AI Lets Solo Business Owners Do More Without Hiring, but Bigger Platforms Still Hold the Keys

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Radek Grzybowski / CC0

Americans are starting one-person businesses at a faster pace in industries most exposed to artificial intelligence, as new owners use AI tools for work that once required a team – though the biggest technology platforms still control much of the reach.

Business applications without early signs of hiring rose 26.8 percent in AI-exposed industries from the first quarter of 2024 through the first quarter of 2026, from roughly 222,000 to 281,000 per quarter, while applications pointing to future employer businesses fell 6.4 percent, according to preliminary Census data analyzed by George Mason University’s Mercatus Center economist Liya Palagashvili, CNBC reported. She cautioned the findings are descriptive and do not prove AI caused the increase.

Alex Willen expects the 12 e-commerce brands he runs with no employees to generate $2.5 million to $3 million this year, using Anthropic’s Claude for bookkeeping, customer service, advertising and inventory, and AI image tools in place of photographers and designers. About 80 percent of his overall revenue still comes through Amazon, while at one hunting-gear brand he rebuilt with AI, Shopify went from roughly 1 percent of sales to about 30 percent over a recent 30-day period. Kristin Ginn left Microsoft in March to start an AI-adoption consultancy and has about $250,000 in business received or contracted through year-end, with no employees or regular contractors.

Stanford economist Erik Brynjolfsson said AI is creating a longer tail of powerful small producers while concentrating more power with the biggest platforms. Data from payroll company Gusto offers a different angle for existing small businesses: firms that adopted AI had headcount about 7 percent higher after a year than comparable non-adopters, the company’s research found.

JBizNews Desk | New York, New York

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