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AI, robots and innovation in European SMEs

Author

Listed:
  • Agustí Segarra-Blasco

    (Universitat Rovira i Virgili, Department of Economics, ECO-SOS, Av. Universitat, 1)

  • Josep Tomàs-Porres

    (Universitat Rovira i Virgili, Department of Economics, ECO-SOS, Av. Universitat, 1
    Università degli Studi di Torino, Department of Economics and Statistics “Cognetti de Martiis”)

  • Mercedes Teruel

    (Universitat Rovira i Virgili, Department of Economics, ECO-SOS, Av. Universitat, 1)

Abstract

There is increasing interest in the impact of advanced digital technologies on SMEs, but the determinants of their adoption and their association with multiple innovation outcomes remain unexplored. Based on the Flash Eurobarometer 486, this paper analyses how the adoption of artificial intelligence and robots is related to European SMEs carrying out product, process, organizational and marketing innovations. Our results establish scale-ups and start-ups as the most likely adopters of these technologies and the most innovative firms. Furthermore, internal characteristics, such as internationalization and firm size, and external factors, such as the availability of digital skills and infrastructure, are significant drivers of digitalization at the firm level. In a two-stage approach, we find that the adoption of artificial intelligence and robots is associated with all innovation types, although these technologies serve more specialised objectives in manufacturing rather than in service sectors. Our results confirm a significant variability in the adoption of artificial intelligence and robots, as well as heterogeneous associations with innovation outcomes.

Suggested Citation

  • Agustí Segarra-Blasco & Josep Tomàs-Porres & Mercedes Teruel, 2025. "AI, robots and innovation in European SMEs," Small Business Economics, Springer, vol. 65(1), pages 719-745, June.
    • Handle: RePEc:kap:sbusec:v:65:y:2025:i:1:d:10.1007_s11187-025-01017-2
    DOI: 10.1007/s11187-025-01017-2
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    More about this item

    Keywords

    Artificial intelligence; Robots; Innovation; SMEs;
    All these keywords.

    JEL classification:

    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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