Global AI Use Continues to Rise with a Widening Adoption Gap
In the rapidly evolving landscape of artificial intelligence, a recent report from Microsoft’s AI Economy Institute highlights a significant trend: the global adoption of AI is increasing, yet the gap between developed and developing economies is widening. This quarterly Global AI Diffusion Report reveals key insights into how AI is being integrated into various sectors worldwide.
The Current State of AI Adoption
According to the report, AI adoption among the world’s working-age population has reached 17.8%. However, there is a stark contrast in AI adoption rates between developed economies and those in the Global South. In developed regions, AI usage is significantly higher, illustrating a growing divide.
Top Performers in AI Adoption
The report cites 26 economies where more than 30% of the working-age population uses AI tools, a noticeable increase from the previous quarter. The United Arab Emirates leads the pack with an impressive 70.1% adoption rate. Remarkably, the United States improved its standing, moving from 24th to 21st with 31.3% of the working-age population utilizing AI technologies.
A Global Disparity
Juan Lavista Ferres, Microsoft’s chief data scientist and head of the AI Economy Institute, addressed the uneven distribution of AI adoption. He noted a growing disparity between the global North, with a 27.5% usage rate, and the global South, where it stands at 15.4%. This disparity underscores the challenges faced by developing economies in accessing and implementing AI technologies.
Momentum in Asian Markets
Asian markets are showing notable momentum in AI adoption, driven in part by enhanced AI capabilities for Asian languages. South Korea, Thailand, and Japan have experienced significant increases in adoption rates, reflecting a regional push towards integrating AI into various sectors.
Methodology and Metrics
Microsoft’s research utilizes anonymized telemetry data, considering factors such as operating systems, device market shares, Internet access, and population differences. While no single metric can fully capture AI adoption, Microsoft’s approach provides a strong cross-country comparison, with plans to incorporate additional indicators as methodologies develop.
Impact on Software Development
The report also highlights a significant increase in software development activities. Globally, Git pushes have increased by 78% year-over-year, indicating heightened coding activity as tools like GitHub Copilot and OpenAI’s Codex become more prevalent.
Contrary to concerns about AI-related job losses, employment data reveals an increase in software developer positions. By 2025, the United States employed approximately 2.2 million software developers, an 8.5% increase from 2024, with early 2026 data showing a 4% year-over-year increase in March.
Economic Implications
Ferres explained that as developer productivity increases, the cost of developing software decreases. This economic logic suggests that when software demand is elastic, companies are more likely to expand their application development rather than reduce their workforce.
Looking Ahead
Microsoft’s ongoing efforts to track AI’s global spread aim to better understand the technology’s impact. The report highlights a 12.1 percentage point adoption gap between the Global North and South, emphasizing the need for targeted support to overcome infrastructure, language, and economic barriers in developing regions.
Microsoft plans to release its next quarterly update on AI’s economic impact in August, promising further insights into this dynamic field.
For more information, visit the full report Here.
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