With only 6.1% of organizations incorporating artificial intelligence into their operations as of the fourth quarter of 2024, Goldman Sachs (GS, Financials) reports that adoption of AI technology among American enterprises remains slow. However, it does mark a rise somewhat from 5.9% in the previous quarter.

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While sectors such information technology, education, and manufacturing have witnessed declines in adoption, the banking and insurance sectors are driving the charge in AI integration. Businesses with more than 250 staff members reported a 10% adoption rate, and over the next six months further expansion is expected.

Over the last year, small and medium-sized companies have increased their AI use; yet, cybersecurity and identifying useful applications remain major challenges.

Goldman Sachs underlined that in sectors where generative artificial intelligence is used, it is producing significant increases in productivity. The paper cited studies showing a 23% increase in academic research output as well as anecdotal data pointing to improvements of up to 30%.

Particularly in the semiconductor industry, investment in artificial intelligence is likely to rise dramatically. Goldman Sachs analysts project industry sales growth of 37% by the end of 2025. With $139 billion for artificial intelligence hardware and $187 billion for semiconductorstogether accounting for about 1.2% of U.S. GDP since the release of ChatGPTthe research also noted notable increases to revenue expectations.