About the Author
Lyle Daly has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Oracle. The Motley Fool has a disclosure policy.
Read Next






Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.
The Census Bureau reported that 23.2% of U.S. businesses used AI in August 2026, up from 3.7% in September 2023, when it started tracking AI adoption by industry.
Even though it may seem like businesses everywhere are integrating AI into their operations, the reality is more complicated. AI adoption is growing overall, but it's also shifting across industries, sizes, and locations.
In the August 2026 Census Bureau survey, 23% of businesses reported using AI, and 27% expected to use it in the next six months. Fewer than 4% of businesses reported using AI in the September 2023 survey, the Census Bureau's first survey on AI adoption.
Here are more details on companies using AI nationwide:
It's worth noting that the U.S. Census Bureau adjusted its survey wording in mid-2025, asking businesses whether they used AI in "any business function" rather than "to produce goods and services." The jump in usage and projected usage around that time period is likely due to the change in wording.
The information technology sector has the highest AI usage at 44%. This makes sense, considering companies in this sector are likely to be early adopters of new technology, and many major tech companies are also AI companies. Professional services companies are close behind, with an AI usage rate of 43%.
Industries with the lowest AI adoption are agriculture (0%), mining (5%), and transportation (8%).
Some industries have seen their AI adoption rates ebb and flow, with construction being a notable recent example. AI adoption in construction declined from the start of the year through May 2026, with only 10% of construction companies reporting AI use. That rose to 16% in August 2026, and construction is no longer among the bottom five industries for AI usage.
Although AI started out handling more white-collar job duties, its role in the workplace is expanding. In addition to construction, there's also growing use of AI in manufacturing, with 23% of companies in this sector having adopted AI.
Although there's a narrative that bigger firms are more likely to adopt AI, that's not entirely accurate. Among companies with one to four employees, 24% reported using AI, a higher rate than three larger small-business size groups (five to nine employees, 10 to 19 employees, and 20 to 49 employees).
The largest firms still lead overall, with 38% of companies with 250 or more employees using AI. But the high rate of AI adoption among the smallest businesses lends credence to the idea that AI can help lean operations compete with larger ones.
Delaware has the highest AI adoption rate at 36%, followed by Utah at 34%. The metro areas with the highest AI usage are both in California. The greater San Diego area leads with AI usage of 34%, followed by the San Francisco-Oakland-Berkeley area at 31%.
The bottom states are West Virginia (9%) and Rhode Island (11%). The metro areas with the lowest AI usage are New York-Newark-Jersey City (16%) and St. Louis (19%).
Geographic rankings for AI usage changed significantly from just May to August 2026. Colorado was previously No. 1 with an AI adoption rate of 28%, but has since dropped to 14th and a rate of 25%. Denver was the top metro area for AI usage at 35%, but is now sixth at 28%.
Businesses have heavily incorporated AI into their written content, with an estimated 84% to 92% using it for writing and editing. Usage varies for other tasks:
Perhaps surprisingly, only a small portion of businesses (10% to 17%) use AI for coding.
More and more U.S. businesses report using AI, but growth isn't evenly distributed across industries and geographic areas. Certain sectors have picked up the pace with AI adoption, and so have the smallest businesses. The states and metro areas leading in AI usage have also changed multiple times since the Census Bureau started tracking this data.
The AI industry itself is fast-moving. Shifting trends with AI business adoption provide insight into where the industry is going, making them worth monitoring for investors, particularly those with a sizable allocation to companies involved in the AI build-out, including semiconductor stocks, memory companies, and hyperscalers.
AI adoption is primarily a matter of relevance, not cost. The barriers cited by non-adopters make that clear: