A new report from Microsoft and Trinity College Dublin predicts that artificial intelligence (AI) adoption could contribute €250 billion to Ireland’s economy, as measured by GDP, within the next decade, reports RTE.
The AI Economy in Ireland 2025 report estimates that AI integration will boost Ireland’s Gross National Income (GNI) by at least €130 billion by 2035.
The study indicates that AI adoption in Ireland has surged to 91%, nearly doubling from 49% in 2024. This rapid expansion has propelled Ireland ahead of many EU countries after previously lagging behind.
The report also highlights the persistence of a “shadow AI culture,” where employees independently use AI tools without their organization’s supervision, reports RTE.
Around 80% of organizations report employees utilizing free AI tools that lack enterprise security controls, while 61% of managers acknowledge AI usage in workplaces where it is officially restricted.
The study found that small and medium-sized enterprises (SMEs) adopt AI at rates 30% lower than multinational corporations, with only 10% of SMEs having an AI strategy compared to 50% of multinationals, reports RTE.
Regulatory barriers to AI adoption were more prominent in Northern Ireland, where 80% of organizations cited challenges, compared to 50% in Ireland.
Only 15% of public sector organizations rely on AI for most decision-making roles.
“A key issue appears to be the lack of formal strategy and governance frameworks, creating gaps in secure and responsible AI implementation,” the report found, reports RTE.
Despite these challenges, 63% of organizations believe the government is supportive of AI adoption.
“With a collaborative approach across government, academia, and industry, Ireland can play a leading role in the era of AI, driving sustainable economic growth across sectors and setting the stage for global competitiveness as AI adoption continues to surge,” said Catherine Doyle, General Manager, Microsoft Ireland, reports RTE.
Dr. Ashish Kumar Jha, Associate Professor of Business Analytics at Trinity Business School and co-author of the report, stated that Ireland is at a crucial stage in its AI adoption journey.
“This year’s research underscores both the progress made and the work still to be done,” he said, reports RTE.
“AI adoption in Ireland has nearly doubled in the past year, but the challenge now is moving beyond experimentation to full-scale, strategic implementation,” he added, reports RTE.
The research was carried out by the Trinity Centre for Digital Business and Analytics (CDBA) at Trinity Business School, Trinity College Dublin.
This report is based on an in-depth study of AI adoption trends in Ireland, conducted by Trinity CDBA in partnership with market research firm 3GEM.
The research involved a survey of 300 senior leaders across a variety of industries, reports RTE.
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