Pax8: Small Businesses All-in on AI

Pax8, a Denver-based company with a global AI and cloud Marketplace for SMBs, has released its quarterly survey tracking technology and adoption, investment and sentiment trends among U.S. small business leaders. The latest findings reveal that two-thirds of SMBs currently using AI show increased confidence and competitive posture with respect to their approach to growth. Nearly one in three AI-using SMBs, however, find themselves stuck in experimentation, unable to advance from testing to deployment.

“Our data found the SMBs pulling ahead share three things: aligned leadership, governance, and the expertise to turn experimentation into results,” said Scott Chasin, Pax8 CEO. “Most SMBs can’t build that alone. That’s the role of a managed intelligence provider (MIP): a technology partner who deploys AI, governs it, and keeps it running securely alongside their people. With an MIP they trust, a small business turns AI into a real, competitive advantage.”

The Q2 2026 Pax8 SMB AI Pulse Report finds that 61% of SMBs are actively using AI, while another 29% are still experimenting.

Nearly three times as many AI users say they are ahead of competitors on technology: 31%, compared with 12% of non-user.

AI users are significantly more confident in business growth, with 65% reporting that they are very confident, or extremely confident, versus 56% of non-users.

Fifty three percent of AI users increased technology spending over the past year, compared to 24% of non-users.

Businesses that use AI tend to share other characteristics, including stronger leadership alignment and higher investment overall. But the pattern holds consistently across every measure in the survey. At the same time, 59% of SMBs – and 71% of AI users specifically – agree that AI gives small businesses the ability to compete with much larger companies.

For SMBs stuck in experimentation, the data points to three primary barriers: Lack of internal expertise: 28%; Cost or unclear return on investment: 24%; and Security or privacy concerns: 21%. Only 11% of experimenters have a documented AI policy in place, and just 68% report that leadership is fully or mostly aligned on AI’s role – that is compared with 91% of businesses actively using AI.

SMBs were asked how the current economic environment has affected their technology plans. Thirteen percent have slowed or paused technology investment; 6% have reduced spending outright. The share of SMBs reporting an increase in technology spending fell from 48.5% in Q1 2026 to 42% in Q2 2026, and overall tech spending holding or increasing dropped from 97% to 89%.

“The businesses getting the most from AI are the ones with the strongest support, not necessarily those with the biggest budgets,” said Chance Weaver, Vice President of AI Adoption at Pax8. “Because of gaps in expertise, governance, and internal alignment, almost one in three small businesses is stuck in experimentation right now. That’s not a technology problem; that’s exactly what a trusted technology partner is built to solve. The MSPs who step into that role, who move from managing technology to delivering Managed Intelligence, are the ones who will define what this industry looks like in the coming years.”

The Q2 2026 survey is based on responses from 402 U.S. small business leaders involved in technology decisions within companies employing 5–499 employees across a range of industries and geographic regions.

Channel Impact^®
Partners can play an instrumental role in helping customers to move beyond testing in their AI adoption plans.