Published 19:48 IST, February 5th 2025
Tech Adoption Boosts Business Growth, But Small Firms Lag Behind: Report Reveals
Demand for AI, data analytics, and cybersecurity is expected to grow, with larger businesses leading the way due to their investment capacity.

A new 2024 Business Technology Report by CPA Australia highlights that 94% of businesses using digital payment systems reported profit growth. However, smaller businesses are lagging in adopting advanced tools like AI and business intelligence, missing out on potential growth opportunities, especially in emerging markets like India.
Business: Role of Technology
The report, based on a survey of 1,229 professionals, found that businesses using data analytics, automation, and business intelligence software were more likely to see financial success.
About 94% of businesses using digital payments saw profit growth, while only 5% of non-users experienced the same. Similarly, 80% of businesses using business intelligence software reported improved profitability. Despite these advantages, many companies still hesitate to fully integrate AI and business intelligence into daily operations.
Business: Rising Cybersecurity Risks
Security threats remain a major issue, with 31% of profitable businesses suffering cyber losses in the past year. India and Vietnam are particularly vulnerable, with 60% of Indian businesses planning to increase cybersecurity spending in 2025. While small businesses struggle with data privacy, larger firms face challenges in upgrading outdated systems and managing cybersecurity risks.
Business: AI Adoption
AI adoption is increasing, but only 10% of businesses have fully integrated AI into their operations. India leads the way, with 23% of businesses significantly using AI. AI is primarily used for efficiency, decision-making, and productivity, but barriers include high costs, data privacy concerns, and integration issues. Smaller businesses lack resources and data access, limiting their ability to benefit from AI.
Technology’s Role in Achieving ESG Goals
Technology is also helping businesses achieve sustainability goals. 70% of businesses agree that technology supports Environmental, Social, and Governance (ESG) initiatives. Larger companies effectively use tech for energy monitoring and carbon reporting, while smaller firms struggle with costs and access to green technology.
Barriers to Technology Adoption
The biggest barriers to adopting technology include high costs and low return on investment, with 40% of businesses citing financial constraints. A shortage of skilled professionals further complicates adoption, especially for small firms. Additionally, lack of government incentives slows the pace of technological integration.
Future Trends Of Technology
Demand for AI, data analytics, and cybersecurity is expected to grow, with larger businesses leading the way due to their investment capacity. The report stresses that integrating technology is crucial to enhancing efficiency, meeting sustainability goals, and complying with evolving regulations.
For smaller businesses, upskilling employees, seeking expert guidance, and leveraging government support will be key to staying competitive in an increasingly digital world.
Updated 19:48 IST, February 5th 2025