German economy

Andreas Mühlbauer,

Companies are increasingly relying on AI

The German economy continues to drive forward the use of artificial intelligence. Currently, 40.9% of companies use AI in their business processes. This is a significant increase on the previous year's figure of 27%. A further 18.9% are planning to launch AI in the coming months.

© ifo Institute

"AI is increasingly becoming a strategic topic in companies," says Klaus Wohlrabe, head of ifo surveys. "The challenge is to integrate it sensibly into existing processes." The use of AI has increased particularly strongly in the construction industry: within two years, the proportion has risen from 7.1% to 25%. In retail, the use of AI rose from 10% to almost 34%. In the manufacturing and service sectors, over 40% each now use AI. "The change is noticeable: instead of talking about AI, many companies are now actively using it," says Wohlrabe.

A closer look at the sectors reveals clear differences. Companies in advertising and market research use AI particularly often - 84.3% now do so. IT service providers (73.7%) are also pushing ahead with the use of intelligent systems at full speed. At 70.4%, the automotive industry also relies heavily on data-based processes in production. Around one in two companies in the chemical and mechanical engineering industries use artificial intelligence. The catering industry (31.3%), food and beverage manufacturers (around 21%) and textile producers (18.8%) are even more cautious in this respect.

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There is a clear correlation with company size: while 56% of large companies use AI, the figure is 38% for small and medium-sized companies and only 31% for micro-enterprises. Nevertheless, smaller companies are also showing increasing interest - many are in the planning or discussion phase.

Despite the positive trend, there are sectors in which the use of artificial intelligence is discussed comparatively rarely. In the retail sector, 22.2% of companies are not currently considering AI. Although many companies in the hospitality and construction sectors are already using AI, this is not an issue for around 27% in each case. "Compared to other sectors, these areas therefore remain more cautious when it comes to a future strategy for the use of artificial intelligence," says Wohlrabe.

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