Tech darling Nvidia (NASDAQ: NVDA) announced on Sunday its newest artificial intelligence chip — just three months after unveiling the previous model. Clearly, the AI chip leader wants to keep its top spot in the space. Aiming to challenge it, Advanced Micro Devices (NASDAQ: AMD) unveiled its latest AI chip a day after. Other competitors, established companies and budding startups, also want to join this competitive space as AI is increasingly being used by companies, governments, and people. (Also see: 3 AI Stocks Wall Street Expects to Return Up to 595% in 2024.)
This cutting edge technology, which could profoundly affect our future, already has several relatively broadly used applications, including autonomous vehicles, robotic manufacturing, fraud detection, risk assessment, chatbots (service, marketing, and more), content creation, traffic prediction, virtual assistance, quality assurance, and a myriad more. Many companies, small and large, use AI to facilitate, improve, and grow their business.
To determine the states with the most AI businesses, 24/7 Wall St. reviewed data on AI business applications from the U.S. Census Bureau’s Business Trends and Outlook Survey. States were ranked based on the percentage of surveyed businesses who report using artificial intelligence to produce goods or services between Jan. 4, 2024 and Feb. 25, 2024. Supplemental data on the percentage of workers employed in the information sector and average annual wage for information sector workers is from the Bureau of Labor Statistics Quarterly Census of Employment and Wages and is for 2022. Data on the most common AI use applications is also from the BTOS.
Depending on the state, between 1.7% and 7.4% of businesses in the 50 state use AI , with Mississippi having the lowest share and Colorado the highest. Mississippi also has the lowest average wage for information sector workers, at $59,647 a year. The average wage of information sector workers in Colorado is more than double, at $136,935 annually — the seventh highest of all states. Similarly, while only 1.1% of Mississippi’s labor force work in the information sector, 3.3% of Colorado’s labor force do.
Marketing automation is the most common AI use among businesses using the technology. This is followed by natural language processing, virtual agents or chat bots, speech/voice recognition, machine learning, and data analytics, among others.
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50. Mississippi
- Businesses currently using AI: 1.7%
- Employment in information sector, 2022: 1.1% (3rd lowest)
- Average annual wage in information sector, 2022: $59,647 (the lowest)
- Most common AI uses: Marketing automation using AI
49. West Virginia
- Businesses currently using AI: 2.3%
- Employment in information sector, 2022: 1.5% (13th lowest)
- Average annual wage in information sector, 2022: $67,506 (3rd lowest)
- Most common AI uses: Marketing automation using AI
48. Maine
- Businesses currently using AI: 2.3%
- Employment in information sector, 2022: 1.5% (18th lowest)
- Average annual wage in information sector, 2022: $75,307 (9th lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots
47. North Dakota
- Businesses currently using AI: 2.9%
- Employment in information sector, 2022: 1.7% (24th lowest)
- Average annual wage in information sector, 2022: $83,710 (19th lowest)
- Most common AI uses: Virtual agents or chat bots
46. Vermont
- Businesses currently using AI: 3.1%
- Employment in information sector, 2022: 1.8% (25th highest)
- Average annual wage in information sector, 2022: $78,275 (14th lowest)
- Most common AI uses: Natural language processing, marketing automation using AI, machine learning
45. Arkansas
- Businesses currently using AI: 3.2%
- Employment in information sector, 2022: 1.2% (4th lowest)
- Average annual wage in information sector, 2022: $76,392 (11th lowest)
- Most common AI uses: Virtual agents or chat bots, marketing automation using AI, speech/voice recognition using AI
44. South Dakota
- Businesses currently using AI: 3.5%
- Employment in information sector, 2022: 1.4% (12th lowest)
- Average annual wage in information sector, 2022: $64,239 (2nd lowest)
- Most common AI uses: Marketing automation using AI, machine learning, natural language processing
43. Oklahoma
- Businesses currently using AI: 3.5%
- Employment in information sector, 2022: 1.4% (8th lowest)
- Average annual wage in information sector, 2022: $73,061 (7th lowest)
- Most common AI uses: Virtual agents or chat bots, marketing automation using AI, speech/voice recognition using AI
42. New Jersey
- Businesses currently using AI: 3.5%
- Employment in information sector, 2022: 2.1% (12th highest)
- Average annual wage in information sector, 2022: $145,883 (5th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, data analytics using AI
41. New Hampshire
- Businesses currently using AI: 3.5%
- Employment in information sector, 2022: 2.0% (15th highest)
- Average annual wage in information sector, 2022: $130,356 (8th highest)
- Most common AI uses: Marketing automation using AI, speech/voice recognition using AI, virtual agents or chat bots
40. Louisiana
- Businesses currently using AI: 3.5%
- Employment in information sector, 2022: 1.5% (14th lowest)
- Average annual wage in information sector, 2022: $72,401 (5th lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, data analytics using AI
39. Nebraska
- Businesses currently using AI: 3.6%
- Employment in information sector, 2022: 2.2% (10th highest)
- Average annual wage in information sector, 2022: $81,759 (17th lowest)
- Most common AI uses: Virtual agents or chat bots, speech/voice recognition using AI, marketing automation using AI
38. Alabama
- Businesses currently using AI: 3.7%
- Employment in information sector, 2022: 1.4% (10th lowest)
- Average annual wage in information sector, 2022: $79,322 (15th lowest)
- Most common AI uses: Text analytics using AI, data analytics using AI, virtual agents or chat bots
37. Michigan
- Businesses currently using AI: 3.8%
- Employment in information sector, 2022: 1.5% (19th lowest)
- Average annual wage in information sector, 2022: $97,811 (25th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, speech/voice recognition using AI
36. Indiana
- Businesses currently using AI: 3.8%
- Employment in information sector, 2022: 1.0% (2nd lowest)
- Average annual wage in information sector, 2022: $74,355 (8th lowest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
35. Iowa
- Businesses currently using AI: 3.8%
- Employment in information sector, 2022: 1.5% (15th lowest)
- Average annual wage in information sector, 2022: $75,636 (10th lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, speech/voice recognition using AI
34. Connecticut
- Businesses currently using AI: 3.8%
- Employment in information sector, 2022: 2.2% (9th highest)
- Average annual wage in information sector, 2022: $145,448 (6th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
33. Montana
- Businesses currently using AI: 3.9%
- Employment in information sector, 2022: 1.4% (11th lowest)
- Average annual wage in information sector, 2022: $78,219 (13th lowest)
- Most common AI uses: Marketing automation using AI, data analytics using AI, speech/voice recognition using AI
32. Kentucky
- Businesses currently using AI: 3.9%
- Employment in information sector, 2022: 1.3% (6th lowest)
- Average annual wage in information sector, 2022: $72,929 (6th lowest)
- Most common AI uses: Marketing automation using AI, machine learning, data analytics using AI
31. Wisconsin
- Businesses currently using AI: 4.1%
- Employment in information sector, 2022: 1.8% (22nd highest)
- Average annual wage in information sector, 2022: $106,459 (19th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, text analytics using AI
30. South Carolina
- Businesses currently using AI: 4.1%
- Employment in information sector, 2022: 1.7% (22nd lowest)
- Average annual wage in information sector, 2022: $88,087 (22nd lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, speech/voice recognition using AI
29. Pennsylvania
- Businesses currently using AI: 4.1%
- Employment in information sector, 2022: 1.8% (24th highest)
- Average annual wage in information sector, 2022: $116,643 (14th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
28. New York
- Businesses currently using AI: 4.1%
- Employment in information sector, 2022: 3.7% (3rd highest)
- Average annual wage in information sector, 2022: $164,504 (3rd highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
27. Hawaii
- Businesses currently using AI: 4.1%
- Employment in information sector, 2022: 1.7% (25th lowest)
- Average annual wage in information sector, 2022: $88,812 (23rd lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, text analytics using AI
26. Alaska
- Businesses currently using AI: 4.2%
- Employment in information sector, 2022: 2.0% (18th highest)
- Average annual wage in information sector, 2022: $80,366 (16th lowest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
25. Ohio
- Businesses currently using AI: 4.3%
- Employment in information sector, 2022: 1.5% (16th lowest)
- Average annual wage in information sector, 2022: $87,631 (21st lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, text analytics using AI
24. Illinois
- Businesses currently using AI: 4.4%
- Employment in information sector, 2022: 1.9% (20th highest)
- Average annual wage in information sector, 2022: $123,278 (11th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
23. Rhode Island
- Businesses currently using AI: 4.5%
- Employment in information sector, 2022: 1.4% (7th lowest)
- Average annual wage in information sector, 2022: $95,815 (25th lowest)
- Most common AI uses: N/A
22. New Mexico
- Businesses currently using AI: 4.5%
- Employment in information sector, 2022: 1.6% (21st lowest)
- Average annual wage in information sector, 2022: $77,406 (12th lowest)
- Most common AI uses: Speech/voice recognition using AI, marketing automation using AI, virtual agents or chat bots
21. Georgia
- Businesses currently using AI: 4.5%
- Employment in information sector, 2022: 3.1% (6th highest)
- Average annual wage in information sector, 2022: $128,278 (9th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
20. Virginia
- Businesses currently using AI: 4.7%
- Employment in information sector, 2022: 2.1% (11th highest)
- Average annual wage in information sector, 2022: $127,558 (10th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, data analytics using AI
19. Missouri
- Businesses currently using AI: 4.7%
- Employment in information sector, 2022: 2.0% (17th highest)
- Average annual wage in information sector, 2022: $98,696 (23rd highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
18. Idaho
- Businesses currently using AI: 4.8%
- Employment in information sector, 2022: 1.3% (5th lowest)
- Average annual wage in information sector, 2022: $83,495 (18th lowest)
- Most common AI uses: Virtual agents or chat bots, marketing automation using AI, speech/voice recognition using AI
17. Wyoming
- Businesses currently using AI: 4.9%
- Employment in information sector, 2022: 1.5% (17th lowest)
- Average annual wage in information sector, 2022: $69,686 (4th lowest)
- Most common AI uses: Marketing automation using AI, natural language processing, speech/voice recognition using AI
16. Tennessee
- Businesses currently using AI: 4.9%
- Employment in information sector, 2022: 2.0% (16th highest)
- Average annual wage in information sector, 2022: $97,963 (24th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
15. Texas
- Businesses currently using AI: 5.1%
- Employment in information sector, 2022: 2.0% (14th highest)
- Average annual wage in information sector, 2022: $116,366 (15th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
14. North Carolina
- Businesses currently using AI: 5.1%
- Employment in information sector, 2022: 2.0% (13th highest)
- Average annual wage in information sector, 2022: $110,498 (16th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
13. Minnesota
- Businesses currently using AI: 5.1%
- Employment in information sector, 2022: 1.8% (23rd highest)
- Average annual wage in information sector, 2022: $105,537 (20th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
12. Kansas
- Businesses currently using AI: 5.1%
- Employment in information sector, 2022: 1.6% (20th lowest)
- Average annual wage in information sector, 2022: $86,174 (20th lowest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
11. Maryland
- Businesses currently using AI: 5.7%
- Employment in information sector, 2022: 1.7% (23rd lowest)
- Average annual wage in information sector, 2022: $120,742 (13th highest)
- Most common AI uses: Marketing automation using AI, data analytics using AI, virtual agents or chat bots
10. Massachusetts
- Businesses currently using AI: 5.7%
- Employment in information sector, 2022: 3.1% (7th highest)
- Average annual wage in information sector, 2022: $160,432 (4th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, data analytics using AI
9. Oregon
- Businesses currently using AI: 5.8%
- Employment in information sector, 2022: 2.2% (8th highest)
- Average annual wage in information sector, 2022: $120,892 (12th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, speech/voice recognition using AI
8. Washington
- Businesses currently using AI: 6.1%
- Employment in information sector, 2022: 5.8% (the highest)
- Average annual wage in information sector, 2022: $245,129 (the highest)
- Most common AI uses: Marketing automation using AI, natural language processing, text analytics using AI
7. Arizona
- Businesses currently using AI: 6.1%
- Employment in information sector, 2022: 1.9% (19th highest)
- Average annual wage in information sector, 2022: $105,191 (21st highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
6. California
- Businesses currently using AI: 6.3%
- Employment in information sector, 2022: 3.9% (2nd highest)
- Average annual wage in information sector, 2022: $212,712 (2nd highest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
5. Utah
- Businesses currently using AI: 6.5%
- Employment in information sector, 2022: 3.1% (5th highest)
- Average annual wage in information sector, 2022: $108,173 (18th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, speech/voice recognition using AI
4. Nevada
- Businesses currently using AI: 6.5%
- Employment in information sector, 2022: 1.4% (9th lowest)
- Average annual wage in information sector, 2022: $102,394 (22nd highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
3. Delaware
- Businesses currently using AI: 6.5%
- Employment in information sector, 2022: 1.0% (the lowest)
- Average annual wage in information sector, 2022: $89,824 (24th lowest)
- Most common AI uses: Machine learning, marketing automation using AI, large language models
2. Florida
- Businesses currently using AI: 6.6%
- Employment in information sector, 2022: 1.9% (21st highest)
- Average annual wage in information sector, 2022: $109,069 (17th highest)
- Most common AI uses: Marketing automation using AI, virtual agents or chat bots, natural language processing
1. Colorado
- Businesses currently using AI: 7.4%
- Employment in information sector, 2022: 3.3% (4th highest)
- Average annual wage in information sector, 2022: $136,935 (7th highest)
- Most common AI uses: Marketing automation using AI, natural language processing, virtual agents or chat bots
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