting; one of this year’s most affordable metros for Millennials to thrive; as well as a top-choice city for Gen Z to put down roots.

While Pittsburgh office space has become some of the greenest in the country, the local economy has also adapted to make room for a thriving tech scene, a growing robotics hub, and even companies operating in the space industry. Now, another transformation is underway in one of the city’s most historic districts as developers are uniting to create a new tech corridor connecting major AI and technology companies on Penn Avenue.

Google, Duolingo, and the U.S. Army’s AI Integration Center are among the more than 20 artificial intelligence tenants that made a home in East End Pittsburgh, which is a part of the city that’s now being reimagined as “AI Avenue.” Despite concerns regarding displacement of residents with longstanding ties to the area, plans are underway to “fill in the blanks” along Penn Avenue that developers see as distracting some of the dynamism away from the two ends of the existing, one-mile-long AI corridor.

Redevelopment projects currently being discussed include:

  • Infrastructure improvements to enhance lighting, pedestrian access, and connections through the neighborhood; improve safety and walkability; and create collaboration opportunities for tech companies.
  • The Meridian Project, which is a mixed-use development that would include apartments, a grocery store, and restaurants, thereby providing housing and amenities intended to attract and retain tech talent for AI Avenue companies.
  • An expansion of Bakery Square, which would incorporate what is now considered a dated and struggling strip mall. This would transform the underutilized area into a mixed-use corridor by providing more modern office space for AI companies, while also allowing both startups and established firms to grow in an uninterrupted, tech-centered environment.

Bakery Square had already announced earlier this year that it would house a new, secure AI innovation center through access to $150 billion in defense tech funding. And, with significant funding for small business innovation research in Pittsburgh already coming from the Department of Defense, developers here hope that a higher concentration of AI-focused companies in this hub would attract even more DoD contracts in the near future.



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