Global AI Adoption Grows, But Digital Divide Widens in 2025

Executive Summary

Global adoption of artificial intelligence (AI) continued its upward trajectory in the second half of 2025, increasing by 1.2 percentage points compared to the first half of the year. According to Microsoft's AI Economy Institute, approximately one in six people worldwide now use generative AI tools-a significant milestone for a technology that has only recently entered mainstream usage.

Why It Matters

The rapid adoption of AI is reshaping economies and societies, but the data also highlights a concerning trend: a widening digital divide between the Global North and the Global South. This disparity could exacerbate existing inequalities in economic development, innovation, and productivity gains. The implications are far-reaching, affecting not only technological advancement but also global competitiveness and social equity.

Key Metrics

• Global AI Adoption: Increased by 1.2 percentage points from H1 to H2 2025.
• AI Users Worldwide: One in six people now use generative AI tools.
• Global North vs. Global South:
  • Global North: 24.7% of the working-age population uses AI.
  • Global South: 14.1% of the working-age population uses AI.

Methodology

Microsoft measures AI diffusion by tracking the share of people worldwide who have used a generative AI product during the reported period. This metric is derived from aggregated and anonymized telemetry data, adjusted for differences in operating system (OS) and device market share, internet penetration, and country population. For more details, refer to Microsoft's AI Diffusion technical paper.

Leading Countries

Several countries have emerged as leaders in AI adoption due to early investments in digital infrastructure, AI skilling, and government support:

• United Arab Emirates: 64.0% of the working-age population uses AI, up from 59.4% earlier in the year.
• Singapore: 60.9% of the working-age population uses AI.
• Norway: High adoption rates but specific figures not provided.

Notable Movements

• United States: Despite leading in AI infrastructure and frontier model development, the U.S. fell from 23rd to 24th place in AI usage among the working-age population, with a 28.3% usage rate.
• South Korea: Surged seven spots in the global rankings, moving from 25th to 18th place, driven by government policies and improved frontier model capabilities.

Key Risks

The widening digital divide poses several risks:

• Economic Disparities: Countries with lower AI adoption may fall behind in innovation and economic growth.
• Skill Gaps: Workforces in the Global South may struggle to keep pace with the rapid evolution of AI technologies.
• Social Inequality: Access to advanced AI tools could exacerbate existing social inequalities, particularly in education and healthcare.

The Opportunity

Addressing the digital divide offers significant opportunities for both developed and developing nations:

• Investment in Digital Infrastructure: Enhancing internet access and digital literacy can accelerate AI adoption in under-served regions.
• Policy Support: Governments can play a crucial role by implementing policies that foster AI education, research, and development.
• Global Collaboration: International cooperation can help share best practices and resources, ensuring more equitable AI diffusion.

Conclusion

While global AI adoption continues to grow, the widening digital divide between the Global North and the Global South is a critical issue that requires immediate attention. By addressing the key risks and leveraging the opportunities presented by AI, we can work towards a more inclusive and equitable digital future.