Artificial intelligence (AI) tools are rapidly changing the way that individuals, organizations, and businesses operate. One common thread that emerged from a variety of roundtables, listening sessions, events, and informal conversations over the past year, as well as analysis of qualitative survey responses from the Federal Reserve’s Small Business Credit Survey (SBCS): widespread interest in technical assistance—help figuring out how to use AI safely and effectively—among businesses, nonprofit organizations, and individuals.
Stakeholders who had not yet integrated AI into their work or organizational operations often said they didn’t know how to get started with the technology. For instance, when the 2024 SBCS asked respondents whether they were already using or planning to use AI, many small business owners reported being hesitant—despite wanting to—because they didn’t know where to start and were afraid of making mistakes. Small business support organizations have also shared that it can be “overwhelming” for businesses to know which generative AI (GenAI) tools to use, given the breadth of options available.
When it comes to technical assistance that could help users navigate AI adoption, stakeholders we spoke with characterized available options as piecemeal or ad hoc in this quickly evolving landscape. We heard in our listening sessions that providers of technical assistance are often individuals or organizations who jumped in and started experimenting and shared their knowledge. Some of the providers stepping into the technical assistance space are trying to help people in similar roles or fields evaluate the relevant costs, risks, and benefits associated with adopting different AI tools for specific applications.
One such example is the Alaska Small Business Development Center (SBDC), which provides support and technical assistance to new and existing small businesses and entrepreneurs. Staff started experimenting with GenAI tools in spring 2023. Reflecting on his own experimentation with AI, Jon Bittner, former executive director of the Alaska SBDC, shared that he found that GenAI is good at some things and not others.
He cautioned that balancing the benefits with safety (e.g., protecting client confidentiality) is a “fine line to walk” and noted that being available to answer questions and provide personalized assistance has proven important to striking that balance.
There is demand for such assistance. Carlos Machua, the Alaska SBDC AI resource program director, said during a recent field visit that he initially worried the availability of AI might pose an “existential threat” to the SBDC because, in theory, anyone with an internet connection could now access a range of tools. But the Alaska SBDC has since increased the number of clients it serves by 40%— because AI tools have increased capacity to meet growing demand for services, and in response to growing interest in AI-related technical assistance.
Although there are technical assistance resources available remotely for self-directed learning, we’ve heard repeatedly in our listening sessions about the need for high-quality, in-person assistance. While school districts and higher-education groups across the country are actively grappling with how to introduce AI into the classroom, workforce system stakeholders shared that it is less clear how to reach those no longer in formal education. At a listening session in Salt Lake City, one participant expressed concern about what they described as a growing cottage industry charging unreasonable fees for AI training. The state of Utah has taken steps to make free, in-person training available to the public. The same listening session respondent noted growing interest in the state’s training sessions and reported that a recent event brought in 100 participants.
At a listening session with employers in New Orleans this summer (held in partnership with our colleagues at the Federal Reserve Bank of Atlanta), one participant drew a helpful analogy between using AI and operating a motor vehicle: many more people know how to drive and follow traffic rules than fully understand what’s happening “under the hood.” Many stakeholders we spoke with said they are still trying to learn AI’s rules of the road even as AI tools and their applications evolve. Technical assistance targeted to stakeholders who could benefit from AI’s use could help them navigate the “fine line” Jon Bittner mentioned, helping to harness AI’s promise while providing the important guardrails that can protect against its pitfalls.
This article is part of a Community Investments series exploring the ways in which the growing prevalence of artificial intelligence may be impacting economic conditions, especially in low- and moderate-income communities and among community development stakeholders. Gaining greater insight into emerging economic trends through community engagement and analysis—including better understanding the economic experiences of lower-income workers and consumers—contributes to the Federal Reserve Bank of San Francisco’s work to support monetary policy, strengthen financial institutions, and enhance the payments systems.