India’s small and medium businesses (SMBs) are embracing artificial intelligence (AI) as a cornerstone for growth, according to LinkedIn’s India SMB Study 2025. Nearly 96% of SMBs are investing in or planning to integrate AI, with tier 2 cities like Chandigarh (100%), Jaipur (94%), and Ahmedabad (94%) leading in AI readiness. In contrast, major metros like Delhi (61%) and Pune (60%) focus on cost management, while Bengaluru (63%) and Chennai (62%) prioritize operational efficiency and talent development. The research highlights a significant shift from the traditional “startup hustle” to a more strategic approach. SMBs are increasingly using AI for automating workflows (92%), improving analytics (93%), and enhancing hiring and marketing (over 90%). Notably, 95% of these businesses prioritize platform credibility, emphasizing data security (83%) and integration (79%). With 92% expecting growth within the next year, AI has become an essential engine for business evolution among Indian SMBs.
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